ForMom said:
What is the name of your state? VA and PA
Pulled out the Black's Dictionary, but still need to ask...is a POA a 'contract' in the legal sense/term?
My response:
No. It's more akin to a "trust" than a contract. In a contract, you're usually trading a "bargain for a bargain"; i.e., something of value for something of value - - and you're not doing that with a POA.
A Power of Attorney, however, is a way for the "power of one" (the principle) to be entrusted or transferred to another (the fiduciary) on behalf of the principle, ergo, it's kinship to a "trust.
But, like a contract, a POA can be "breached." If it is breached, it's called a "breach of fiduciary duty."
If I sign a POA to you, and you accept, for the sole purpose of paying my Visa charge card payment each month, and you allow that account to default, that default is a breach of your fiduciary duty to me.
IAAL
