A durable power of attorney is a written instrument under which an individual appoints another person as attorney in fact or agent. By executing the durable power of attorney, the principal authorizes the agent to engage in the certain specified business or financial transactions on behalf of the principal with third parties. The durable power of attorney is a contract, which creates an agency–principal relationship.
Durable means that the authority of the agent to act on behalf of the principal survives the disability of the principal. Under Vermont laws, disability or incapacity of principal has the same effect as if the principal were competent and not disabled. However, the principal must convey this intent through clear wording. A durable power of attorney does not lapse because of the passage of time unless the instrument creating the power of attorney specifically states a time limitation. Death of principal, resignation of agent or revocation is other reasons for termination of a durable power of attorney.[i]
[i] VT ST T. 14 § 3507