Power of Attorney: Oregon Guidelines, Types, and Process

What is a power of attorney?

A power of attorney is a legal document granting an individual (or individuals) the authority to act on behalf of another person. The principal drafts a POA to allow an agent to handle their financial matters or personal affairs. This can include managing bank accounts, selling property, or making medical decisions on their behalf. The document can be broad in scope or limited to specific circumstances.

Scope of an Oregon power of attorney

Oregon law allows principals to grant agents broad or limited authority through a POA form. This document defines its scope, ensuring the principal's wishes are carried out while remaining aligned with Oregon POA laws. Principals can grant agents broad authority to manage their affairs through a general power of attorney or limit an agent's power to specific circumstances only through a different type of POA.

For example, a general power of attorney may allow a principal to ask an agent to manage their financial and personal affairs while they are abroad. With a more limited power of attorney form, a principal might grant an agent the power to manage a single bank account on their behalf without granting any other powers to that agent. A principal who deals in real estate might grant an agent the power to sign closing documents on their behalf when selling property.

Oregon POA requirements

Oregon does not require powers of attorney documents to use a template or follow a certain formula. However, a principal must adhere to several state requirements to create a valid POA.

• In Oregon, a POA form must be in writing and express the principal's desire to appoint one or more agents to act on their behalf.
• The principal must be of sound mind when creating the POA—they must be mentally capable of understanding its significance.
• The principal must be at least 18 years old at the time of the document's creation.
• The document must clearly show the identity of the agent or agents.
• The POA must specify the agent's authority and scope.
• The document must bear the signature of the principal. It is customarily notarized as well. If it involves the power to sell real estate, then the document must be notarized and recorded with the county. If it’s a health care POA (specifically, an advance directive), it must also be witnessed by 2 people. Witnesses cannot be the principal's attending physician or their employee, an owner, operator, or employee of the healthcare facility where the principal is receiving care, or anyone under 18 years old unless they are emancipated.

Types of powers of attorney in Oregon

Oregon offers several types of POAs to meet a principal's specific needs and situations.

General power of attorney in Oregon

A principal gives an agent broad authority to act on their behalf in legal and financial affairs. This can include managing bank accounts, making investments, or handling real property.

Limited power of attorney in Oregon

This type of POA is narrow in scope and typically has a time limit. It authorizes an attorney-in-fact to perform specific tasks, such as selling the principal's real estate property or their motor vehicle(s).

Durable power of attorney in Oregon

A durable POA allows the agent to act on the principal's behalf even if they become incapacitated. Both general and limited POAs can be durable. For example, when the principal signs a durable financial power of attorney, they authorize the agent to manage their finances, which can include duties like paying bills or making investments.

Health care power of attorney in Oregon

There are also durable POAs for health care that allow the agent to make medical decisions for the principal when they cannot do so themselves. In Oregon, this is called an "advance directive" when combined with a living will.

Springing power of attorney in Oregon

Oregon also allows principals to draft a power of attorney form that only becomes effective in the case of a specific event, such as an inability to manage financial decisions. A power of attorney that becomes effective in this manner is called a springing power of attorney, as it “springs” into effect. An Oregon POA that does not explicitly include an effective date becomes effective immediately upon the principal's signature.

Tips for choosing an attorney-in-fact for an Oregon POA

Choosing the right attorney-in-fact for your Oregon POA ensures your affairs are managed responsibly and in alignment with your wishes. Consider these tips when selecting someone to handle your needs under Oregon law.

• Select someone who is trustworthy. The person you choose can have significant authority over your personal, financial, or legal interests. Make sure you pick someone you can confidently rely on to prioritize your best interests, like a family member or close friend. A law firm may also act as an agent.
• Assess their financial and legal understanding. Make sure your chosen agent has solid knowledge of your financial affairs, health care decisions, and legal matters so they can represent you competently. They should be able to understand the consequences of any decisions they make. 
• Consider their availability and location. The agent you choose should be readily available. They should be someone who lives nearby and can handle urgent matters or physically attend appointments when needed.
• Evaluate their decision-making skills. Make sure the agent understands what you're asking of them. Do they have the ability to make sound, logical decisions under pressure or when in complex situations?
• Choose someone who will respect your wishes. Even if they disagree with your choices, your agent should respect and fulfill your directives.
• Avoid potential conflicts of interest. Choose an agent who will not directly benefit from managing your interests, which could cloud their judgment.
• Consider their relationship with family members. The agent should be able to work with your family and mediate potential disputes so that your directives are appropriately executed.
• Be clear about the role and responsibilities. Discuss the duties and expectations required of the agent so that they fully understand what they are committing to.
• Understand the scope of authority. Clearly define what their role will be—whether it's broad or limited to specific tasks.
• Consider a backup agent. Make sure to have a backup agent in mind if your first choice is unwilling, unable, or unavailable to fulfill the directives outlined in the POA.
• Evaluate their communication skills. Your attorney-in-fact should be able to communicate with financial institutions, health care providers, and other involved entities.
• Seek legal advice if needed. If you need help, consult an attorney for guidance on your POA documents.

