If you became ill or disabled without a Lasting Power of Attorney (LPA) and you were unable to manage your financial affairs, no one could act on your behalf unless they first went to court and were appointed to act on your behalf by the Court of Protection. Even your spouse and children would be powerless to act on your behalf.
Although the courts will appoint someone to act for you and to protect your interests, this is not always a desirable alternative, for the following reasons:
- The delay. It can take several weeks or even months to have someone appointed who will have the authority to make legal, financial and business decisions on your behalf. With an LPA the person you appoint (called the ‘Attorney’) can act for you as soon as the power is registered. As a result, someone you trust will continue controlling your interests.
- Selecting your Attorney. When someone is ill or disabled, they lose the ability to select their Attorney and the court may or may not appoint the person you would prefer as Receiver.
- The advantages of immediate and lasting delegation. From the date on which the LPA is registered, your Attorney has the authority to act on your behalf unless you have specifically excluded certain powers. This means that you can take advantage of being able to delegate responsibilities if, for example, you go on holiday.