**Durable Power of Attorney** (noun) — A power of attorney that remains valid and effective even if the person who created it (the donor) loses mental capacity, allowing the appointed person to continue managing affairs during incapacity.
A durable power of attorney is a legal document that lets someone manage your financial affairs and continues to work even if you become mentally incapacitated. The "durable" part means it endures through your incapacity, unlike an ordinary power of attorney which would automatically end if you lost mental capacity.
This is the type of power of attorney most people need for estate planning purposes. Without the durable feature, a regular power of attorney becomes useless exactly when you'd need it most—when you can no longer manage your own affairs due to dementia, stroke, or other conditions affecting your mental capacity.
Different jurisdictions use different names for essentially the same thing. In the United States, it's typically called a "durable power of attorney." In Australia, similar documents are called "enduring powers of attorney." Despite the different names, they serve the same function: ensuring someone can manage your financial affairs if you become incapacitated.
⏱ When you'll encounter this term
When you're setting up estate planning documents, a durable power of attorney is usually one of the essential documents alongside your will. It appoints someone you trust to handle your financial affairs if you're unable to do so yourself, whether temporarily or permanently.
Without a durable power of attorney, if you lose capacity, your family would need to apply to court for guardianship or conservatorship to manage your affairs. This process is expensive, time-consuming, and public. It also means a judge, rather than you, decides who manages your money and property.
The person you appoint under a durable power of attorney has significant authority, so choose carefully. They might be able to access your bank accounts, sell your property, or make investment decisions. You can limit their powers if you wish, but the document needs to be comprehensive enough to cover situations you might face. Most people appoint a trusted family member, close friend, or professional advisor.
**Related terms:** [Enduring Power of Attorney](/dictionary/enduring-power-of-attorney), [Power of Attorney](/dictionary/power-of-attorney), [Incapacity](/dictionary/incapacity)
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