DURABLE FINANCIAL POWER OF ATTORNEY
(State of Washington)
[// GUIDANCE: This template is drafted to comply with the Washington Uniform Power of Attorney Act, RCW 11.125, and incorporates the special instructions provided by the requestor. Replace all bracketed text with client-specific information and delete guidance comments before execution.]
TABLE OF CONTENTS
- Document Header
- Definitions
- Operative Provisions
3.1 Grant of Authority
3.2 Durability Statement
3.3 Scope of Authority
3.4 Special Instructions & Limitations
3.5 Acceptance by Agent - Representations & Warranties
- Covenants & Restrictions
- Default & Remedies
- Risk Allocation
- Dispute Resolution
- General Provisions
- Revocation Procedures
- Execution Block
1. DOCUMENT HEADER
This Durable Financial Power of Attorney (“Power of Attorney” or “Instrument”) is executed as of [EFFECTIVE DATE] (the “Effective Date”) by and between:
• Principal: [FULL LEGAL NAME], residing at [ADDRESS].
• Agent (Attorney-in-Fact): [FULL LEGAL NAME], residing at [ADDRESS].
• Successor Agent(s) (if any): [FULL LEGAL NAME(S)].
Recitals:
A. Principal desires to appoint Agent to handle the Principal’s financial and property matters.
B. This Instrument is intended to be a “durable” power of attorney under the Washington Uniform Power of Attorney Act, RCW 11.125 (the “Act”), and shall remain in effect notwithstanding Principal’s subsequent incapacity.
C. Consideration is acknowledged by the parties’ mutual promises herein.
2. DEFINITIONS
For ease of reference, the following terms shall have the meanings set forth below. Undefined capitalized terms shall have the meanings ascribed to them in context or under the Act.
“Act” – The Washington Uniform Power of Attorney Act, RCW 11.125.
“Agent” – The person(s) designated above, together with any duly acting Successor Agent.
“Assets Under Management” – All assets the Agent is authorized to control under Section 3.3.
“Durable” – Having effect that is not terminated by the incapacity of the Principal, as defined in RCW 11.125.020(2).
“Liability Cap” – A limitation of the Agent’s liability to the aggregate fair market value of the Assets Under Management, subject to Section 7.2.
“Principal” – The individual granting authority herein.
“Revocation Notice” – A written notice of revocation that (i) identifies this Instrument, (ii) is signed by the Principal (or a court-appointed fiduciary), and (iii) is delivered in accordance with Section 10.1.
3. OPERATIVE PROVISIONS
3.1 Grant of Authority
The Principal hereby appoints the Agent to act for the Principal in all matters described in Section 3.3, subject to the limitations in Section 3.4.
3.2 Durability Statement
Pursuant to RCW 11.125.040, this Power of Attorney shall not be affected by the subsequent incapacity of the Principal.
3.3 Scope of Authority
Unless expressly limited in Section 3.4, the Agent may exercise the following powers, each as defined and supplemented by RCW 11.125.240–.260:
a. Banking Transactions
b. Real Property Transactions
c. Tangible Personal Property Transactions
d. Stock and Bond Transactions
e. Commodity and Options Transactions
f. Insurance and Annuity Transactions
g. Retirement Plan Transactions
h. Tax Matters
i. Operation of Entity or Business
j. Personal and Family Maintenance
k. Digital Assets Management
l. Claims and Litigation
m. Gifts (subject to RCW 11.125.240(2)(l))
[// GUIDANCE: Delete any authority the Principal does not wish to grant, or insert dollar/percentage caps.]
3.4 Special Instructions & Limitations
- Limitation on Gifts: Agent may make gifts on the Principal’s behalf only up to an annual aggregate of $[AMOUNT] per donee.
- Real Property: Any conveyance of real property must identify this Instrument by recording number.
- Compensation: Agent [IS / IS NOT] entitled to reasonable compensation.
- Co-Agents: If more than one Agent is acting, they shall act [JOINTLY / SEVERALLY].
3.5 Acceptance by Agent
By signing in Section 11, the Agent accepts the appointment, acknowledges fiduciary duties under RCW 11.125.140, and agrees to the terms herein.
4. REPRESENTATIONS & WARRANTIES
4.1 Principal represents:
a. Principal is at least 18 years of age, of sound mind, and under no constraint or undue influence.
b. Execution of this Instrument complies with RCW 11.125.050.
4.2 Agent represents:
a. Agent is eligible under RCW 11.125.110.
b. Agent will perform duties in good faith, within the scope of authority, and in accordance with RCW 11.125.140.
c. Agent will maintain adequate records in conformity with RCW 11.125.150.
5. COVENANTS & RESTRICTIONS
5.1 Agent shall:
a. Act loyally for the Principal’s benefit.
b. Avoid conflicts of interest and self-dealing absent express permission.
c. Keep the Principal’s property separate from the Agent’s, except as otherwise permitted by RCW 11.125.140(2)(b).
d. Provide an accounting upon request of the Principal, a court, or “interested person” defined in RCW 11.125.160.
5.2 Principal shall:
a. Indemnify Agent in accordance with Section 7.1, subject to statutory limitations.
b. Promptly notify Agent of any revocation.