How to get a power of attorney in Oregon

Follow this step-by-step guide to properly create and draft a POA in Oregon.

Step 1: Assess your needs

Consider your situation to determine the type of POA you'll need that aligns with your requirements.

Step 2: Choose a trusted agent

When considering an agent, select someone trustworthy, as they will have authority over your affairs. The person or persons you choose should be knowledgeable, responsible, and willing to take on the role.

Step 3: Draft the document

If you need help, consult with an attorney or use LegalZoom’s POA services to create your Oregon-specific POA. Make sure to clearly define the powers you're granting the agent and whether the POA is durable or a non-durable (i.e., for a limited time) power of attorney.

Step 4: Sign the document

Oregon requires you to sign your POA, and you should also have it notarized. Having your POA notarized can give you peace of mind that your document will withstand scrutiny.

Step 5: Distribute copies

After signing your POA, distribute copies to all parties involved, including your agent and relevant entities like banks or health care providers.

Do Oregon POAs have a termination date?

By default, powers of attorney in Oregon are long-lasting. Unless they specify otherwise, Oregon powers of attorney are durable, meaning that they continue to be effective after the principal has become incapable of managing their own affairs—for example, if the principal has an illness that has rendered them mentally incompetent.

Similarly, by default, an Oregon power of attorney continues to be effective until the principal's death, unless the document specifies a termination date or the principal executes a document revoking the power of attorney.

Oregon law also specifically prevents people from refusing to honor a power of attorney based solely on the length of time since its creation. For example, a bank cannot refuse to grant an agent the authority to act under an otherwise valid power of attorney merely because the principal signed it 20 years ago. Although many things may have changed in that time, the document is still valid if the principal hasn't revoked it.

The broad default rules for Oregon powers of attorney make it very important for principals to consider the intended purpose of the powers granted and then draft legal documents that detail them specifically. A principal in Oregon who doesn't want a durable power of attorney or to continue indefinitely must include language that restricts the POA's duration in the manner they desire.

How to change or revoke an Oregon power of attorney

The principal can change or revoke a POA at any time as long as they are mentally competent and follow the steps below. Changes can include modifying the agent's powers, appointing a successor agent, or terminating the POA.

1. Draft a written revocation. You'll need to draft a revocation stating that you are revoking the previously granted POA. Include your full name and address, the name and address of the agent, a clear statement that you are revoking the original POA, and the date it was drafted.
2. Sign and notarize the revocation document. Sign the document in accordance with Oregon law.
3. Notify the agent. Deliver a copy of the revocation document to the agent in person or via certified mail to ensure proof of receipt. Make it clear that the agent no longer has the authority to act on your behalf.
4. Inform relevant third parties. Notify the parties involved in the original POA (for example, financial institutions, health care providers, law firms, or government offices) by providing them with a copy of the revocation document to ensure they no longer accept instructions from the previous agent.
5. Create a new POA. At the same time that you revoke the old document, you can create a new POA to state the powers you’d like to grant and the agent you’d like to grant them to.

FAQs

How much does it cost to get a power of attorney in Oregon?

The cost of a POA depends on a variety of factors—the type of POA you need, its complexity, who drafts it, and the filing fee (which is $83 in Oregon). The POA process generally costs between $200 and $600.

When is a POA automatically revoked in Oregon?

In Oregon, a power of attorney is automatically revoked if the principal dies or revokes it in writing. It also ends if its purpose is completed or the agent can no longer fulfill their duties and no successor is named.

An Oregon court will invalidate a POA if the principal wasn't mentally competent, if they were coerced into signing it, or they signed it under fraudulent circumstances. If the principal's spouse is the agent, their authority as agent under the POA will also be revoked if they divorce, get an annulment, or separate (unless the principal states otherwise in the document).

Can I have more than one agent under a POA?

Oregon allows a principal to designate multiple agents in a power of attorney document. If more than one attorney-in-fact is appointed, the POA will stipulate whether the agents act separately or together.

Can a POA from another state be used in Oregon?

Oregon generally recognizes out-of-state POAs as long as they were drafted following the laws of the state where they were created. However, some documents, like an advance directive, must follow Oregon statutes.