Month: March 2018

Power of Attorney Types

It is important to discuss power of attorney with aging parents, an ailing spouse, or a close friend before it becomes too late. Obtaining a power of attorney is a secure way to avoid worst-case scenarios or legal complications after you become incapacitated or pass away.

What Is the Meaning of Power of Attorney?

A power of attorney is a document used to appoint someone or an organization to make decisions on your behalf if you become unable to do so. The person appointed is called an “attorney-in-fact.” The appointment can either be effective immediately or can be effective when you are unable to make decisions. However, all types of power of attorneys are not equal and serve different purposes. Each type gives your appointed person a different level of responsibility.

The person appointed is called an “attorney-in-fact.” The appointment can either be effective immediately or can be effective when you are unable to make decisions.

What Are the Types of Power of Attorney?

It is important to appoint someone you trust because they are expected to place your interest ahead of their own. There are multiple circumstances where the appointed person will be given the power to make decisions on your behalf. There are four different types, each serving a unique purpose.

General Power of Attorney can perform almost all the powers and right that you have yourself. For example, they can manage personal finances or sign documents on your behalf. If you needed someone to handle your financial matters, you do not need to be incapacitated to use a general power of attorney. A general power of attorney ends when you become incapacitated, revoke the appointed person, or pass away.

Durable Power of Attorney can remain in effect after you become incapacitated but is limited in scope. If you don’t have a durable power of attorney to represent you in court if you were to become incapacitated, the court can appoint a conservator or guardian to represent you. A durable power of attorney will remain until you pass away, but you make revoke the appointed person while you’re not incapacitated.

Limited or Special Power of Attorney gives the appointed person the power to act in your place but has specific power limits to a certain area. For example, a limited power of attorney grants the appointed to sell a home or other piece of real estate. They could sign a deed to property for you on a day you are out of town but the power of attorney ends at a specified time in the document.

Springing Durable Power of Attorney, like durable power of attorney, allows your power of attorney to become effective when you’re incapacitated. Although, it does not become effective until specified events occur such as when you become incapacitated. It is important that the standards be clearly laid out in the document for determining incapacity and triggering the power of attorney.

How Do You Obtain a Power of Attorney?

Choosing a power of attorney is the best way to avoid complications or worst case scenarios if you were to become incapacitated. There are only a few steps you will need to follow when you’re seeking a power of attorney. First, you will need to determine which type of power of attorney suits your needs and which person you wish to appoint as your power of attorney. Second, to inquire about what you forms you need to obtain. You will need to contact your local lawyer or your city hall. Once you obtain the necessary forms for your needs and fill them out, you will review the signed forms with your lawyer. Your lawyer will be able to explain the legal language to suit your case and can get the documents notarized so no institution or person can challenge the signature.

Choosing a power of attorney is the best way to avoid complications or worst case scenarios if you were to become incapacitated.

For low cost, affordable paralegal assistance, call Platinum Paralegals™ at: (818) 839-6879 or send an email to: info@platinumparalegals.com.

How Do You Establish Paternity in California?

There is a common misconception of people thinking that courts often award custody to mothers. However, since the 1970s, gender roles have been shifting and fathers have expressed their desire to play a significant role in their children’s lives. Establishing paternity then becomes a vital process but can often be a complicated issue.

What Does Establish Paternity Mean in California?

The word “paternity”, in California, can be used interchangeably with “parental relationship” or “parentage.” Establish paternity means that the courts or the parents of the child have determined who the child’s father is. The law can assume the identity of the father in some instances. The mother’s husband may be presumed as the child’s father if the child is born during the marriage. Also, if a man has demonstrated commitment to the child, and has been living with the child and mother in a family-like manner, the man can be presumed to be the child’s father even though he may not be the actual biological father. Outside of these circumstances, paternity will need to be established in California.

Establish paternity means that the courts or the parents of the child have determined who the child’s father is.

How Do You Establish Paternity in California?

When a couple is not married, the establishment of paternity is not automatic. There are two main ways an unwed couple can establish paternity. The simplest way to establish paternity is signing a “Voluntary Declaration of Paternity.” When the mother and the father sign this form, they legally establish that they are the parents of the child and that the father is the child’s legal father. The father’s name can be added the child’s birth certificate and now has parental responsibilities and rights to the child.

The other way to establish paternity is to get a court order either on your own or with the help of a Local Child Support Agency. Under California law, to ask the court for an order on paternity, you must be the child’s mother or the man who has been identified as the father or believes he is the father. An adoption agency or a local child support agency that is providing services to the mother may also ask for a court order on paternity. If the case is brought to court, genetic testing will be required from the mother and alleged father to establish paternity. If the alleged father refuses the test, the judge may consider the father’s refusal as evidence of paternity.

