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A power of attorney is a crucial document in estate planning, granting legal authority to an agent to act on behalf of the principal. The document outlines the specific powers granted and when they go into effect. There are two main types of power of attorney - durable and general. A general power of attorney grants broad authority to the agent, while a durable power of attorney remains in effect even if the principal becomes incapacitated. Understanding these distinctions is essential when considering estate planning options.
