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Temporary Power of Attorney: What You Need to Know

A temporary power of attorney (POA) is a legal document that grants someone limited authority to act on another person’s behalf for a specific period or purpose. Unlike a durable POA, which remains in effect indefinitely, a temporary POA automatically expires once the specified condition or time frame ends.

Understanding how a temporary power of attorney works is essential for individuals who need short-term assistance managing legal, financial, or medical matters.

What Is a Temporary Power of Attorney?

A temporary power of attorney allows a person (the principal) to delegate authority to another person (the agent or attorney-in-fact) for a limited duration or specific event. This document is commonly used when the principal:

• Will be out of the country or unavailable for an important transaction.
• Needs someone to manage their finances temporarily due to illness or incapacity.
• Requires short-term medical decision-making authority for a child or dependent.
• Wants an agent to handle real estate transactions while they are unavailable.

Unlike other types of POAs, a temporary POA must clearly define the scope of authority and an expiration date or condition for termination.

When Is a Temporary Power of Attorney Used?

A temporary POA is beneficial in various situations, including:

1. Real Estate Transactions

If a property owner cannot be present to sign documents for a sale or mortgage closing, a temporary POA allows a trusted individual to sign on their behalf.

2. Business or Financial Management

Business owners who travel frequently may grant a temporary POA to an employee or partner to manage financial transactions while they are away.

3. Medical Decisions for a Minor

Parents can assign a temporary POA to a caregiver, allowing them to make medical decisions for a child while the parents are away.

4. Military Deployment

Service members may use a temporary POA to grant a spouse or trusted individual authority over their financial and legal affairs during deployment.

How to Create a Temporary Power of Attorney in Texas

For a temporary POA to be legally valid in Texas, it must include:

1. The Principal’s Name – The person granting the authority.
2. The Agent’s Name – The individual receiving the authority.
3. Specific Powers Granted – Clearly define the powers the agent has (e.g., financial, legal, medical decisions).
4. Effective Start Date – When the POA begins.
5. Expiration Date or Condition – When the POA terminates.
6. Signatures – The principal must sign the document.
7. Notarization – Texas law requires POAs to be notarized for real estate or financial transactions.

If the POA is intended for medical decision-making, additional legal forms may be required under Texas law.

Limitations of a Temporary Power of Attorney

While a temporary POA provides flexibility, there are key limitations:

• It cannot override a court order – If a court has appointed a legal guardian, a temporary POA cannot override that authority.
• It expires as specified – Once the expiration date or condition occurs, the agent’s authority ends automatically.
• It does not grant permanent authority – Unlike a durable POA, a temporary POA is designed for short-term use only.

How to Revoke a Temporary Power of Attorney

A principal can revoke a temporary POA before its expiration date by:

1. Drafting a revocation document stating that the POA is no longer valid.
2. Notifying the agent in writing and requesting the return of any POA copies.
3. Informing relevant third parties (e.g., banks, real estate agents) that the POA has been revoked.
4. Filing the revocation with the county recorder if the POA was recorded for real estate transactions.

Conclusion

A temporary power of attorney is a useful legal tool for delegating authority in short-term situations. Whether for real estate transactions, financial management, or medical decision-making, a temporary POA provides flexibility while ensuring responsibilities are handled smoothly. However, it must be properly drafted and notarized to be legally enforceable in Texas.

If you need help creating a temporary power of attorney that meets legal requirements, The Lange Firm can provide expert guidance.