Durable Power of Attorney – Ministry of Justice | Attorney Rosiel Amir

What is a Durable Power of Attorney Under the Israeli Ministry of Justice?

A durable power of attorney is an essential legal instrument that allows you, when you are fully capable, to grant another person (an attorney-in-fact) the authority to manage your financial, medical, and personal affairs. Unlike a regular power of attorney, a durable power of attorney remains in effect even if you lose legal capacity due to illness, accident, or aging. It is a strategic safeguard that prevents the need for lengthy court proceedings in family court, and gives you advance control over who will handle your affairs.

The Israeli Ministry of Justice oversees durable powers of attorney and maintains a central registry of all powers of attorney executed before witnesses or before an official authority. This instrument is part of the legal framework protecting citizens with limited capacity or at risk of losing it, and it is important to be represented by an experienced attorney in this matter.

Why is a Durable Power of Attorney Important?

Many of us do not think about scenarios in which we might lose our ability to make decisions. However, conditions such as Alzheimer's disease, dementia, stroke, or even a serious accident can leave us unable to sign documents, manage bank accounts, or make medical decisions. Without a durable power of attorney, your family would need to petition the court to appoint a guardian—a costly, lengthy, and public process. A durable power of attorney allows you to avoid all of this by choosing in advance who will handle your affairs.

The Difference Between a Regular Power of Attorney and a Durable Power of Attorney

A regular power of attorney terminates immediately when you lose capacity—precisely when you need it most. A durable power of attorney, by contrast, remains in effect after loss of capacity. This is what makes it essential for anyone who wants to plan their future wisely. In Israel, a durable power of attorney must be executed before witnesses or before an official authority, and it must be registered with the Ministry of Justice to be valid and clear to any party that will deal with it in the future.

When Do You Need a Durable Power of Attorney?

A durable power of attorney is not a tool needed only by the elderly or the ill. Any adult with legal capacity can establish one, and there are many scenarios in which doing so is straightforward common sense:

• Seniors: If you are over 65 and have property, bank accounts, or assets that someone needs to manage should you become ill, a durable power of attorney is real protective measure.
• People with chronic health conditions: If you live with diabetes, heart disease, cancer, or any other condition that may deteriorate, a durable power of attorney gives you peace of mind.
• People in hazardous occupations: Pilots, construction workers, builders, and anyone exposed to a high risk of injury should be prepared.
• Single parents: If you are a single parent and want to ensure that someone you choose can care for your children and assets if something happens to you.
• Owners of substantial assets: If you have homes, investments, a business, or assets that need to be managed — a durable power of attorney prevents unwanted court intervention.
• Anyone wanting strategic control: Even if you are young and healthy, a durable power of attorney is smart family planning.

Legal Scenarios Where a Durable Power of Attorney Changes Everything

Imagine you are in a serious car accident and are in a comatose state. Your family cannot sign bank documents, cannot sell your apartment if money is needed for medical care, and cannot make medical decisions on your behalf. Without a durable power of attorney, they would have to go to court, spend tens of thousands of shekels on an attorney, wait months, all while you need urgent help. With a durable power of attorney prepared in advance, your agent can act immediately.

Or consider a married couple in their seventies. One of them begins showing signs of dementia. Without a durable power of attorney, as capacity deteriorates, the spouse cannot sign documents on their behalf, and a court would need to intervene. With a durable power of attorney signed when both spouses were in full capacity, everything is simple and private.

The Process of Registering an Enduring Power of Attorney at the Ministry of Justice

The registration of an enduring power of attorney at the Ministry of Justice is a structured and legal process. Here are the steps:

Step 1: Preparing the Document

An enduring power of attorney must be drafted in a legally precise manner. It must include your full name, ID number, the name of the attorney-in-fact, the specific powers you are granting, and any conditions you wish to add. Errors in the wording can render the power of attorney invalid. This is where professional legal advice is essential.

Step 2: Signature Before Witnesses or Authority

An enduring power of attorney must be signed before two witnesses with legal capacity, or before an official authority (such as a court registrar, attorney, or Ministry of Justice office). The witnesses or authority must be convinced that you have full legal capacity and that you are signing of your own free will.

Step 3: Submission to the Ministry of Justice

After signing, the document must be submitted to the Ministry of Justice. You may submit it yourself, through an attorney, or through the authority before which you signed. The Ministry of Justice will review the document, verify that it is in order, and register it in the central registry of enduring powers of attorney.

Step 4: Receiving Registration Confirmation

After approval, you will receive a registration confirmation from the Ministry of Justice. This document proves that the power of attorney is valid and registered. It is essential to keep it and provide a copy to the attorney-in-fact.

