What Are the Responsibilities of the Attorney-in-fact?
A. The attorney-in-fact stands in a fiduciary relationship to the donor of the power of attorney. If he misuses his authority, for example, by improperly transferring assets to himself or to others, then he could face liability for theft or fraud. The attorney-in-fact ultimately has a duty to account to the personal representative, the beneficiaries of your estate, as well as possibly to the Internal Revenue Service. Therefore, it is essential that precise records be kept. None of the assets of the donor and the attorney-in-fact should be commingled. To the (greatest extent possible, checks should be written for all financial transactions so that a record will be available. Q. What Does My Attorney-in-fact Need to Know in Using the Power of Attorney? 1. Documents signed by the attorney-in-fact should be executed as follows: John Donor By: ____________________ Allen Agent Attorney-in-Fact 2. If the attorney-in-fact executes documents as indicated above, he is signing in his represent
