There is no power of attorney after the death of the principal—this document provides legal effects only while the principal is alive. Upon their death, the agent's authority under this document ends. Understanding these limitations helps people avoid confusion about the scope and potential abuse of power of attorney after the death of a principal.

In this article, we’ll explore what happens with a power of attorney after the principal’s death, how the principal leaving or not leaving a will affects the handling of their estate, and more.

So, let’s get started!

What is a Power of Attorney?

A power of attorney (POA) is a legal document through which a principal authorizes an agent, also known as an attorney-in-fact, to complete specific tasks and make decisions in various areas on their behalf. This document is beneficial when the principal cannot personally handle their affairs due to illness, constant absence, or a lack of time or knowledge.

In such cases, the principal can appoint any individual over the age of 18 who is of sound mind and whom they trust deeply to act on their behalf. Of course, aside from these legal requirements, there are other circumstances to consider to ensure you select the best person to be your power of attorney agent.

Generally, an agent can make financial decisions, manage the principal's tax matters, buy and sell real estate, make healthcare decisions, and represent them in court. In any of these situations, the agent's powers become effective once both the principal and the agent sign the power of attorney.

There could be requirements for having the document signed in the presence of witnesses and/or a notary public, and these requirements differ from state to state.

These powers are effective until the principal revokes them, the agent completes the specific task, or the principal dies. Before we clarify whether a power of attorney endures after the principal's death, let's briefly review the different types of power of attorney.

Types of Power of Attorney

There are several types of power of attorney, namely:

• General POA: Authorizes the agent to handle a wide range of affairs on behalf of the principal.

• Special (Limited) POA: Grants the agent authority to complete specific tasks or make decisions in a designated area.

• Durable POA: Remains in effect even if the principal becomes incapacitated.

• Health care POA: Allows the agent to make healthcare decisions for the principal if they are unable to do so.

• Springing POA: Becomes effective only when a specified event occurs.

• Financial POA: Empowers the agent to manage the principal’s financial matters, such as banking, investments, and property management.

Is There a Power of Attorney After Death?

No, the power of attorney automatically terminates after the principal’s death. The agent is the one who directly takes actions and makes decisions, but the effects of those actions and decisions are transferred to the principal as if the principal had taken them personally.

From this, it follows that when the principal dies, they can no longer take any actions or make decisions, and consequently, neither can the agent. Therefore, their legal relationship, which is based on the power of attorney, ceases. So, after the principal’s death, the power of attorney ends and the agent no longer has any authority over the deceased.

But what happens then with managing the principal’s estate, paying debts related to it, and other post-death obligations? Well, the answer to this question depends on whether the principal left a will or not. So, let’s see the consequences of (not) leaving a will.

What Happens if the Deceased Left a Will?

If the deceased left a will and selected an executor or personal representative, that person will manage the deceased’s estate. The executor can be anyone over 18 years old and of sound mind. However, state laws may dictate additional requirements, such as the executor having to reside in the same state or county as the deceased. These residency requirements vary by state and can affect the appointment of the executor.

Typically, an executor is a family member, attorney, or friend—someone the deceased trusts and who is willing to accept managing the estate.

If this is the case, the executor’s first step is to file a petition for probate with the court, along with the death certificate, the will, and proof of identity. The executor is also required to inventory all assets belonging to the deceased.

Once the documents are reviewed, the court will issue a Letter of Testamentary, officially authorizing the executor to administer the estate. Administering the estate involves:

• Notifying beneficiaries about the deceased’s death and distributing the assets to them according to the will

• Paying any due debts and taxes owed by the estate

• Selling assets if necessary

What Happens if the Deceased Hasn’t Left a Will?

If the deceased hasn’t left a will, the court will appoint an administrator to manage the estate. An administrator is usually a close family member or another person whom the court determines would effectively carry out the role. In some cases, if deemed appropriate, the court may appoint a creditor of the deceased as an administrator.

In any case, the administrator has the same responsibilities as an executor, including filing for probate, submitting the necessary documents, inventorying the assets, paying the debts and taxes, and distributing the assets to heirs and other beneficiaries.

After fulfilling these duties, the administrator submits a final report detailing all actions taken and their effects to the court. Then, the court will review and approve this report if everything is in order.

Final Thoughts

The power of attorney after death has no effect. Once the principal passes away, the authority granted by the power of attorney ceases immediately. What happens to the deceased’s estate then depends on whether they left a will and appointed an executor or not.

In the first case, the executor will ensure that all estate obligations are met and that the estate has been distributed according to the testator’s wishes. In the second case, the court will appoint an administrator based on state law requirements to manage the estate.

In both scenarios, the executor and administrator must follow the procedures set by state law, carry out their duties diligently and fairly, and manage the deceased estate responsibly.

Power of Attorney After Death FAQ