A power of attorney is a document which authorizes one person — the agent — to act on behalf of another person — the principal. By statute, the principal may petition a court for an accounting of the agent’s activities under the power of attorney. In certain circumstances, the principal’s family may petition. Section 404.727,…
Legal Articles
Power of Attorney and Attorney-in-Fact Liability
Power of attorney instruments for finances are common estate planning tools. The parties to a power of attorney are the principal and attorney-in-fact. The principal designates and nominates the attorney-in-fact to engage in specified and authorized activities on the principal’s behalf. The attorney-in-fact is a fiduciary and must act in the principal’s interests. The relationship…
Contractual Ratification and Agency
“Agency” generally refers to one person, an agent, acting on behalf of another, a principal. Ratification is when one approves a contract or transaction after the fact, even though it may have been void or voidable at the time it was originally contemplated or executed. Ratification in the context of agency is the express/implied adoption…
Unpaid Commissions
Missouri has specific statutes relating to claims for unpaid commissions. Under Section 407.913, RSMo: Any principal who fails to timely pay the sales representative commissions earned by such sales representative shall be liable to the sales representative in a civil action for the actual damages sustained by the sales representative and an additional amount as…
Power of Attorney Litigation, Attorney Fees
An attorney-in-fact for a principal under a power of attorney has a fiduciary obligation to act in the best interests of the principal consistent with the terms of the power of attorney document. When an attorney-in-fact breaches his or her obligations, the principal, a family member of the principal or some other successor in interest…
Power of Attorney Self-Dealing
An attorney-in-fact acting for a principal under a power of attorney instrument has a legal obligation to act in the principal’s best interests. For this reason, certain powers must be expressly authorized to be valid. Section 404.710.6, RSMo provides, in part, that there must be express written authority in the power of attorney document for…
Power of Attorney Litigation
A power of attorney (“POA”) is a legal document where a principal appoints an attorney-in-fact to take actons on the principal’s behalf. The authority granted to an attorney-in-fact most often pertains to financial decisions and healthcare decisions. An attorney-in-fact owes a fiduciary duty to the principal and must act in the principal’s best interests. The probate…