Power of Attorney Quiz

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

Who is responsible for liability when a donee acts within the scope of the power of attorney?

Both the donee and donor

The donor (correct)

The donee

Neither the donee nor donor

What is a requirement for a power of attorney concerning family property to be valid?

The head of the family must execute it as a donor (correct)

It must be filed with the court

It must be signed by multiple family members

It can be executed by any family member

Which of the following individuals lacks the capacity to be a donor?

A company in liquidation (correct)

A non juristic person (correct)

An insane person (correct)

A married minor

What differentiates a general power of attorney from a specific one?

Specific powers cover particular acts only Signup and view all the answers

In which situation would a power of attorney NOT be required?

When the donor is physically capable of handling their affairs Signup and view all the answers

What is the primary function of a power of attorney?

To delegate authority for actions on behalf of another Signup and view all the answers

What characterizes a revocable power of attorney?

It can be revoked at any time before the donee acts Signup and view all the answers

Which of the following statements regarding powers of attorney is NOT true?

The donee can execute a conveyance in their own name. Signup and view all the answers

Which of the following entities lacks the capacity to be a donee?

An unincorporated entity Signup and view all the answers

What is essential for the creation of a power of attorney?

It must be created in writing Signup and view all the answers

Which aspect indicates that a power of attorney can be considered irrevocable?

It is usually intended to be binding for a specific purpose. Signup and view all the answers

When can a power of attorney be considered irrevocable?

When it is coupled with interest Signup and view all the answers

In what scenario can a power of attorney be coupled with interest?

When there is a financial agreement between the parties. Signup and view all the answers

What does not constitute a feature of a power of attorney?

It acts as an instrument of conveyance. Signup and view all the answers

What occurs if a power of attorney is executed by both the donor and donee?

It does not invalidate the delegation. Signup and view all the answers

How does the power of attorney empower the donee in legal matters?

By requiring them to use the principal's name for transactions. Signup and view all the answers

Which of the following statements captures the essence of a power of attorney best?

It acts as a temporary authorization to represent another person. Signup and view all the answers

Study Notes

Power of Attorney Overview

A Power of Attorney (POA) allows one individual (agent) to act on behalf of another (principal).
The donee can execute documents in their own name with the principal's authority, making these actions legally binding.

Features of a Power of Attorney

Serves as a delegation of authority, not as a conveyance instrument.
Exceptionally, it can be considered valid for property transactions if original intent is clear.
Can be established for valuable consideration and may involve an interest.
Generally, POAs are irrevocable but can be revocable based on their purpose.
Typically executed by one party; joint execution by donor and donee is acceptable.
The principal (donor) must be legally recognized.
Donee incurs no liability if acting within their designated power; liability rests with the donor.
For family property, the head of the family must execute the POA.

Creation of a Power of Attorney

A POA can be created in writing or by deed (under seal), with written documentation being essential.

Capacity Requirements

Donor must have legal capacity; exceptions include:
- Infants (except married minors)
- Undischarged bankrupts
- Insane individuals
- Unincorporated entities
- Companies in liquidation or winding up
- Enemy aliens
Donees must also have legal capacity; restrictions include:
- Partnership firms
- Insane individuals
- Infants
- Unincorporated entities
- Undischarged bankrupts
- Non-juristic persons

Types of Power of Attorney

General vs. Specific:
- General POAs provide broad powers; specific POAs focus on particular actions, like managing rental properties.
Revocable vs. Irrevocable:
- Revocable POAs can be terminated by the donor anytime before exercise; irrevocable POAs are often tied to interest or time-limited engagements.

Appointment and Functionality

Donors may appoint multiple attorneys via a single document, and appointing does not restrict the donor from also exercising their powers.
Situations necessitating a POA include:
- Donor's unavailability to manage affairs.
- Difficulties due to health issues or disabilities.
- Protection of interests in real estate transactions.

Legal Precedents

Various cases (e.g., Ude v Nwara, Chime v Chime) demonstrate the principles surrounding POA validity and execution rights.

Studying That Suits You

Use AI to generate personalized quizzes and flashcards to suit your learning preferences.

Description

Test your understanding of Power of Attorney (POA) concepts and legal implications with this quiz. Explore key cases such as National Bank of Nigeria Ltd v Korban Brothers and more. Ideal for law students and legal professionals.