091 – Interview: Reducing the Risk of Power of Attorney Abuse

Dr. K speaks with senior attorney David Godfrey, JD, of the American Bar Association Commission on Law and Aging, about drafting better power of attorney documents so as to reduce the risk of abuse. David works closely with the National Center on Law and Elder Rights and authored an issue brief in 2018 that covers advance planning and how to avoid exploitation. They discuss:

What is a general durable power of attorney (POA) and why every person should complete one
Common reasons why older adults may need someone else to transact business for them, such as temporary or permanent incapacity
Why court intervention may be necessary if an older person does not have a POA
How POAs can be used for financial exploitation, and how drafting protections in the POA document can reduce the risk of abuse
6 key precautions to take, when drafting a general durable power of attorney
How requiring third party accounting can reduce family conflict
Why it’s a good idea to require a second signature for major transactions
The benefits of granting the power to revoke the POA to a third party
How older adults can find affordable legal assistance, for help drafting a POA
Options for older adults who have no close family available to serve as an agent
Resources to help guide agents to manage power of attorney duties