Power of Attorney in Maryland Estate Law

E Editorial Team Content Writer Oct 17, 2026 13 min read

Last Updated: October 16, 2026

What Is a Power of Attorney and Why It Matters in Estate Planning

A power of attorney is a legal document that allows you to appoint someone to act on your behalf in financial or medical matters. The person you appoint is called your agent or attorney-in-fact. This document becomes especially important when you're planning your estate or if you become unable to manage your own affairs.

Many people think a power of attorney is only needed when someone is seriously ill or elderly. That's not accurate. A power of attorney protects you and your family in unexpected situations. It prevents costly court proceedings if you become incapacitated. It also ensures your wishes are carried out exactly as you intend.

We help clients understand how a power of attorney fits into their broader estate plan. A well-drafted power of attorney works alongside your will, trust, and healthcare directives. Together, these documents create a complete picture of your wishes and protect your family during difficult times.

The role of a power of attorney in Maryland estate law is straightforward but critical. Without one, your family may need to petition a court to manage your affairs if you can't. That process is expensive, time-consuming, and emotionally draining. A power of attorney avoids that burden entirely.

Principal, Agent, and Attorney-in-Fact: Understanding the Roles

Three key players are involved in any power of attorney arrangement. Understanding each role prevents confusion and ensures the document works as intended.

The principal is the person who creates the power of attorney. You are the principal if you sign the document. The principal retains all authority unless the document states otherwise.

The agent (also called the attorney-in-fact) is the person you appoint to act on your behalf. This person can be a family member, trusted friend, or professional. Your agent must be at least 18 years old and of sound mind.

Two professionals reviewing legal documents together at a desk in a law office, one explaining paperwork to the other in natural office lighting

The attorney-in-fact is simply another name for the agent. Despite the title, this person doesn't need to be a lawyer.

Your agent's authority depends entirely on what you write in the document. You control the scope. You might grant broad authority over all financial matters. Or you might limit authority to specific tasks, like managing a bank account or selling property.

Types of Power of Attorney in Maryland

Maryland recognizes several types of power of attorney, each serving different purposes. Choosing the right type depends on your situation and what you want to accomplish.

A general power of attorney gives your agent broad authority over your financial and legal matters. This includes managing bank accounts, paying bills, selling property, and handling investments. A general power of attorney typically ends if you become incapacitated.

A durable power of attorney remains in effect even if you become incapacitated. This is the type most people need for estate planning.

A limited power of attorney grants authority for specific tasks only. You might create a limited power of attorney to allow someone to sell a piece of property on your behalf.

A healthcare power of attorney (also called a healthcare proxy) allows your agent to make medical decisions if you can't. This is separate from a financial power of attorney. Many people create both documents as part of their estate plan.

A springing power of attorney becomes effective only when a specific event occurs. Most commonly, it becomes effective when you become incapacitated. Springing powers are less common now because they can create confusion about when the agent's authority actually begins.

Maryland Durable Power of Attorney and Financial Authority

A Maryland durable power of attorney in Maryland is the cornerstone of most estate plans. It ensures your financial affairs continue smoothly if illness or injury prevents you from managing them yourself.

The document must include specific language to be "durable." Under Maryland law, the document must state that the agent's authority continues even if you become incapacitated. Without this language, the power of attorney automatically ends if you lose capacity.

Your agent's financial authority can include many tasks. Your agent can manage bank accounts, pay bills, and handle investments. Your agent can file tax returns, manage retirement accounts, and deal with insurance. Your agent can sell, lease, or mortgage property.

However, your agent cannot do everything. Your agent cannot change your will or create a new one. Your agent cannot make healthcare decisions unless you specifically grant that authority in a separate document. Your agent cannot make gifts unless you explicitly authorize this in the power of attorney.

Banks and financial institutions sometimes refuse to honor an older power of attorney. They worry the document may be invalid or outdated. If your bank rejects your power of attorney, have your agent contact the bank's legal department.

Maryland Power of Attorney Agent Duties and Fiduciary Responsibilities

When someone accepts the role of agent, they take on serious legal responsibilities. Your agent must act in your best interests and follow Maryland law. These responsibilities are called fiduciary duties.

Your agent must act in your best interests. This is the core duty. Your agent cannot use their authority for personal gain. Your agent cannot take money or property for themselves.

Your agent must keep records. Your agent should document all transactions and decisions made on your behalf. Good record-keeping protects your agent from accusations of misuse. It also helps your family understand what happened during a period of incapacity.

Your agent must be honest and transparent. Your agent should inform you of major decisions if you're able to understand them. Your agent should be prepared to explain their actions to your family or a court if needed.

Your agent cannot delegate their authority. Your agent cannot appoint someone else to act on your behalf. If your agent cannot perform their duties, they should resign. You can then appoint a successor agent.

What happens if your agent violates these duties? You can revoke the power of attorney immediately if you're still competent. If you're incapacitated, your family can petition a court.

