Embezzlement by Power of Attorney holder

On Mar 14, 8:50 am, "MaryZZZ" <bgrossn...@yahoo.com> wrote:
> While I am gone she will have to pay the
> bills and I will give her POA on my real estate so that she can list,
> contract to sell, and sell.
>
> So how do I establish that it will be fraud, embezzlement,
> misappropriate of funds, etc if she does not act in the best interest
> of the company. I trust her, but she will have a lot of money
> available.

Embezzlement and misappropriation are crimes even if you don't say anything specific about prohibiting it, in your agreement with the employee.   It is implied in the nature of your relationship as principal (you) and agent (her) that she will act in your best interest and not steal your money.

A Power of Attorney (POA) form is usually worded to indicate that the attorney-in-fact is empowered to act in the name of, on behalf of, and for, the principal, as if they were the same person, and may be worded so as to limit that ability to certain transactions, accounts, and purposes.   Many states have a judicially-approved form which it is safest to follow; I believe NY does, frex.

> I do not understand what would allow me to prosecute and recover the
> money or property if there was fraudulent activity.

What will allow you to do that is, the laws of your state criminalizing such activity.

If you're still concerned that might not be enough, you may try including some language in your POA form that limits her access to the funds other than for your specified purposes.   Just be sure that you give her enough flexibility to actually accomplish what you want her to do, or else the whole exercise will fall flat.

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Mike Jacobs
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