The power of attorney delegates the right to make the monetary and property transactions specified therein. Power of attorney may be general assigning power to deal with all assets and to take all necessary action, or special allowing only specific acts or control of specific property. If the power of attorney is to remain in effect during periods of incapacity, it must be a durable power of attorney. If the power of attorney is not durable, it can be come invalid during incapacity. The power of attorney is in effect only during life.
Death ends the power of attorney.
Interestingly enough, state law may not require third parties to honor the power of attorney. Some institutions such as banks may have their own forms and be reluctant to accept any others. Often the sale of a home will involve a special power of attorney specific to that transaction even if another authorizing power of attorney exists. Prior awareness of these variants can aid in preparation. It is vitally important that the power of attorney be given only to a trusted party, or if none are available, to a reputable institution that can be held financially responsible for fiduciary decisions.