6. DEFAULT & REMEDIES
6.1 Events of Default
a. Breach of fiduciary duty by Agent.
b. Failure to render requested accounting within 30 days.
c. Criminal conviction of Agent involving dishonesty.
6.2 Notice & Cure
Principal (or interested person) shall provide written notice specifying the default; Agent shall have 15 days to cure unless the breach is incapable of cure or requires immediate injunctive relief.
6.3 Remedies
a. Revocation of authority in whole or part.
b. Petition to state probate court for (i) injunctive relief, (ii) surcharge, or (iii) appointment of a fiduciary.
c. Recovery of attorney fees and costs incurred in enforcing the Instrument.
7. RISK ALLOCATION
7.1 Indemnification
The Agent shall indemnify and hold harmless the Principal from losses arising out of the Agent’s gross negligence, willful misconduct, or breach of fiduciary duty. Conversely, the Principal shall indemnify the Agent for liabilities incurred in good-faith performance within authority granted herein.
7.2 Limitation of Liability
Except for fraud, willful misconduct, or gross negligence, the Agent’s aggregate liability shall not exceed the value of the Assets Under Management at the time the liability is incurred.
8. DISPUTE RESOLUTION
8.1 Governing Law
This Instrument and all disputes hereunder shall be governed by the laws of the State of Washington, without regard to conflict-of-laws principles.
8.2 Forum Selection
Exclusive venue shall lie in the probate division of the [COUNTY] Superior Court, Washington.
8.3 Limited Arbitration
Any monetary claim not exceeding $[THRESHOLD] shall be submitted to binding arbitration under the Washington Arbitration Rules then in effect. Injunctive and surcharge remedies remain within the exclusive jurisdiction of the probate court.
8.4 Jury Waiver
To the extent permitted by applicable law, the parties waive the right to trial by jury in any action relating to this Instrument. If such waiver is unenforceable, the matter shall proceed without waiver.
8.5 Injunctive Relief Preservation
Nothing in this Instrument limits the court’s equitable powers to issue injunctive relief to protect the Principal’s interests.
9. GENERAL PROVISIONS
9.1 Amendment & Waiver
This Instrument may be amended only by a writing signed by the Principal and acknowledged in accordance with RCW 11.125.050. No waiver shall be effective unless in writing and shall operate only for the specific instance.
9.2 Assignment
The Agent may not delegate or assign authority except as expressly permitted under RCW 11.125.120 and Section 3.3(l).
9.3 Successors & Assigns
This Instrument binds and benefits the Principal, the Agent, their respective heirs, successors, and permitted assigns.
9.4 Severability
If any provision is held invalid, the remainder shall be enforced to the fullest extent permitted by law.
9.5 Integration
This Instrument constitutes the entire agreement on the subject matter and supersedes all prior powers of attorney except those not expressly revoked.
9.6 Counterparts; Electronic Signatures
This Instrument may be executed in counterparts, each deemed an original. Signatures transmitted electronically shall be deemed originals.
10. REVOCATION PROCEDURES
10.1 Method of Revocation
The Principal may revoke this Instrument at any time by executing a Revocation Notice and delivering it to (a) the Agent, and (b) any third party known to be relying on this Instrument.
10.2 Automatic Termination
This Instrument terminates upon:
a. Principal’s death;
b. Revocation as provided above;
c. Court order;
d. Completion of its purpose; or
e. As otherwise provided under RCW 11.125.090.
10.3 Notice to Third Parties
Upon revocation or termination, Principal (or fiduciary) shall record or otherwise give notice to avoid reliance by third parties.
[// GUIDANCE: Consider recording a Revocation in the county real-property records if this Instrument has been recorded.]
11. EXECUTION BLOCK
IN WITNESS WHEREOF, the Principal and Agent have executed this Durable Financial Power of Attorney as of the Effective Date.
11.1 Principal
[PRINCIPAL NAME] – Principal
Date: ______
STATE OF WASHINGTON )
COUNTY OF _____ ) ss.
On this _ day of _, 20___, before me, the undersigned Notary Public, personally appeared [PRINCIPAL NAME], known to me or proved on the basis of satisfactory evidence to be the individual who executed the foregoing Power of Attorney, and acknowledged it to be his/her free act and deed.
Notary Public for the State of Washington
My commission expires: _____
11.2 Agent
I, [AGENT NAME], hereby accept appointment as Agent and agree to act in accordance with the foregoing Instrument and RCW 11.125.
[AGENT NAME] – Agent
Date: ______
[OPTIONAL – SUCCESSOR AGENT SIGNATURE BLOCKS]
[// GUIDANCE: Washington does NOT require witness signatures, but notarization is strongly recommended. Recording is required only if the Agent will convey real property.]
STATUTORY REFERENCE NOTICE
A person who, in good faith, accepts an acknowledged power of attorney without actual knowledge that the signature is not genuine or that the Power of Attorney is void, invalid, or terminated, may rely upon the power as if it were genuine, valid, and still in effect. RCW 11.125.200 (2023).
[// GUIDANCE: Always provide the Principal with multiple originals, keep one in a secure location, and provide certified copies to financial institutions as needed.]