2011 POWER OF ATTORNEY CHANGES
As of September 1, 2011, there are important changes to the law regarding Enduring Powers of Attorney in British Columbia. The Power of Attorney Act has been significantly amended. Some of the changes are highlighted below:
The old enduring provision of the Act allowing a power of attorney to continue to have legal effect after the maker became incapable, has been repealed. In its place are a number of new sections codifying much of the common law in this area. However non-enduring powers of attorney (for example, your typical commercial power of attorney for an investment account) are unchanged. As well, any enduring powers of attorney validly made in B.C. prior to September 1, 2011 are grandfathered and continue to have effect. There is a new, higher test for capacity to make an enduring power of attorney, including a requirement that the maker of the power of attorney have an understanding of the nature and value of the maker’s assets.
Enduring powers of attorney that are triggered by a specified event (usually incapacity of the maker) are now expressly allowed. Care must be taken when drafting such a document so that it is clear when it comes into effect.
