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A Lasting Power of Attorney (LPA) is a way of giving someone you trust the legal authority to make decisions on your behalf if you no longer have the mental capacity or you don’t wish to make them yourself. This person will be known as your attorney. You can choose more than one attorney, but if you do, you must decide whether they will make decisions jointly or separately.
Mental capacity means you have the ability to make and understand your own decisions and the consequences of those decisions. Lacking mental capacity means you are unable to:
- Understand and weigh up information relating to a decision
- Remember information long enough to make a decision
- Communicate your decision verbally, using sign language or by other means
Further information on mental capacity can be found on GOV.UK, or for more in-depth information, you can speak to a solicitor who specialises in this area.
What types of LPA are there?
There are two types of LPA depending on your personal circumstances and wishes:
- The Property and Financial Affairs LPA allows your appointed attorney to manage your finances, which could include paying bills, dealing with affairs regarding property, managing investments and accounts and signing legal documents on your behalf.
- The Health and Welfare LPA allows your appointed attorney to decide about your healthcare. This could include medical treatment and medication management, daily routines and issues such as where you should live and what social activities you participate in.
It is important to note that the Health and Welfare LPA has a complex set of rules and caveats, including the fact that, unlike the Property and Financial Affairs LPA, it can only be used if you lose mental capacity.
When would an LPA be beneficial?
Illnesses such as dementia, strokes, severe brain injuries or other types of severe illness affecting the thought processes can cause an individual to lose the ability to make their own decisions and conduct their life in the manner in which they previously would have. In these circumstances, An LPA can be used to appoint a trusted person to act on their behalf.
An LPA must be written and signed before the individual loses mental capacity while still having full autonomy and control over their thoughts, actions, and decision-making abilities.
LPAs only come into effect once two independent solicitors or doctors have certified that the individual has lost their mental capacity. Only then can an appointed attorney have the authority to start making decisions on behalf of the individual.
Putting an LPA in place while you are still of sound mind can give you peace of mind in knowing that whatever happens, your financial affairs and your health and welfare will be wholly, properly and legally managed by someone you know and trust and that your wishes will be fully respected. You never know what is around the corner in terms of your health, and certain degenerative diseases like Dementia, Parkinson’s Disease, and Alzheimer’s are becoming more prevalent. Accidents and injuries can occur at any time, unexpectedly leaving you incapacitated or unsure of what the future is going to look like.
This is why having an LPA in place could become an essential part of your future plans. Without an LPA in place to protect your wishes and your assets, you could be put in the position of having to embark on the expensive and time-consuming legal process to get an attorney appointed by the Office of the Public Guardian, leaving your nearest and dearest without legal access to your accounts and unable to make any decisions on your behalf.
To find out how to set up an LPA, seek expert legal advice from a solicitor.
You may also like: 5 Reasons to Hire a Professional Attorney for Legal Matters
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