What Makes a Power of Attorney "Durable"
The word "durable" is the key here. A standard power of attorney can stop working if the person who created it becomes unable to act. A durable power of attorney is built to survive that scenario.
The form must contain words showing the principal's intent. In other words, it must say the authority continues even if the principal later becomes disabled or unable to act.
A durable power of attorney is a written instrument by which a principal designates another person as the principal's agent. The instrument shall contain words that demonstrate the principal's intent that the authority conferred in the durable power of attorney may be exercised: 1. If the principal is subsequently a person with a disability or incapacitated. 2. Regardless of how much time has elapsed, unless the instrument states a definite termination time.
A.R.S. § 14-5501(A)Two common phrases work. One says the power of attorney is not affected by later disability or time. The other says it takes effect when the principal becomes disabled. Similar language also works.
Steps to Create a Valid Document
Making a valid durable power of attorney takes more than just signing a form. The document must clearly name the principal and agent.
The principal must sign it (or have someone sign for them while the principal is present and aware). A witness who is not the agent or the agent's family must also sign. Finally, a notary must notarize it with sworn statements from both the principal and witness.
A power of attorney executed in another jurisdiction of the United States is valid in this state if the power of attorney was validly executed in the jurisdiction in which it was created.
A.R.S. § 14-5501(C)Powers of attorney created in other states also count here. They just need to follow that state's rules. This matters for people who move here or own property here while living elsewhere.
A durable power of attorney usually covers money matters and business deals. It is different from a health care power of attorney, which covers medical choices. Many estate plans include both types so that a trusted person can step in on each front.