Step 5: Updates and Maintenance

After registration, it is important to maintain clear documents, keep the attorney-in-fact informed of any changes in your assets or circumstances, and ensure that they understand their powers and associated responsibilities.

Legal Requirements and Safeguards

For an enduring power of attorney to be valid, you must:

• Be at least 18 years old and possess full legal capacity at the time of signing.
• Be fully convinced that you are signing of your own free will, without pressure or fraud.
• Clearly understand the powers you are granting.
• Sign before witnesses or an official authority.
• Submit the document to the Ministry of Justice for registration.

Expenses and Cost Ranges for Durable Power of Attorney

The cost of preparing and registering a durable power of attorney varies depending on the complexity of your situation and the choice of who handles it. Here is a breakdown:

Legal Fees

If you consult with an attorney (which is highly recommended), consultation and preparation costs typically range between 1,500 to 3,500 NIS, depending on complexity. If the power of attorney is straightforward and all information is clear, you may pay at the lower end. If there are complex legal issues, such as matters related to foreign assets, complex family agreements, or special health conditions, the cost may be higher.

Government Registration Fees

The Ministry of Justice charges registration fees for a durable power of attorney. Generally, registration fees range between 200 to 500 NIS, depending on the type of power of attorney and the number of powers granted. These are one-time fees.

Witness or Authority Certification Costs

If you choose to sign before witnesses, there is no formal cost. If you choose to sign before an official authority (such as a court registrar), there may be a small cost of 100-200 NIS.

Total Estimated Cost

In total, you can estimate a cost of 1,800 to 4,200 NIS for preparation, legal consultation, signing, and registration of one durable power of attorney. This is a small investment compared to the expenses of a court proceeding to establish a guardianship, which can reach tens of thousands of shekels.

Comparison: Durable Power of Attorney versus Court-Ordered Guardianship

If you do not prepare a durable power of attorney and lose capacity, your family will need to file a petition with the family court to establish a guardianship. Legal costs in such proceedings can be 5,000 to 15,000 NIS or more, in addition to court fees, medical examinations, and prolonged legal proceedings. Furthermore, such a proceeding is public and time-consuming. A durable power of attorney is a minimal investment in comparison.

Rights and Responsibilities of an Attorney-in-Fact

Choosing the right attorney-in-fact is a critical decision. An attorney-in-fact is a person you trust completely, who has legal responsibility to you and can be held legally accountable if they do not act in good faith.

Rights of an Attorney-in-Fact

An attorney-in-fact is entitled to act within all the scope of authority you have granted them in the power of attorney. They can sign documents on your behalf, manage bank accounts, sell assets, make medical decisions and more, in accordance with the powers you have granted. An attorney-in-fact is also entitled to receive compensation for expenses incurred in performing their duties, if they can prove them.

Responsibilities of an Attorney-in-Fact

An attorney-in-fact must act in good faith and with integrity. They must:

• Act in accordance with the powers you have granted them only — no more, no less.
• Preserve your assets and refrain from using them for their own benefit.
• Keep clear books and accounts of every transaction they conduct on your behalf.
• Report to you (or to the court, if you are incapacitated) on every significant transaction.
• Not commingle your assets with their own.
• Avoid conflicts of interest.

If an attorney-in-fact fails to fulfill these responsibilities — for example, if they use your money for their own benefit, or if they act outside the powers you have granted them — they may be sued for damages, fraud, or breach of duty. This is also where an attorney can help you monitor the attorney-in-fact and protect your assets.

Revocation and Cancellation of Durable Power of Attorney

Durable power of attorney is not permanent. You can revoke it at any time, as long as you possess legal capacity.

How to Revoke a Durable Power of Attorney

To revoke a durable power of attorney, you must:

1. Prepare an official revocation document (it can be as simple as a signed letter stating that you are revoking the power of attorney).
2. Submit the revocation to the Ministry of Justice to update the registration.
3. Notify the attorney-in-fact in writing that the power of attorney has been revoked.
4. Notify any entity that may encounter the power of attorney (banks, government offices, etc.).

Cases in Which a Durable Power of Attorney May Terminate Automatically

A durable power of attorney may terminate automatically in several cases:

• Death: When you die, the power of attorney terminates immediately. Your assets pass to your heirs or according to your will.
• Death of the Attorney-in-Fact: If the attorney-in-fact dies, the power of attorney terminates. You need to appoint a new attorney-in-fact or be prepared with an alternative.
• Loss of Legal Capacity of the Attorney-in-Fact: If the attorney-in-fact loses legal capacity (for example, due to dementia), a court may disqualify them.
• Serious Conflict of Interest: If the attorney-in-fact is in a serious conflict of interest (for example, they are suing you), a court may disqualify them.