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Execution Requirements and Common Signing Errors in Maryland

Maryland has specific rules about how a power of attorney must be executed. Following these rules exactly ensures your document will be accepted by banks, healthcare providers, and government agencies.

Your signature is required. You must sign the power of attorney in front of witnesses. Your signature must be witnessed by at least two people. These witnesses must be 18 years old or older.

Notarization is required. You must have your signature notarized by a notary public. The notary verifies your identity and confirms you signed voluntarily. A notarized signature adds credibility and makes institutions more likely to accept the document.

The document should follow Maryland's statutory form. Maryland has an official statutory form for powers of attorney. Using this form isn't required, but it's highly recommended. Institutions are more familiar with statutory forms and more likely to accept them without question.

Common signing errors can invalidate a power of attorney or cause institutions to reject it. Here are mistakes to avoid:

Signing without witnesses present
Having only one witness instead of two
Failing to have the signature notarized
Having family members serve as witnesses
Dating the document incorrectly
Using an outdated or non-statutory form
Having the document witnessed but not notarized

Before you sign, review the entire document carefully. Make sure all names are spelled correctly. Verify the agent's legal name matches their identification. Confirm the authority granted matches your intentions. If something seems wrong, ask questions before signing.

How to Revoke a Power of Attorney in Maryland

You can revoke a power of attorney at any time if you're mentally competent. Revocation is simple, but you must do it properly to ensure it's recognized.

Create a written revocation document. The simplest approach is to write a letter stating you revoke the power of attorney. Include the date the original document was signed and the agent's name.

Sign and have it notarized. Your revocation should be signed and notarized just like the original power of attorney. This adds credibility and makes institutions more likely to honor it.

Notify your agent. Send your agent a copy of the revocation. They need to know their authority has ended. Ask them to return any original documents or copies they hold.

Notify financial institutions. Send copies of your revocation to banks, investment firms, and other institutions that have the power of attorney on file.

Keep the original revocation. Store the original revocation document in a safe place. You may need to produce it later to prove the power of attorney is no longer valid.

If you become incapacitated, you cannot revoke the power of attorney yourself. Your family would need to petition a court to have it revoked.

Power of Attorney vs. Executor: Key Differences

Many people confuse a power of attorney with an executor. These roles are different and serve different purposes. Understanding the distinction helps you plan your estate properly.

A power of attorney is effective while you're alive. Your agent can act on your behalf immediately after you sign the document.

An executor acts after you die. An executor is named in your will. They take over only after your death.

A power of attorney ends at death. When you die, your agent's authority ends immediately. The agent cannot sign documents or make financial decisions on your behalf after death.

An executor's authority begins at death. The executor steps in when the power of attorney ends. The executor manages your estate through the probate process.

A power of attorney applies during incapacity. If you become unable to manage your affairs, your agent can continue acting on your behalf.

An executor handles your estate. An executor manages the entire probate process. This includes inventorying assets, paying taxes and debts, and distributing property to heirs.

Many people name the same person as their agent and executor. This creates continuity and ensures one trusted person handles both roles. However, you can name different people if you prefer.

Frequently Asked Questions

Is a power of attorney the same as an executor?

No. A power of attorney is a legal document you create while living that appoints an agent to act on your behalf immediately or when you become incapacitated. An executor is appointed through your will and only takes authority after your death to manage your estate. A power of attorney ends at death, while an executor's role begins then. Some people name the same person in both roles, but the powers and timing are completely different.

What are the requirements for a durable power of attorney in Maryland?

A Maryland durable power of attorney must be in writing and signed by you (the principal) in the presence of at least two witnesses or a notary public. The document must clearly state that it is durable and remains effective even if you become incapacitated. The agent must be a person you trust completely, and the document should specify exactly what financial decisions and property matters the agent can handle.

How do I revoke a power of attorney in Maryland?

You can revoke a power of attorney in Maryland at any time while you are mentally competent by creating a written revocation document and delivering it to your agent and any institutions that have a copy (such as banks). You should also notify the agent directly in writing. Keep records of your revocation and confirm that banks and other institutions have destroyed or noted the revocation in their files, as they may still honor an outdated document if they are unaware it has been revoked.

What happens to a power of attorney after someone dies?

A power of attorney automatically ends when the principal dies. The agent no longer has any authority to act on behalf of the deceased person. At that point, the executor named in the will (or an administrator appointed by the court if there is no will) takes over management of the estate. This is why it is important to have both a will and a power of attorney as part of your complete estate plan, they serve different purposes at different times.

Planning your estate involves many moving pieces. A power of attorney in Maryland is one essential piece that protects you and your family. At The Law Office of Thomas K. Mallon, LLC, we help you create a complete estate plan that addresses all your concerns. We offer a free consultation to discuss your situation and answer your questions. Schedule your free consultation today to protect your future and give your family peace of mind.

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