The Pen is Mightier than the Sword?

Modern day theft is rarely as evident and action packed as the movies. Bank heists and robberies make for good theatre. But I find that most theft is accomplished with a pen than with a weapon.

The saying "the pen is mightier than the sword" has a lot of truth to it, particularly in the realm of a power of attorney. A power of attorney is a legal document that allows someone to act on behalf of another person, known as the principal, in various legal, financial, or personal matters. While a power of attorney can be a useful tool in providing support and assistance to an individual who is unable to make decisions on their own, it can also be misused by those who hold it.

A risk of granting someone power of attorney is theft. The power of attorney holder can abuse their power by stealing from the principal's accounts or assets. For example, they might transfer money from the principal's bank account to their own or sell the principal's property without permission. The potential for theft is particularly high if the principal is elderly or vulnerable, as they may not be able to detect or report the theft.

There is also the potential for undue influence. This occurs when the power of attorney holder uses their power to coerce the principal into making decisions that benefit the power of attorney holder, rather than the principal. For example, the power of attorney holder might convince the principal to change their will to leave them a larger share of the estate or to make financial decisions that benefit the power of attorney holder more than the principal.

To limit these risks, choose your power of attorney holder carefully. You should only grant power of attorney to someone you trust implicitly and who has your best interests at heart. You should also consider setting limits on the power of attorney, such as specifying what decisions the power of attorney holder can make and what assets they can access.

It's also important to keep a close eye on your accounts and assets to detect any signs of theft or misuse of power. You should review your financial statements regularly and be alert for any unusual transactions or changes to your accounts.

In conclusion, the power of a pen in the hands of someone with a power of attorney can be immense, and with great power comes great responsibility. While power of attorney can be a useful tool in providing support and assistance, it can also be misused by those who hold it.

If you are concerned that a power of attorney is being used, or has been used, to wrongfully use assets it is important to contact an attorney experienced in litigating these issues. Texas Estates Code Section 751.251 allows an interested person to seek court review of an agent’s conduct and use of the power of attorney.