Can You Establish Paternity While Pregnant?

You can establish paternity even if you are not married and are pregnant. You can secure your parental rights with a paternity action if you were, or are, in a relationship with the person who is pregnant with your child. The mother may also file a paternity action to establish the father. The alleged father has the right to ask for a paternity test through the court but only has two years from the child’s birth to petition the court for a paternity test. The simplest way to establish paternity is to sign the Declaration of Paternity that says who the legal parents are.

The alleged father has the right to ask for a paternity test through the court but only has two years from the child’s birth to petition the court for a paternity test.

Is There Benefits to Establishing Paternity?

There are numerous benefits, especially towards the child, to establish paternity. Once paternity is established, examples of some of the benefits they can receive are health insurance from either parent, access to family records, financial support, and inherent assets or property from one or both parents. Establishing paternity can make it easier for the child when various legal situations come up during their lifetime.

Establishing paternity can also benefit the parent. When paternity is established, both parents have parental rights and have the right to be involved in decisions on their child’s behalf. They both have the right to request custody or visitation of that child. Establishing paternity may not be important to some people today, but there may come a situation where the parent would have wished they would have established paternity.

For low cost, affordable paralegal assistance, call Platinum Paralegals™ at: (818) 839-6879 or send an email to: info@platinumparalegals.com.

Llc vs Corporation

If your a business owner wanting to incorporate your business, you may find yourself wondering which business type to choose. The new company structure can fall into two categories, a limited liability company (LLC), or a corporation. Having a clear understanding of each structure will allow you to feel confident in which one you choose for your business. No matter which structure you choose, they both have their advantages and disadvantages. The article below will be discussing the advantages and disadvantages of each business structure so you can decide which will be right for your business.

Pros of LLCs

Choosing an LLC to structure your business comes with many advantages.  Members are not personally liable for some or all the actions of the company and their personal assets are protected. An LLC has a pass-through entity, meaning the business profits are not taxed by the government on a company level. Instead, members’ federal income tax returns get taxed. Filing taxes is easier this way than if the business was taxed on a corporate level. An LLC can be formed with as little as one person or many members with the choice to managed by all its members. This is helpful is some of the members are not experienced in managing a business and want to hire people that are experienced. The cost of paperwork and fees to start up an LLC is are relatively low, although, each state varies in what they charge in fees and taxes.

An LLC can be formed with as little as one person or many members with the choice to managed by all its members.

Pros of Corporations

Corporations are considered an independent legal entity owned by individuals or entities who are shareholders. Like an LLC, a Corporation offers shareholders limited liability protection from the businesses actions and debts. Shareholders personal assets are protected and they are only liable for their stock investment in the business. The corporation can raise money for the business by selling stocks to investors willing to invest capital in the business. The corporate business has a management structure which includes directors, officers, and shareholders who establish power. Each group has its own set of roles and responsibilities. As long as corporate regulations are met, a business can exist indefinitely.

Cons of LLCs

There are some disadvantages to running an LLC. The liability has its limits, meaning a judge can rule that your personal assets are not protected by your LLC structure. You are at risk if you don’t clearly separate business transactions from personal or if you have been running the business fraudulently causing losses for others. Another disadvantage is the publication requirements or renewal fees for an LLC can be costly, depending on your state. Many states have franchise or capital values tax on LLCs and they can range from a flat fee to an amount based on the company’s revenue. It might be hard to raise financial capital in an LLC  as investors are more likely to put their money into a corporation. As an LLC member, you may be faced with self-employment tax. The IRS considers LLCs the same as partnerships for tax purposes and considers members to be self-employed unless members opt to be taxed as a corporation.

The liability has its limits, meaning a judge can rule that your personal assets are not protected by your LLC structure. You are at risk if you don’t clearly separate business transactions from personal or if you have been running the business fraudulently causing losses for others.

Cons of Corporations

Establishing a corporation can be expensive and time-consuming. Another major disadvantage is the double-taxation. In some instances, the company pays taxes on profits and individual stockholders are also taxed who earned profits from the corporation in the form of dividends. This happens most often in large corporations and may not serve as an issue for stockholders and owners of a small corporation who are paid salaries rather than dividends. The law requires corporations to observe a number of corporate formalities to guarantee its operating as a separate entity that’s independent of its businesses owners. Regular director meetings, keeping records of corporate activity, and maintaining the financial independence of the corporation are all steps in observing corporate formalities.

For low cost, affordable paralegal assistance, call Platinum Paralegals™ at: (818) 839-6879 or send an email to: info@platinumparalegals.com.