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Should we accept a power of attorney that is four years old? – IBA Compliance Connection

Should we accept a power of attorney that is four years old?

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Under the Illinois Power of Attorney Act, a power of attorney remains in effect until either the person granting the power (the “principal”) dies or until the principal revokes it. 755 ILCS 45/2-5. Further, the Act provides a safe harbor from liability if you act “in good faith reliance on a copy of a document purporting to establish an agency.” Section 2-8, subsection (a).

You may demand an affidavit or a form “Agent’s Certification and Acceptance of Authority” from the agent (and the Act requires the agent to provide it), but you do not need to request such documentation to benefit from the Act’s safe harbor. Id. The form for the “Agent’s Certification and Acceptance of Authority” is in Section 2-8, subsection (b). However, the Act also requires that you comply with any direction from an agent, and any institution that “fails to comply arbitrarily or without reasonable cause shall be subject to civil liability for any damages resulting from noncompliance.” 755 ILCS 45/2-8(d).