Power of Attorney Acceptance and Refusal Rules in Alabama

At a glance

Requirements one by one

Coverage and presentation

The procedure covers a person asked to effect a transaction in reliance on an acknowledged power, rather than requiring abstract approval of the document. Here, “acknowledged” means purportedly verified before a notary or another authorized acknowledger (§§ 26-1A-119(a), 26-1A-120(a)). Chapter 1A generally applies to powers executed on or after January 1, 2012, subject to the exclusions in § 26-1A-103.

Response periods and requests

After presentation and a transaction request, the recipient must transact or request permissible proof within a reasonable time (§ 26-1A-120(a)(1)). A “reasonable time” cannot be deemed less than seven business days; the statute does not set a seven-day maximum (§ 26-1A-119(a)). If proof is requested, the transaction must be effected within a reasonable time after receipt, subject to the refusal grounds (§ 26-1A-120(a)(2), (b)).

The recipient may request an agent’s certification of facts, an acknowledged or properly authenticated English translation if another language appears in the power, or a legal opinion. An opinion request must state its reason in a writing or other record. A translation or opinion is at the principal’s expense if requested within a reasonable time; the statute does not assign that cost when the request comes later (§ 26-1A-119(d)-(e)).

Refusal and remedy

Section 26-1A-120(b) names exceptions: no duty to transact with the principal, a good-faith belief that the transaction would conflict with law or government rules, actual knowledge or good-faith belief of a void or terminated power or authority or agent overreach, an outstanding permitted request, or a report to the Department of Human Resources about suspected abuse, neglect, exploitation or abandonment. A refusal violating the section exposes the recipient to an order to effect the transaction and reasonable attorney’s fees and costs in the specified action; the statute calls these its sole liability for that refusal (§ 26-1A-120(c)).

What trips people up

A request for supporting proof can pause the transaction duty until after that proof is supplied (§ 26-1A-120(b)(4)). The recipient cannot require a different power-of-attorney form for authority already granted (§ 26-1A-120(a)(3)). Other law applicable to a financial institution or other entity controls if inconsistent with Chapter 1A (§ 26-1A-122).

Common questions

Must a rejection explain itself in writing? Section 26-1A-120 sets no general written rejection or notice rule. A request for a counsel opinion must give its reason in a writing or other record (§ 26-1A-119(d)(3)).

Is every transaction compulsory after seven business days? No. The period is a floor in the statute’s reasonable-time standard, and § 26-1A-120(b) preserves the listed exceptions.

Statutes and sources

Alabama Legislature, current Code text, accessed October 4, 2026.

Ala. Code § 26-1A-103. “(a) This chapter applies to all powers of attorney, executed on or after January 1, 2012, except: (1) a power to the extent it is coupled with an interest in the subject of the power, including a power given to or for the benefit of a creditor in connection with a credit transaction; (2) a proxy or other delegation to exercise voting rights or management rights with respect to an entity; and (3) a power created on a form prescribed by a government or governmental subdivision, agency, or instrumentality for a governmental purpose. (b) A power to make health care decisions executed on or after January 1, 2012, is governed by Section 26-1A-404. Nothing in this chapter shall affect any action taken under the Natural Death Act, Chapter 8A of Title 22.” Official statute (accessed October 4, 2026).

Ala. Code § 26-1A-119. “(a) For purposes of this section and Section 26-1A-120, “acknowledged” means purportedly verified before a notary public or other individual authorized to take acknowledgments and “reasonable time” shall not be deemed to be less than seven business days. (b) A person that effects a transaction in reliance upon an acknowledged power of attorney without actual knowledge that the signature is not genuine may rely upon the presumption under Section 26-1A-105 that the signature is genuine. (c) A person that effects a transaction in reliance upon an acknowledged power of attorney without actual knowledge that the power of attorney is void, invalid, or terminated, that the purported agent’s authority is void, invalid, or terminated, or that the agent is exceeding or improperly exercising the agent’s authority is fully exonerated from any liability for effecting the transaction in reliance upon the power of attorney as if the power of attorney were genuine, valid, and still in effect, the agent’s authority were genuine, valid, and still in effect, and the agent had not exceeded and had properly exercised the authority. (d) A person that is asked to effect a transaction in reliance upon an acknowledged power of attorney may, but is not required to, request, and rely upon, without further investigation: (1) an agent’s certification under penalty of perjury of any factual matter concerning the principal, agent, or power of attorney; (2) an acknowledged or properly authenticated English translation of the power of attorney if the power of attorney contains, in whole or in part, language other than English; and (3) an opinion of counsel as to any matter of law concerning the power of attorney if the person making the request provides in a writing or other record the reason for the request. (e) An English translation or an opinion of counsel requested under this section must be provided at the principal’s expense if the request is made within a reasonable time after a person is requested to effect a transaction in reliance upon the power of attorney. (f) For purposes of this section and Section 26-1A-120, a person that conducts activities through employees is without actual knowledge of a fact relating to a power of attorney, a principal, or an agent if the employee effecting the transaction in reliance upon the power of attorney is without actual knowledge of the fact.” Official statute (accessed October 4, 2026).

Ala. Code § 26-1A-120. “(a) Except as otherwise provided in subsection (b): (1) a person shall either effect a requested transaction in reliance upon an acknowledged power of attorney or request a certification, a translation, or an opinion of counsel under Section 26-1A-119(d) within a reasonable time after presentation of the power of attorney and a request to effect the transaction; (2) if a person requests a certification, a translation, or an opinion of counsel under Section 26-1A-119(d), the person shall effect the transaction in reliance upon the power of attorney within a reasonable time after receipt of the certification, translation, or opinion of counsel; and (3) a person may not require an additional or different form of power of attorney for authority granted in the power of attorney presented. (b) A person is not required to effect a transaction in reliance upon an acknowledged power of attorney: (1) if the person would not be required to engage in the transaction with the principal if the principal was competent and acting on his or her own behalf; (2) if the person in good faith believes engaging in the transaction with the agent or the principal in the same circumstances would be inconsistent with law or any rule or regulation of any government or any governmental agency or instrumentality; (3) if the person has actual knowledge of the fact that the power of attorney is void, invalid, or terminated, that the agent’s authority is void, invalid, or terminated, or that the agent is exceeding or improperly exercising the agent’s authority; (4) until after a certification, a translation, or an opinion of counsel requested under Section 26-1A-119(d) is provided to such person; (5) if the person in good faith believes that the power of attorney is void, invalid, or terminated, that the agent’s authority is void, invalid, or terminated, or that the agent is exceeding or improperly exercising the agent’s authority, whether or not a certification, a translation, or an opinion of counsel under Section 26-1A-119(d) has been requested or provided; or (6) if the person makes, or has actual knowledge that another person has made, a report to the Department of Human Resources stating a belief that the principal may be subject to physical or financial abuse, neglect, exploitation, or abandonment by the agent or a person acting for or with the agent. (c) A person that refuses in violation of this section to effect a transaction in reliance upon an acknowledged power of attorney is subject to, as its sole liability with respect to such a refusal notwithstanding Section 26-1A-123: (1) a court order mandating that the person effect such transaction in reliance upon the power of attorney; and (2) liability for reasonable attorney’s fees and costs incurred in any action or proceeding that confirms the validity of the power of attorney or mandates that the person effect such transaction in reliance upon the power of attorney.” Official statute (accessed October 4, 2026).

Ala. Code § 26-1A-122. “This chapter does not supersede any other law applicable to financial institutions or other entities, and the other law controls if inconsistent with this chapter.” Official statute (accessed October 4, 2026).