New Power of attorney law effective July 1, 2024

Michigan’s Uniform Power of Attorney Act (UPOAA) was signed into law last fall, but the law went into effect just last month on July 1, 2024. 

If you already have a power of attorney signed before July 1, 2024, there is no reason to be concerned that your power of attorney will become ineffective under the new law, as long it was legal under the laws of Michigan at the time it was signed.

What is a power of attorney? A power of attorney is a document that provides certain powers to another individual to act on your behalf. Many individuals create “durable” powers of attorney, which are effective even in the event of your incapacity. These durable powers of attorney have become an important part of many typical estate plans. Without a durable power of attorney, your loved ones may have to go to court to be appointed as your conservator if you should become incapacitated.

Generally speaking, the UPOAA is far more detailed than Michigan’s prior law on powers of attorney. This is the first time that Michigan law has specified what an agent can and cannot do on your behalf. Although the powers available under the UPOAA are very broad, an agent does not have the right to give gifts, make changes to a living trust, change rights of survivorship, create or change beneficiaries, delegate powers and more unless those restricted powers are specifically authorized by you in the document.

Follow this blog for more information about Michigan’s Uniform Power of Attorney Act (UPOAA) and other recent changes in the law that might have an impact on your estate plan.