Divorce is a significant life change that affects more than just your marital status and financial situation. It also impacts critical legal documents such as powers of attorney and healthcare directives. Many people do not realize that unless these documents are updated, an ex-spouse may still have authority over financial decisions and medical care in the event of incapacity. Understanding how divorce affects these important documents can help you take the necessary steps to protect your interests and ensure your wishes are followed.
A power of attorney grants another person the authority to make financial and legal decisions on your behalf if you become incapacitated or unable to manage your affairs. Many married couples name their spouse as their agent, but after divorce, most people no longer want their ex-spouse handling their finances. In Utah, divorce does not automatically revoke a power of attorney, meaning your ex could still have legal control over your assets if the document remains unchanged. To prevent this, you should revoke the existing power of attorney and create a new one, naming a trusted family member or friend instead.
Healthcare directives, also known as advance healthcare planning tools, allow you to designate a person to make medical decisions for you if you are unable to do so yourself. Like powers of attorney, many individuals list their spouse as their healthcare decision-maker. While Utah law may automatically remove an ex-spouse from this role once a divorce is finalized, it is still essential to update your healthcare directive to ensure another trusted individual is named. This is particularly important if your divorce is ongoing, as the law may not yet revoke your ex-spouse’s authority before the divorce is finalized.
In addition to updating powers of attorney and healthcare directives, it is also a good time to review related estate planning documents such as your will, trust, and beneficiary designations. Keeping outdated legal documents in place can create unnecessary complications and may result in unintended consequences regarding your healthcare and financial affairs.
Divorce is a time of transition, and ensuring that your legal documents reflect your current wishes is an essential step in protecting your future. Taking the time to revoke outdated powers of attorney and healthcare directives and replacing them with updated documents ensures that you have the right people making important decisions on your behalf.
We know this blog may raise more questions than it answers. If you are going through a divorce or have recently finalized one, contact our firm today to review and update your powers of attorney and healthcare directives to safeguard your future.