Have you ever faced final bills or bank matters after a loved one's passing and thought that a Power of Attorney might still work? People often believe that a POA continues even after death, but the law in Georgia stops that authority in its tracks. 

At Peach State Wills and Trusts©, a division of The Beck Law Firm, LLC, we assist families every day with these matters. Here, we explain why a POA ends at death and what steps follow.

Power of Attorney in Georgia

A Power of Attorney (POA) is a document where one person (the principal) gives another person (the agent) permission to act on the principal's behalf. This can cover financial needs, property matters, or handling certain daily affairs. It allows the agent to carry out tasks that the principal may be unable to manage alone.

The principal remains in charge of key decisions, and the agent steps in only under the terms defined by the POA. Some choose this route when dealing with medical issues, long-term travel, or other situations that prevent personal oversight of important matters. The intent is to manage these needs during the principal's lifetime.

When Does a Power of Attorney End?

Before discussing the next phase, it helps to know exactly when a POA comes to a halt. Under Georgia law, a POA ends the moment the principal passes away. Even if a document is labeled “durable,” it still stops the instant the principal is no longer living.

This outcome surprises many. They assume a POA covers affairs after death as well. In reality, neither a durable POA nor a non-durable POA can override the requirement for formal estate procedures once the individual is gone.

As soon as the principal has passed, the agent's legal authority disappears. Any transactions or business that needs handling afterward must be managed by the person approved to settle the estate rather than by the POA agent.

The Shift in Authority After Death

Once a principal dies, the legal authority shifts from the POA agent to the individual designated by the will or by the probate court. That person is often called the executor (if there is a valid will) or administrator (if there is no will). In Georgia, the executor or administrator takes on responsibility to manage the estate and to settle the estate's debts, taxes, and eventual distribution of property from the assets in the estate. 

The agent who once handled finances through the POA no longer has the power to make decisions on behalf of the deceased. This can seem confusing, but the reasoning is straightforward: a POA only applies to a living principal. After death, the process for managing belongings follows probate rules, which place the estate in the hands of the executor or a court-appointed administrator.

Remember that the agent's powers under a POA do not continue a moment past the principal's death. Attempting to use old POA documents at this stage can lead to real complications.

What Happens If There Is No Will?

In some families, the person who dies does not leave a will. When that occurs, the law of intestate succession in Georgia decides who inherits and how much. The probate court handles this process, and the judge will appoint an administrator to sort out the decedent's property.

Whenever a loved one dies without a will, issues can arise about who should step in to manage money or belongings. Since a POA does not survive death, relatives cannot rely on that. Instead, an interested party files the right petition in probate court. The court chooses an administrator, who then takes charge of these financial and legal chores:

• Organizing and reporting the estate's assets

• Paying valid debts and taxes

• Handling final expenses

• Following Georgia's inheritance laws on asset distribution

In the absence of clear directions from a will, families may face disagreements about who should get what. Appointing an administrator provides a structured way to handle these tasks with court supervision.

The Role of the Executor/Administrator

Once appointed, the executor (named in a will) or the administrator (appointed by the court) acts as the legal representative of the estate. They cover every phase of final affairs, from gathering the decedent's belongings to distributing property under the will or intestate rules.

It is helpful to look at some common duties in an easy-to-read chart. The tasks can vary, but this table shows a broad outline of what an executor or administrator may need to do:

The executor or administrator must act in a manner that respects the estate. In Georgia, the official is bound to manage everything properly, as outlined in GA. Code Ann. § 53-6-24. If they fail in that effort, heirs or creditors can request a review of those actions in court.

Consequences of Acting Under a POA After Death

Acting under a POA after the principal's passing is not lawful. The agent's authority ends with the person's death. If the agent continues to use the power they once had, it could be viewed as a misuse of estate assets.

Wrongfully accessing the deceased person's funds might lead to legal claims, including accusations of misusing or seizing property. Family members or heirs might bring an action in probate court or another court to address these violations. If a former agent spends or transfers the deceased's money, they could face personal liability.

To stay on safe ground, the named executor or the newly appointed administrator can move forward with estate tasks. Once the principal is gone, a POA agent should immediately stop all actions that rely on the POA.

The Importance of Estate Planning

A solid estate plan can avoid confusion. A will can name the executor and explain how the property should be divided. Without it, Georgia rules apply, and the family might find the process more drawn out than anticipated.

Using a trust may also help. Assets placed in a trust can often pass to beneficiaries without going through probate, which can save time and reduce conflicts. In any plan, it is still wise to address incapacity and medical wishes. That can be done with a durable power of attorney (valid only during life) and healthcare directives.

Such preparation keeps affairs orderly and cuts down on stressful questions after a loss. By setting things up ahead of time, families are more likely to avoid time-consuming disputes or misunderstandings down the road.

Do You Need Assistance with Estate Planning or Probate?

We help Georgians secure thoughtful arrangements for the property, legal documents, and other pressing matters. Call us at 678-344-5342 or visit our website to learn how Peach State Wills and Trusts© can offer clarity and peace of mind. You can also download our free guide to estate planning in Georgia HERE, no strings attached. 

Whether you have questions about probate or want to establish a will and powers of attorney, our team is ready to support you. Taking this step now can reduce stress for you and your loved ones later on.