Every week clients pose a variety of questions about legal matters impacting their personal and professional lives. This month's newsletter is dedicated to answering a few of the most frequently-asked questions. I hope you find the information helpful. Feel free to circulate this newsletter.
Confused About Power of Attorney Forms?
On occasion clients have reported experiencing issues with Powers of Attorney for Property with particular banks, and Powers of Attorney for Health Care with certain hospitals. Evidently, a few employees believe only their company's Power of Attorney form is valid. Not only are their beliefs misguided, but they are also illegal.
If your Power of Attorney form complies with the Illinois statutory guidelines -- and most do, especially if you received it from an Illinois Attorney -- the institution must accept the Power of Attorney you have given them.
If the institution continues to question the Power of Attorney you give them, ask to see their boss or the company's attorney, and tell them to look at the Illinois Statute 755 ILCS 45/2-8(d):
Each person to whom a direction by the named agent in accordance with the terms of the copy of the document purporting to establish an agency is communicated shall comply with that direction, and any person who fails to comply arbitrarily or without reasonable cause shall be subject to civil liability for any damages resulting from noncompliance. A health care provider who complies with Section 4-7 shall not be deemed to have acted arbitrarily or without reasonable cause.
Once you've directed them to review this Statute, the institutions should then comply -- especially banks, if they know they may become financially liable for refusing to honor a Power of Attorney.
The Real Story about Banks, Foreclosures, Deeds in Lieu, and Short Sales
Clients often ask why their bank or mortgage lender won't accept their offer of a short sale, a deed in lieu, or an agreed turnover of the property. Here's an explanation you or someone you know might find helpful.
In times of rising house prices, it does not make financial sense for the bank to agree to a lesser amount when they know they can make much more money by waiting a few months. In essence, they say no to the offer because they're making a bet to "let it ride" and see if they can increase their money in exchange for time.
Last but not least... Website Updates
If you haven't visited our website lately, please check out the Resources section. It now includes links to sites to assist our clients in their litigation and business/homeowner needs. These links are limited to the Tri County area -- Cook, DuPage, and Will. The content on these sites frequently changes. We'll strive to verify that these links remain active and accurate once a month, but if you ever notice a broken link please let us know so we can fix it.
In addition, if there other websites to organizations, offices or service providers in the Tri County area you think might be important to our readers, please let me know. We welcome your suggestions!
As always, if you, family members, friends or colleagues have questions about the law, please feel free to contact me. And don't forget to check my Twitter, LinkedIn or Facebook page for timely information between newsletters!