Are you able to make Enduring Powers Of Attorney in NZ? You may be interested to learn more about what might happen if you lose your mental capacity, whether it is due to old age, an unforeseeable accident, or illness.
Enduring Powers of attorney in New Zealand is a sort of power of attorney that can be created by anyone in New Zealand. This is thanks to an Act of Parliament called "The Protection of Personal and Property Rights Act 1989". There are two types of power of attorney: one for personal care and welfare, and another for property matters. We can only appoint one attorney for our personal care and wellbeing. However, we can appoint multiple attorneys if we so desire.
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These types of power of attorneys are different from a traditional power of attorney. The Enduring Power of Attorney, as the name suggests, remains in full force and effect even if we lose our mental capacity. Any other power of attorney is no longer valid if there is a loss of mental capacity.
You might be thinking you have heard this all before. But, if you don't have Enduring Powers of Attorney, what happens if your mental capacity is lost? This is what the Protection of Personal and Property Rights Act does. It allows for an application to the Family Court to have someone appointed to either a personal welfare guardian or property manager.
There are many circumstances in which it might not be financially prudent to pay the Court for a manager or welfare guardian. Consider a situation in which the person has lost their mental capacity, but they do not own any substantial property. In these circumstances, it might not be necessary to file a court application to have a Welfare Guardian appointed. This is especially true if there is a spouse or partner.