A power of attorney is a legal document in which you appoint the person of your choice to act as your representative in the event that you are unable to represent yourself or unable to make your own decisions. The types of decisions covered by a power of attorney fall into two categories. Property decisions cover all the different financial decisions you might be required to make such as bank deposits, paying bills, investments, buying, selling or refinancing a home, filing income tax, etc. Personal care is defined in the Substitute Decisions Act and includes any decisions about health care, shelter, clothing, nutrition, hygiene, and safety. The person that you appoint as your representative in a power of attorney is called an 'attorney'. When used this way, the word 'attorney' does not mean a lawyer.

In Ontario, there are three different types of powers of attorney, two for property and one for personal care. These include:

A General Power of Attorney for Property has its authority in the Power of Attorney Act. This power of attorney for property is used if a mentally capable person wants to appoint someone to act on their behalf for a specific period of time or for a specific task. A General Power of Attorney for Property ends if the person who gave it becomes mentally incapable.

A Continuing Power of Attorney for Property has its authority in the Substitute Decisions Act. A mentally capable person can appoint someone to act on their behalf while they are mentally capable and/or to act on their behalf in the event of mental incapacity.

A Power of Attorney for Personal Care also has its authority in the Substitute Decisions Act. This power of attorney enables you to appoint an attorney for personal care to make personal care decisions for you if you ever become incapable of making your own personal care decisions. It is only effective if the person who makes it becomes mentally incapable of personal care decision making.

The nature of property and personal care decisions is very different and the legal rules for managing property or making personal care decisions are also very different. Therefore, it is necessary to have two separate powers of attorney to cover both property and personal care.

Mental incapacity can happen to any of us, at any age. It can happen suddenly if a person has a stroke or is in an accident, or it can happen gradually if a person has a disease like Alzheimers. If you haven't appointed an attorney to act as your representative and you become mentally incapable, there's a good chance that the Public Guardian and Trustee will become involved with the management of your finances. It can cost thousands of dollars to change this once it happens. If you became mentally incapable, who would make decisions for you and how would they know what you would decide? Appointing an attorney now is wise and it is cost effective insurance for the future.

Jeanne Best
Best Associates Paralegal Services,
1160 Sunnidale Rd.,
Barrie, ON L4M 4S4

For more information call (705) 722-0849 or visit our web site.
or Email Jeanne at j.best@rogers.com