A power of attorney (POA) can end in many different ways. Sometimes a POA automatically terminates. You can also take measures to revoke a POA at any time. It's usually a simple task.
When Does a Power of Attorney End?
Many POAs that are made as part of an estate plan are "durable," meaning that they remain in effect even if the principal becomes incapacitated. A durable power of attorney terminates automatically when:
- the person who made the power of attorney (called the "principal") revokes it
- the principal dies,
- no agent (also called attorney-in-fact) named in the POA is available, or
- the POA expires according to its own terms.
But if the POA is not a durable one, then it would also terminate upon the principal's incapacitation. (Learn more about durable and other types of power of attorneys.)
In addition, in most states, if an agent and principal were married, an agent's authority to act under the power of attorney automatically terminates when they get divorced.
Example: Amy made a POA that named her spouse Jamie as her agent, authorized to act on her behalf. Later, Amy and Jamie got divorced. After the divorce, Jamie no longer had the power to act on Amy's behalf.
Still, if you do get a divorce, it's best to revoke the old POA and make a new one
How Do You End or Revoke a Power of Attorney?
As principal, you can revoke a power of attorney at any time as long as you have the mental capacity to do so. In many states, you can end your power of attorney in a few different ways, such as:
- Verbally
- Through an action that expresses your intent to terminate the POA—for example, by intentionally destroying the document
- In writing.
But it’s always best to revoke a POA in writing. It's far better—and much more clear—to make a document that explicitly revokes your POA. Some states have "statutory forms"—fill-in-the-blank forms set out in the state's statutes—you can use for this purpose.
When you revoke your power of attorney, you should also send written notice of the revocation by certified mail to your agent. This ensures your agent knows that the power is terminated. It’s also a good idea to send copies of the revocation to any third parties, such as financial institutions, who might have relied on the revoked POA or might do so in the future.
Who Can Revoke Your POA?
No one can revoke your power of attorney; only you can do it. The one exception is if a court appoints someone to act for you; that person would typically have the power to revoke your POA.
Note that you must be of sound mind to revoke your durable power of attorney. It's not usually a difficult requirement to meet; you simply need to understand the consequences of signing the revocation.
Why Would You Terminate a Power of Attorney?
Here are some reasons you might want to consider revoking a POA:
- You want to change the terms of the original POA
- You moved to a different state (it's best practice to create a new POA that conforms with your state's laws)
- You got married or divorced, and therefore want to change who you named as your agent
- Your relationship with your agent changed
- Your agent can no longer be trusted
- Your agent moved far away, so that it would no longer be convenient for them to handle your matters
- Your POA was created for a specific purpose, and it is no longer needed.
What If an Agent Doesn’t Know the Principal Died?
Occasionally, an agent will continue to act under a POA even after the principal has died (and the POA therefore is automatically terminated). To protect the agent, many state laws do not terminate the agent's authority until the agent has actual knowledge of the death. If there is a period of time when the agent continues to act under the POA because the agent doesn’t know that the principal has died, the agent’s actions will be legal and binding as long as the agent continued to act in the best interest of the principal. This also protects third parties who deal with the agent and who accept the agent’s power to act.
EXAMPLE: Sheila uses a power of attorney to give her close friend John the power to manage her personal finances, including dealing with her homeowner’s insurance. On Wednesday, Sheila passes away in a car accident, terminating the power of attorney. The hospital notifies Sheila’s estranged family about her death, but no one knows to notify John. On Thursday, John uses his power as Sheila’s agent to purchase new insurance for her home, as she had requested. Even though the power of attorney was officially terminated at the time that John bought the insurance, John’s actions will still be binding on Sheila’s estate (and the insurance company) because he did not know about her death when he acted on her behalf.
Third Parties Accepting POAs Sometimes Need Assurance
To provide assurance to third parties (like banks) that they can rely on a power of attorney, some state laws provide an affidavit for an agent to sign. The affidavit swears that the agent has no knowledge that the POA has been terminated. Such affidavits encourage acceptance by third parties, because they can treat the affidavit as conclusive proof that the power has not been revoked or terminated.
When Does an Agent's Authority Under a Springing POA Terminate?
Some powers of attorney become effective only when the principal has been determined by a third party (often a doctor) to be incapacitated. This type of power of attorney is called a springing power of attorney. (Note that springing POAs can be problematic.) The authority of an agent under a springing POA ends when the principal regains capacity. This is not a termination of the entire power of attorney, because the power of attorney could go into effect again if the principal becomes incapacitated again. But renewed capacity does terminate the agent’s current ability to act under the document.
Springing POAs normally contain a section that defines capacity and gives a mechanism for determining when capacity has been restored—a doctor's statement, for example. Often the same mechanism used to trigger the agent's authority can be used to end the authority once the principal has recovered.
How Much Does It Cost to Revoke a Power of Attorney?
You can both revoke and make a simple power of attorney yourself. Some states even offer free statutory forms, though these forms might not always be easy to understand. For an easy-to-use guided service, try Quicken WillMaker & Trust, which can save you a significant amount compared to a lawyer.But if you have a complicated situation, or just want to get some personalized advice, see a good estate planning attorney for help.
Next Steps
Here are some resources to explore if you're interested in revoking your POA or creating a new one, or both.
- State statutory forms. You can check if your state offers a form to revoke your POA.
- Do-it-yourself offerings. Some private companies also sell forms for revoking or creating a POA in your state. Just make sure you use a reputable service, such as Quicken WillMaker & Trust.
- Estate planning attorneys. Estate planning attorneys can also offer help with your POA or revocation. While this is the most expensive option, many attorneys offer POA help as part of an estate planning package, so if you also need help creating a living trust or other documents, you might be able to include that in a flat fee. Get started with our lawyer directory.