Can You Use A Power of Attorney for a Seller that is an Estate/Trust or LLC?
In this video Deirdre P Brown answers the question of whether you can use a Power of Attorney (POA) for a seller that is an estate, trust or LLC?
Hello this is Deirdre Brown your settlement agent serving DC, Maryland and Virginia. Today I'm going to answer a question.
It really wasn't a question. It was a case that I had recently. We had a situation where a personal representative was out of state she assigned via POA her rights to sell the property to her son. He was local. The son signed the listing agreement. Unfortunately a POA cannot be used when there's a personal representative or an estate. The personal representative cannot sign away their duties as a personal representative. They can go to the court and ask the court to assign another personal representative.
This is the same if there's an entity. So if you have an LLC or corporation and let's say there was a sole managing member that person cannot assign via POA their right to sign. They can execute a resolution saying that someone else has the right to sell that property on behalf of the LLC or the entity.
Same thing if you have a trust. A trustee cannot use a POA to assign away the rights of the person who has the authority to sell on behalf of the trust.
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