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.
A Kentucky General Power of Attorney is a legal document that allows an individual (referred to as the principal) to grant broad powers to another person (known as the agent or attorney-in-fact) to act on their behalf in various legal and financial matters. This legal arrangement is established when the principal is mentally competent and has the capacity to understand and make decisions. In Kentucky, there are different types of General Power of Attorney depending on the scope and duration of the powers granted. These types include: 1. Durable Power of Attorney: This type remains in effect even if the principal becomes incapacitated or unable to make decisions. It empowers the agent to handle the principal's affairs consistently, providing a continuity of management. 2. Non-Durable Power of Attorney: Unlike a durable power of attorney, this type terminates automatically when the principal becomes incapacitated or unable to make decisions. It is commonly used for specific transactions or limited timeframes. 3. Springing Power of Attorney: This type only becomes effective upon the occurrence of a specified event or condition, typically the principal's incapacity. It allows the principal to maintain control over their affairs until the predetermined triggering event takes place. 4. Immediate Power of Attorney: As the name suggests, this type takes effect as soon as it is signed, allowing the agent to act on behalf of the principal immediately. It is frequently used when the principal needs assistance with ongoing financial matters. A Kentucky General Power of Attorney document should include specific provisions that outline the powers being granted to the agent. These powers may include managing real estate, handling financial transactions, making healthcare decisions, accessing bank accounts, paying bills, collecting government benefits, or dealing with legal matters. The document should also specify any limitations, conditions, or restrictions imposed by the principal. It is crucial to consult with an attorney experienced in Kentucky estate planning and power of attorney laws to ensure that the document is tailored to meet the principal's specific needs and requirements. Additionally, it is essential to choose an agent who is trustworthy, reliable, and capable of managing the delegated powers responsibly. By understanding the different types of Kentucky General Power of Attorney and their respective purposes, individuals can make informed decisions when appointing an agent to safeguard their legal and financial interests.
