Alabama Durable Financial Power of Attorney Form

The Alabama durable financial power of attorney is a form written to designate duties related to monetary issues only. The principal will be required to initial every right they would like to grant to the agent and must be presented every time it is used. This document would be particularly helpful in providing written information regarding the wishes of the principal should a crisis arise, the principal becomes incapacitated or in need of assistance to maintain financial matters during a serious disability and/or end of life situation. This form is usually in force immediately and remains in effect for use by your agent(s) to assist in handling your finances for as long as it’s needed. It may be constructed to be as limited or as broad as the principal chooses it to be. If you recover, the directive of the form ends and a new one must be created or you must reinstate your current power of attorney for future use by your agent(s) or Attorney(s)-in-fact. This is designed to protect the principal in the event of a full recovery. Otherwise, the document ends upon the death of the principal unless otherwise stated.

Laws – § 26-1A-301 & § 26-1A-302

How To Write

Step 1 – Begin by reviewing the “Important Information” section of page one. This will assist you in better understanding the construct of the document and how you will be affected as the principal. At the end of page one, enter the following, into the fields provided:

  • Designation of Agent (Enter the name of the Principal)
  • Name of Agent or the person who will be handling the financial needs for the principal
  • List the Agent’s physical address
  • List the Agent’s telephone number

designation of agent

Step 2- This section is optional and may be used by the principal in the event the first listed agent is, for whatever reason, no longer able or willing to carry out the financial duties of the principal. If you would like, you may also designate one or more successor agents while you are completing the following”

  • Name of Successor Agent
  • Successor Agent’s physical address
  • Successor Agent’s telephone number

Second Successor Agent may be designate by providing:

  • The name of the second successor agent
  • The physical address of the second successor agent
  • The telephone number of the second successor agent

successor agents info

Step 3 – Grant of General Authority – In this section, you will initial the line to the left side of each subject for which you (the principal) would like to grant authority to your agent(s). If you review the subjects and would like to grant all subjects of authority to your agent(s) you must simply sign on the signature line. If, in fact, you would prefer to limit authority, do not sign on the line stating you would like to grant all authority to your agent(s) but, initial each line for which you choose to grant authority:

  • Any Real property as defined in Section 26-1A-204
  • Any Tangible Personal Property as defined in Section 26-1A-205
  • Any Stocks and Bonds as defined in Section 26-1A-206
  • Any Commodities and Options as defined in Section 26-1A-207
  • Any Banks and Other Financial Institutions as defined in Section 26-1A-208
  • Any Operation of Entity or Business as defined in Section 26-1A-209
  • Any Insurance and Annuities as defined in Section 26-1A-210
  • Any Estates, Trusts, and Other Beneficial Interests as defined in Section 26-1A-211
  • Any Claims and/or Litigation as defined in Section 26-1A-212
  • Any Personal and Family Maintenance as defined in Section 26-1A-213
  • Any Benefits from Governmental Programs or Civil or Military Service as defined in Section 26-1A-214
  • Any Retirement Plans as defined in Section 26-1A-215
  • Any Taxes as defined in Section 26-1A-216
  • Any Gifts as defined in Section 26-1A-217

powers of agent

Step 4 – Grant of Specific Authority – This section addresses authorizations you, as principal, may or may not choose to allow your agent(s) to do. This section should be approached with care inasmuch as these actions taken by your agent(s) could completely change how you wish your property to be distributed at your death. You must initial any of the subjects you wish to grant authority to your agent(s) otherwise they will have no legal right to take any of the following actions:

  • Create, amend, revoke, or terminate an inter vivos trust, by trust or applicable law
  • Make a gift to which exceeds the monetary limitations of Section 26-1A-217 of the Alabama Uniform Power of Attorney Act, but subject to any special instructions in this power of attorney
  • Create or change rights of survivorship
  • Create or change a beneficiary designation
  • Authorize another person to exercise the authority granted under this power of attorney
  • Waive the principal’s right to be a beneficiary of a joint and survivor annuity, including a survivor benefit under a retirement plan
  • Exercise fiduciary powers that the principal has authority to delegate

grant of specific authority

Step 5 – Limitations on Agent’s Authority –

  • Review the limitations as stated by Alabama state law with regard to this document.

Step 6 – Special Instructions – This section is optional. Once you review the limitations section you may decide to be more specific. If there are any changes, additions, subtractions or special instructions of any kind, they may be added into the lines provided. If more room is required, you may add them on a separate sheet to be certain that all subjects are specifically and carefully noted as per the specific wishes of the principal.

  • If you choose to make the “Effective Date” another date besides the immediate, you must state this in the special instructions.

alabama-medical-poa-limitations on agents authority

Step 7 – Nomination of Conservator or Guardian – This section is optional and may be completed if the principal would like someone other that the appointed agent(s) to step into this role. If the courts find it would be necessary for a conservator or guardian to oversee decisions over yourself and/or your estate, you may nominate them by entering their following information into the fields provided.

  • Name of Nominee for conservator or guardian of the estate
  • Nominee’s Address
  • Nominee’s Telephone Numbe
  • Name of Nominee for guardian of my person
  • Nominee’s Address
  • Nominee’s Telephone Number

nomination of conservator

Step 8 – Reliance on this power of attorney – review the brief statement addressing the use and validity of the document. You must retain a notary public to complete this document as a notary witness and stamp will be required. You would then provide:

  • The principal’s signature of acknowledgement
  • The date of the principal’s signature
  • The printed name of the principal
  • The principal’s physical address
  • The principals telephone number
  • Name of the state in which the document is being completed and witnessed
  • Name of the county within the state in which the document is being completed and witnessed

power of attorney signature

Step 9 – The final step to complete this document will be completed by the notary public. The document must be reviewed, the notary portion of the document must be completed and The notary stamp must be applied. This would complete the document. Unless otherwise stated in the special instructions, the document will be immediately in force and would be placed into the hands of the agent who would be responsible for the financial well being of the principal. Once the agent takes possession of the document, there is a section for the agent to review to be certain that they understand what is needed for them to remain in compliance with the wishes of the principal and the legalities of the document.