What happens to the power of attorney upon the death of the principal?

The power of attorney is a legal document that grants one person the authority to act on behalf of another person, known as the principal. When the principal dies, the power of attorney is automatically revoked. This means that the agent (the person granted authority) can no longer make decisions or take actions on behalf of the principal.

This automatic revocation occurs because the power of attorney is intended to facilitate actions and decisions during the principal's lifetime. Once the principal is deceased, the legal authority granted to the agent no longer holds, as it was contingent upon the principal's capacity and existence. The authority to manage the deceased's affairs would instead pass to the executor or administrator of the estate, as dictated by the will or probate laws.

Understanding this fundamental principle is crucial for anyone involved in legal matters, estate planning, or real estate transactions, as it delineates the boundaries of authority and responsibility when a principal is no longer living.