Entrusting someone with the authority to act on your behalf for financial, healthcare, or property matters is a significant legal step. In Washington State, this is done through a Power of Attorney (POA), a document that provides support when you cannot make decisions independently.
Knowing Washington’s POA regulations helps ensure your wishes are legally followed. Whether planning for potential incapacity or helping a loved one, understanding these rules can prevent confusion.
Requirements for Validity
For a Power of Attorney to be legally binding in Washington State, specific conditions must be met when it’s created. The person granting authority, known as the principal, must have the mental capacity to understand the document’s nature and what it means. A POA created without the principal’s full understanding can be legally challenged and invalidated.
The POA document must follow requirements in the Revised Code of Washington (RCW).1Washington State Legislature. Chapter 11.125 RCW: Uniform Power of Attorney Act It must be a written document signed by the principal. If the principal cannot physically sign, another person may sign the principal’s name in their presence and at their direct instruction.
To make the POA valid, the principal’s signature (or the signature of the person signing for them) needs either acknowledgment before a notary public or confirmation by at least two competent adult witnesses. These witnesses must understand the document and cannot be the named agent. They verify the principal seemed of sound mind and was not under pressure when signing, as outlined in RCW 11.125.050.2Washington State Legislature. RCW 11.125.050: Power of Attorney—Requirements The document must also clearly name the agent and define the powers given.
Types of Delegation
Washington State law allows for different ways to delegate decision-making authority, suiting various needs. The scope and duration of the powers given can be customized, leading to different types of Power of Attorney documents.
General
A General Power of Attorney in Washington State gives broad authority, letting the agent perform most legal acts the principal could. This includes managing finances, handling property deals, entering contracts, and dealing with tax issues. The specific powers are listed in the document, and RCW 11.125.240 outlines potential areas like real and personal property, stocks, bonds, and banking.3Washington State Legislature. RCW 11.125.240: Agent—Authority Over Principal’s Property
A General Power of Attorney is effective upon signing. It ends if the principal becomes incapacitated, unless it includes language to make it durable.
Limited
A Limited Power of Attorney, sometimes called a Special Power of Attorney, restricts the agent’s authority to specific actions or a set timeframe. This is useful for help with particular tasks or for a temporary period, like selling property while the principal is away or managing a bank account for a short time.
The document must clearly state these limitations. RCW 11.125.070 specifies that an agent can only use authority specifically granted.4Washington State Legislature. RCW 11.125.070: Power of Attorney—Meaning and Effect Clear drafting is important to keep the agent’s actions within the intended limits.
Durable
Durability can be added to General or Limited Powers of Attorney. A Durable Power of Attorney remains effective if the principal becomes mentally incapacitated after signing.
RCW 11.125.060 allows for durable powers with specific wording, like, “This power of attorney is not affected by the subsequent disability or incapacity of the principal or lapse of time,” or similar phrases.5Washington State Legislature. RCW 11.125.060: Power of Attorney—Validity This helps plan for future incapacity, letting an agent manage affairs without interruption. A durable POA can also be a springing type, becoming effective only when the principal becomes incapacitated, which needs a clear definition of what triggers incapacity.
Agent Selection Criteria
Choosing an agent for a Power of Attorney is an important decision, as this person will handle significant financial or personal healthcare tasks. Washington State law has some baseline qualifications and highlights the agent’s duties to the principal.
According to RCW 11.125.080, an agent must be one of the following:
- An individual at least eighteen years old
- A financial institution with trust powers
- A nonprofit corporation
- Another person or entity authorized to act as a fiduciary
Trustworthiness is a key factor when selecting an agent. This person will access assets, personal information, and make decisions impacting the principal’s well-being and finances, so a history of honesty and reliability is important. Principals should choose individuals with good judgment who will prioritize the principal’s best interests.
RCW 11.125.100 outlines an agent’s duties, which include acting in good faith, within the given authority, and loyally for the principal’s benefit. This means the agent must responsibly manage the principal’s affairs.
The agent’s ability to perform the duties is also a consideration. Managing finances, property, or healthcare choices requires competence and diligence. The principal should assess if a potential agent has the necessary skills, time, and willingness for the role.
Naming a successor agent in the POA is a good idea for continuity if the primary agent cannot serve.6Washington State Legislature. RCW 11.125.110: Coagents—Successor Agents—Liability Discuss the role with the proposed agent to confirm they are willing to accept the responsibilities and understand the duties involved.
Termination Procedures
A Power of Attorney is not always permanent and can be ended in several ways under Washington State law. The principal can revoke it at any time, as long as they have the mental capacity to understand this decision.
To revoke a POA, the principal executes a written Revocation of Power of Attorney. While no specific form is required, a written, signed, and notarized document is recommended to avoid disputes about the revocation’s validity.
The principal should notify the agent after deciding to revoke. An agent’s authority stops when the principal revokes the POA, and RCW 11.125.110 states this authority also ends when the agent learns of the termination.
Third parties who relied on the POA, such as financial institutions or healthcare providers, should also be informed. Without notice, an agent might continue to act. Third parties unaware of the revocation may be protected if they follow the agent’s instructions in good faith (RCW 11.125.190).7Washington State Legislature. RCW 11.125.190: Acknowledged Power of Attorney—When May Rely Upon—Certification or Translation Request Providing these parties with copies of the written revocation helps enforce the principal’s wishes.
A Power of Attorney can also end automatically. The principal’s death always terminates a POA. If the POA document includes a termination date or a specific event, it will end at that time.8Washington State Legislature. RCW 11.125.100: Power of Attorney Termination—Agent Authority Termination
The principal’s incapacitation affects POAs differently. A non-durable POA ends if the principal becomes incapacitated. A Durable Power of Attorney, however, stays effective.
An agent’s authority also ends if a court appoints a guardian for the principal’s estate, unless the court order says otherwise. The agent’s death, incapacitation, or resignation will also terminate their authority. If no successor agent is named in these situations, the POA might become ineffective.