Legal Matters
Contracts
It is essential that you read and understand any contract to pay fees to a care home before you sign it. If necessary, take both legal and financial advice before committing yourself.
Power of Attorney
You may feel a need to appoint someone, possibly a close friend, relative or professional adviser to be responsible for your affairs. A power of attorney is a document authorising one or more persons to act for you on your behalf. The document can authorise another person to sign papers relating to particular limited matters or in relation to all dealings, depending on the degree of authority granted. A solicitor can draft precisely the type of power of attorney you may require.
Since 1st October 2007 the rules concerning managing the affairs of a person lacking mental capacity have changed. Enduring Powers of Attorney (EPAs) drawn up, signed and witnessed before the 1st October 2007 will still be legal and acceptable to the Court of Protection but moving forward from that date a Lasting Power of Attorney (LPA) will be required to manage affairs on behalf of another.
Lasting Power of Attorney (LPA)
The most significant difference between a LPA and an EPA is that an EPA can be used like an ordinary power of attorney until such time when the person no longer has capacity, at that time it has to be registered and continues (endures) whereas an LPA can only be used once the person lacks capacity and must be registered at that time. The other difference is an EPA enables you to appoint someone to manage financial affairs whereas a LPA can also be used for decisions relating to health and welfare.
Further information on any aspect of Lasting Power of Attorney and Deputyship can be obtained from the Office of the Public Guardian at www.publicguardian.gov.uk or telephone 0845 330 2900
Making a Will
It is essential that legal advice is sought when making a will, as it cannot be enforced unless it is properly drawn up. It is also extremely unlikely that the laws of intestacy will distribute your estate in the way that you wish and dying intestate imposes unnecessary extra burdens on the family which can easily be avoided.
Trusts
These can be used to organise your estate in a way in which you feel it may most benefit you and your family. They are particularly useful in giving consideration to inheritance tax planning.
