Durable Power of Attorney in Texas can be used to to designate another person, usually called an agent or an attorney-in-fact, to represent your monetary interests and act on your behalf. The decisions they make would be binding as if you had made the decisions yourself. With this much responsibility and authority over your financial affairs, it is vital that you carefully choose your agent and that the person you choose have integrity and reliability. Unless you revoke prior to your becoming incapacitated, this arrangement will remain in effect beyond your incapacity and ability to revoke it. That is why it is called “durable”. The legal form is governed by the State of Texas Estates Code, Title 2, Chapter 751.
How to Write
1 – The Form-Template Should Be Downloaded
Use one of the buttons on the right to select the file version of this form appropriate to your preferences and machine. Generally, it is recommended to save a copy onto your computer. You may do so at your discretion or keep it open and work live onscreen with an up-to-date form friendly browser.
2 – Fill In The Requested Information To Complete The Introduction
Initially, both parties must be clearly and separately identified. Locate the blank line labeled “(insert your name and address),” then report the Full Name and Complete Address of the Grantor/Principal.
The second blank space, “(insert the name and address of the person appointed),” enter the Full Name And Address of the Agent, otherwise known as Attorney-in-Fact, named as the recipient of the Principal Authority(ies) named in this form.
3 – Cross Out Or Delete Any Authorities Outside The Scope Of This Document
The subsequent task on this form will be for the Principal to review the list of subject matters below the introduction. Any subject the Principal does not wish to grant the Agent must be crossed off of this list with a horizontal line through the statement. Locate this list below the statement beginning with the words “To Withhold a Power…”
The Real Property Transactions that may normally be conducted by the Principal may also be conducted by the Attorney-in-Fact unless the first line item is crossed out.
The second line item in this form, “Tangible Personal Property Transactions,” provides the Agent with the Power to act upon the Principal’s Personal Tangible Property as if he or she were the Principal. If this is not an Authority the Principal is comfortable granting to this Agent, then he or she must cross out the words “Tangible persona property transactions.”
The Principal may withhold Authority over his or her Stocks and Bonds from the Attorney-in-Fact by crossing out the third line item (“Stock and Bond Transactions”).
The Principal’s Authority over his or her Commodities and Options may also be withheld from the Agent once the Principal crosses out the phrase “Commodity and Option Transactions.”
The fifth item will empower the Attorney-in-Fact with Principal Authority with Banks and other Financial Institutions. If the Principal chooses not to deliver such Powers to the Agent, he or she should cross out the term “Banking and Other Financial Institution Transactions.”
The next line item grants Principal Authority in the Operations of the Principal’s Business(es). If the intended Attorney-in-Fact should not have such Power, the Principal will need to strike through the term “Business Operating Transactions.”
The “Insurance and Annuity Transactions” of the Principal may be designated to this Attorney-in-Fact by virtue of the eighth line item. This type of Authority may be denied to the Attorney-in-Fact by crossing out this item.
If the Principal is a Beneficiary of an Estate, Trust or other such circumstance, the Power to Act with Principal Authority will be afforded to the Attorney-in-Fact regarding such matters through the ninth line item. This may also be denied to the Agent/Attorney-in-Fact by simply striking a line through the words “Estate, Trust, and Other Beneficiary Transactions.”
The Principal’s “Claims and Litigations” are named as a subject of Authority to be granted here. If the Principal does not wish this Authority to be appointed to the Agent, he or she should cross out the tenth line item.
The Principal’s maintenance of his or her family may also be represented by the Attorney-in-Fact through the eleventh line item. To prevent the Attorney-in-Fact from having such Powers, the Principal should cross out the words “Personal and Family Maintenance.”
The Attorney-in-Fact will be empowered with Principal Authority in the Principal’s Social Security, Medicare, Medicaid, or other Government/Civil/Military Service program/benefits through the twelfth item. If the Attorney-in-Fact may not have such power, then he or she must cross out the statement beginning with “Benefits from social security, Medicare, Medicaid…”
The next subject of Authority, “Retirement Plan Transactions,” provides the Agent with the ability to wield Principal Power regarding the Principal’s Retirement Plans and Policy. If the Agent should not be able to wield Principal Power in this matter, the Grantor/Principal will need to cross this line out.
Finally, this form will empower the Agent with Principal Authority regarding the Principal’s Taxes through the last line item. Should the Principal desire to withhold his or her Authority from the Agent in this matter, then he or she must cross out the term “Tax Matters.”
Next, if the Principal wishes to grant the Agent the Principal Authority to make Gifts, then he or she must locate the paragraph beginning with the term “I grant my Agent (Attorney-in-Fact) the power to apply my property to make gifts…” then initial the margin to show agreement. If this power should be withheld, the Principal should cross out this statement.
The Principal may also choose to limit or extend Powers granted to the Agent in this document. If this is the case, locate the set of blank lines below the words “…Limiting or Extending The Powers Granted To Your Agent,” then report any such Limitations or Extensions of Power.
4 – Document Some Facts Regarding When The Agent May Act With Principal Authority
It is also important to determine how Durable the Authority defined in this document is. Locate the statement beginning with the words “Choose One Of The Following…,” then have the Principal cross out the Choice that does not apply. If neither is crossed out, then Choice A will be the default choice and Choice B will not apply.
If the Authority defined goes into effect upon execution and the Agent may continue to utilize the Principal Authority regardless of whether the Principal is incapacitated or rendered disabled, the Principal leave Choice “A” unmarked.
If the Authority defined here only becomes effective upon the Principal becoming disabled or incapacitated, the Principal will leave Choice “B” unmarked.
Next the Principal will have an opportunity to designate a Successor Agent. This may be done on the blank line in the last statement following the words “…as successor(s) to that agent.”
5 – The Document Must Be Properly Signed By The Principal To Execute It
Finally, the Principal must Date and Sign this form. The Signature Principal must enter the Calendar Date, Month, and Year of Signature on the empty spaces following the words “Signed this…”
The Principal should sign his or her Name on the blank line preceding the words “(your signature).”
The Notary Public serving this form must fill in the blanks in the final area then stamp this document with his or her seal.