Penalty for Taking Advantage of Power of Attorney
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If you are appointed the agent of a power of attorney, you assume what are known as fiduciary duties. That means you are required to act in an honest manner while dealing with the affairs and assets of the person who granted you power of attorney.
The primary function of an agent through a power of attorney is to protect the financial or health interests of the person who created the instrument.
Breach of Duty
Your duty as an agent can be breached in a number of ways, such as failing to act on behalf of the granter or misappropriating funds belonging to the granter.
A civil lawsuit is one possible penalty for taking advantage of power of attorney. The granter can sue you for breaching your duty.
In some instances taking advantage of power of attorney can lead to a criminal charge, most commonly theft or fraud.
- If you are appointed the agent of a power of attorney, you assume what are known as fiduciary duties.
- The primary function of an agent through a power of attorney is to protect the financial or health interests of the person who created the instrument.
Always deal in the best interests of the granter. Even the appearance of impropriety can cause problems for you.
- Legal Services for the Elderly: Power of Attorney
- "A Practitioner's Guide to Powers of Attorney;" John Thurston; 2007
Mike Broemmel began writing in 1982. He is an author/lecturer with two novels on the market internationally, "The Shadow Cast" and "The Miller Moth." Broemmel served on the staff of the White House Office of Media Relations. He holds a Bachelor of Arts in journalism and political science from Benedictine College and a Juris Doctorate from Washburn University. He also attended Brunel University, London.