Can an agent act when the principal is incompetent or disabled?
Yes. For centuries, an agent could not act if and when the principal became incompetent. In modern times, this restriction made it difficult, if not impossible, for third parties to follow any instructions or directions given by the agent on the principal’s behalf. The law has since been changed, and now provides that an agent can act when the principal is incompetent as long as the principal has specifically stated in the power of attorney document that the agent will have authority even if the principal becomes incompetent or disabled. Can an agent make gifts of the principal’s property? An agent cannot make gifts of the principal’s money or property unless the principal has specifically given this significant authority to the agent. Even if very general or broad authority is given to an agent (for example, authorizing the agent to do anything that the principal can do), this still does not give the agent the authority to make gifts of the principal’s money or property. A person may,