- 20 Marks
LPB – APR 2016 – L3 – Q2 – Duties of Power of Attorney Holder and Revocation Instances
List five legal duties imposed on the holder of a power of attorney in banking contexts; list five instances where a power of attorney is automatically revoked besides explicit cancellation by the donor.
Question
(i) In banking, a customer, as a donor, may give a third party, to the banking contract, a power of attorney to operate a sand bank account. The power of attorney may be special or specific (to operate the bank account or other specific power like the sale of property) or general (which may give the holder authority to act on the customer’s behalf for many activities including banking). A power of attorney arrangement creates some duties on the part of the attorney. List 5 (five) of the duties that are imposed by law on the holder of a power of attorney.
(ii) Just as a customer can give a power of attorney, the donor can also cancel it by revocation. Besides a cancellation order, revocation may also result automatically from various events. List 5 (five) instances in which a power of attorney can be revoked.
Find Related Questions by Tags, levels, etc.
