UPDATE: New York's Governor Patterson announced on August 15, 2010 that he signed a Technical Corrections Act modifying the Power of Attorney Law. The full text of the Technical Corrections Act can be found at www.nysba.org/Chapter 340 and is attached below.
The Technical Corrections Act amends the Power of Attorney that became effective on September 1, 2009 to correct many of the problems pointed out in the materials previously posted on this website (see below postings).
The new law will be effective on September 12, 2010, retroactive to September 1, 2009. The execution of a new power will no longer be an automatic revocation of a prior power, and multiple powers can co-exist. ? Powers given for commercial transactions are exempt from the requirements of the new POA law, as are corporate proxies, powers contained in commercial loan documents and powers coupled with an interest.
New York recently adopted changes to the New York statutes dealing with individual powers of attorney. These changes may have the unintended effect of invalidating powers of attorney that are used in a variety of common corporate, commercial and finance transactions. Below is a white paper signed by 51 law firms addressing certain issues arising from those changes. In addition, the final report of a New York State Bar Association working group proposing amendments to the New York law, and the text of the proposed amendments, can be found below. Dick Howe, a member of the working group, has provided us with these NYSBA working group materials. If you have any comments on them, please send them to Dick at firstname.lastname@example.org