Agency is a relationship based on an agreement authorizing one person, the agent, to act for another, the principal. For example an agent may negotiate and make contracts with third persons on behalf of the principal. Actions of an agent can obligate the principal to third persons. Actions of an agent may also give a principal rights against third persons.
An agency can be created for the purpose of doing almost any act the principal could do. However, there are some acts that must be done in person and cannot be done by an agent. Examples would be: testifying in court for another individual, making a will, and voting.
A general agent is authorized by the principal to transact all the affairs of a particular kind of business. For example, a person appointed as manager of a store is a general agent.
A special agent is authorized by the principal to handle a particular business transaction or perform a specific act. For example, a specific power of attorney appointing an agent (attorney-in-fact) to sell a particular piece of real estate or a certain car would be the appointment of a special agent.
A universal agent is authorized by the principal to do any act that can be delegated to a representative. An example would be giving a person a general power of attorney. This form is such a general power of attorney.
Title: Understanding the Illinois General Power of Attorney and Different Types Introduction: In the state of Illinois, a General Power of Attorney (POA) is a legal document that grants someone else, referred to as an "agent" or "attorney-in-fact," the authority to make financial and legal decisions on your behalf. This comprehensive article will explore the details of the Illinois General Power of Attorney, its importance, and the different types available. 1. Illinois General Power of Attorney Definition: The Illinois General Power of Attorney is a legal instrument that enables an appointed agent to handle various financial, legal, and personal matters on behalf of an individual, known as the "principal." This authority encompasses a wide range of tasks, granting the agent broad powers to act as an advocate in both mundane and critical matters. 2. Importance and Benefits: — Acting during incapacity: A General Power of Attorney is particularly significant when a principal becomes incapacitated and unable to manage their affairs, as it allows the agent to continue handling essential matters. — Flexibility: The principal can customize the extent of the agent's powers, specifying specific areas or limitations where the agent may act. — Ease of administration: By appointing an agent, the principal can ensure the continuity of their financial and legal affairs, minimizing disruptions and streamlining decision-making processes. — Peace of mind: By designating a trusted individual as the agent, the principal gains' peace of mind, knowing their affairs will be handled responsibly and in their best interest. 3. Types of Illinois General Power of Attorney: — Immediate Power of Attorney: This grants the agent powers that become effective as soon as the document is executed, allowing them to act on behalf of the principal immediately. — Springing Power of Attorney: This type "springs" into effect only when a specific event triggering the principal’s incapacity occurs, such as a doctor's certification of the principal's incompetence. — Durable Power of Attorney: By designating the General Power of Attorney as durable, the authority of the agent persists even if the principal becomes incapacitated or mentally incompetent. — Non-Durable Power of Attorney: This type of General Power of Attorney ceases when the principal becomes incapacitated or mentally incompetent, typically intended for specific circumstances or time-limited needs. Conclusion: The Illinois General Power of Attorney is a powerful legal tool that enables a designated agent to manage the financial, legal, and personal affairs of a principal. By understanding its definition, significance, and different types available, individuals can make informed decisions when choosing the right form of General Power of Attorney that suits their specific needs and circumstances. It is always advisable to consult an attorney specializing in estate planning or elder law to create a well-drafted General Power of Attorney document.Title: Understanding the Illinois General Power of Attorney and Different Types Introduction: In the state of Illinois, a General Power of Attorney (POA) is a legal document that grants someone else, referred to as an "agent" or "attorney-in-fact," the authority to make financial and legal decisions on your behalf. This comprehensive article will explore the details of the Illinois General Power of Attorney, its importance, and the different types available. 1. Illinois General Power of Attorney Definition: The Illinois General Power of Attorney is a legal instrument that enables an appointed agent to handle various financial, legal, and personal matters on behalf of an individual, known as the "principal." This authority encompasses a wide range of tasks, granting the agent broad powers to act as an advocate in both mundane and critical matters. 2. Importance and Benefits: — Acting during incapacity: A General Power of Attorney is particularly significant when a principal becomes incapacitated and unable to manage their affairs, as it allows the agent to continue handling essential matters. — Flexibility: The principal can customize the extent of the agent's powers, specifying specific areas or limitations where the agent may act. — Ease of administration: By appointing an agent, the principal can ensure the continuity of their financial and legal affairs, minimizing disruptions and streamlining decision-making processes. — Peace of mind: By designating a trusted individual as the agent, the principal gains' peace of mind, knowing their affairs will be handled responsibly and in their best interest. 3. Types of Illinois General Power of Attorney: — Immediate Power of Attorney: This grants the agent powers that become effective as soon as the document is executed, allowing them to act on behalf of the principal immediately. — Springing Power of Attorney: This type "springs" into effect only when a specific event triggering the principal’s incapacity occurs, such as a doctor's certification of the principal's incompetence. — Durable Power of Attorney: By designating the General Power of Attorney as durable, the authority of the agent persists even if the principal becomes incapacitated or mentally incompetent. — Non-Durable Power of Attorney: This type of General Power of Attorney ceases when the principal becomes incapacitated or mentally incompetent, typically intended for specific circumstances or time-limited needs. Conclusion: The Illinois General Power of Attorney is a powerful legal tool that enables a designated agent to manage the financial, legal, and personal affairs of a principal. By understanding its definition, significance, and different types available, individuals can make informed decisions when choosing the right form of General Power of Attorney that suits their specific needs and circumstances. It is always advisable to consult an attorney specializing in estate planning or elder law to create a well-drafted General Power of Attorney document.
