We are facing an unprecedented situation that has arisen with little or no warning with most European countries limiting or prohibiting movement across their borders. The bar on travel prevents or inhibits a number of cross-border commercial activities, a purchaser being able to sign documents in person to complete a house purchase for example; a power of attorney solves the problem.

As we are now facing what amounts to a global lock down due to the coronavirus, a power of attorney is invaluable should you be involved in a cross-border transaction, and is the means by which you can complete a cross-border transaction despite the fact that you cannot leave the country.

A power of attorney is a document that allows a third party (the attorney) to act on your (the donor) behalf if you are unable, for various reasons, to act for yourself. Many people think that powers of attorney are only used when a person loses mental capacity but this is by no means the only application.

There are different types of power of attorney that maybe applied to the different situations where a person may require another person to act on their behalf. An ordinary power of attorney is used mainly for commercial purposes; lasting power of attorney is used mainly for protecting a person and their welfare should they lose mental capacity and lose the ability to make decisions regarding their personal welfare as well as financial decisions and the residual use of enduring power of attorney which are still seen where the power of attorney was drawn up prior to 2005 when it was replaced by lasting power of attorney by the Mental Capacity Act 2005.

An ordinary power of attorney is the simplest and most flexible form of power of attorney and is used for commercial matters and not for personal welfare. It is ideally suited to overseas property purchase or other forms of investment or financial dealings abroad. It is very well matched to the current climate where completing transactions overseas in person is now virtually impossible. An ordinary power of attorney has a fairly narrow remit and if you are likely to be involved in more than one foreign purchase or investment it has the advantage of continuing indefinitely unless either party dies or becomes mentally incapacitated or the attorney is declared bankrupt.

The document is an easy-to-understand one page and is ideal for short or long term use, its flexibility is a strong point as it can be drafted to fit your type of transaction and your circumstances. Each power of attorney applies to one attorney only. If you require more than one attorney in relation to your transaction you must have a second power of attorney drawn up.

Whether you require another person to represent you abroad or within your own country in these days of restricted travel a legal power of attorney will protect you and your interests and enable you to complete any vital transactions without the need for your presence.