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==Structure and requirements== ===Capacity of the grantor=== {{Main article|Capacity (law)}} A person, known as the grantor or donor in different jurisdictions, can only create a power of attorney if they have the requisite mental capacity. In some powers of attorney the grantor states that they wish the document to remain in effect even after they become incapacitated, creating a [[#Durable|durable or lasting power of attorney]]. If someone is already incapacitated, it is not possible for that person to execute a valid power, although in some jurisdictions, it may be possible for someone to have the capacity to execute a power of attorney even if they do not have the capacity to make the decisions that they are delegating.<ref>See, for instance, the Ontario ''Substitute Decisions Act'' ({{cite web |title=S.O. 1992, c. 30|url=https://www.ontario.ca/laws/statute/92s30#BK11 |publisher=e-Laws Ontario |access-date=9 December 2018|date=2014-07-24 }})</ref> If a person without a durable power in place does not have the capacity to execute a power of attorney, the only way for another party to act on their behalf may be to have a court impose a [[conservatorship]] or a [[guardianship]]. ===Oral and written=== Depending on the jurisdiction, a power of attorney may be oral and, whether witnessed, will hold up in court, the same as if it were in writing.<ref>{{cite web|title=Power of Attorney|url=https://www.law.cornell.edu/wex/power_of_attorney|publisher=Cornell Legal Information Institute|access-date=22 September 2011|date=2007-08-06}}</ref> For some purposes, the law requires a power of attorney to be in writing. Many institutions, such as [[hospital]]s, [[bank]]s and, in the United States, the [[Internal Revenue Service]], require a power of attorney to be in writing before they will honor it, and they will usually keep a duplicate original or a copy for their records. Nursing homes often follow the same practice. ===Equal dignity rule=== The '''equal dignity rule''' is a principle of law that requires an authorization for someone performing certain acts for another person to have been appointed with the same formality as required for the act the representative is going to perform. This means, for example, that if a principal authorizes someone to sell the principal's house or other real property, and the law requires a contract for the sale of real property to be in writing (which is required under the [[Statute of frauds|Statute of Frauds]] in most U.S. jurisdictions), then the authorization for the other person to sign the sales contract and deed must be in writing too. Likewise, in common-law jurisdictions other than the U.S., a power of an attorney to execute a [[deed]] (i.e. instrument under seal or executed in presence of two witnesses) must be itself executed as a deed. ===Execution=== For a power of attorney to become a legally enforceable document, at a minimum it must be signed and dated by the principal.<ref>{{cite journal |last1=Fatoullah |first1=Ronald A |last2=Forspan |first2=Elizabeth |last3=Gorak |first3=Jeffrey P |last4=Kess |first4=Sidney |title=The Critical Importance of a Power of Attorney for Incapacitated Individuals |journal=The CPA Journal |date=May 2017 |volume=87 |issue=5 |page=18}}</ref> Some jurisdictions also require that a power of attorney be witnessed, notarized, or both. Even when not required, having the document reviewed and signed (and often stamped) by a [[notary public]] may increase the likelihood of withstanding a legal challenge.<ref>{{cite web|title=Preventing Challenges to Your Power of Attorney|url=http://www.agis.com/Document/470/preventing-challenges-to-your-financial-power-of-attorney.aspx|publisher=AssistGuide Information Services|access-date=4 May 2017}}</ref> If the attorney-in-fact is being paid to act on behalf of the principal, a [[contract]] for payment may be separate from the document granting power of attorney. If that separate contract is in writing, as a separate document it may be kept private between the principal and agent even when the power of attorney is presented to others for the purposes of carrying out the agent's duties.
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