For a power of attorney to be effective, what condition must be met regarding the original grantor?

Prepare for the Michigan State Title Insurance Exam. Enhance your knowledge with multiple choice questions, each with hints and explanations. Get ready to succeed!

For a power of attorney to be effective, it is essential that the grantor is still living and has not revoked the power. This requirement underscores the nature of a power of attorney as a legal document that grants authority to an agent to act on behalf of the grantor in specified matters, such as financial affairs or medical decisions.

If the grantor is deceased, the power of attorney automatically becomes invalid, as the authority granted cannot be exercised beyond the life of the grantor. Similarly, if the grantor decides to revoke the power of attorney, whether through a formal process or by executing a new power of attorney, the previous authority ceases to exist. Therefore, for the power of attorney to remain in effect and for the agent to exercise the granted powers, the grantor must be alive and must not have taken steps to revoke the document. This ensures that the agent's ability to act on behalf of the grantor is grounded in the grantor’s current wishes and legal standing.

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