I am not certain what situation you are speaking of, so a brief description would help. Basically a POA can do what his document says he can do. He is acting as the principal who appointed him ASKS him to act, or as he believes in the best interest of the principal if the latter is incapable now of decision-making. The POA cannot/should not put him/herself in the position of being accused of enriching him/herself, or other friends and family. Paying for a needed service the fair market price of that service is not unfairly enriching others. But let's assume a case. Your principal is now suffering dementia and is moving into a nursing home. You are hiring someone to clear their home, haul things to the junkyard, move their possessions to storage. You happen to have a friend who is in this business. Yes, you can hire this friend. Just be certain you are not paying over the fair market value of the services. You simply keep the files and receipts and check copy in your file marked "Moving Expenses". There need be no notation that this was or was not a person known to you as long as everything is on the up and up and all files are kept. In point of fact you can likely get a better deal for your principal from your friend, and can be more certain of his honesty and diligence. Now there are some BIG jobs that I would pass past an elder law attorney. For instance say you are selling the principal's home for money to pay for their care. Let us say your closest friend is a realtor you know to be excellent and honest. I would ask an elder law attorney if they see any reason I cannot hire that friend. I would take special care in any situation where I have jealous and money grubbing siblings in the wings somewhere with every step I make in any direction for my principal and would always have the advice of experts. What you want as POA is to be able to answer any "accuser" in court in an action where you are accused of acting in a corrupt manner. In the above case you would have that. If you can elaborate on your question we can perhaps help more. As to written rules for POA you can google the rules for your own state. And then, as I said, and most importantly, read your own document to see what your powers are. Ask any elder law attorney for anything you aren't certain of. Always be certain you aren't enriching yourself or others off the principal.
Basically a POA can do what his document says he can do. He is acting as the principal who appointed him ASKS him to act, or as he believes in the best interest of the principal if the latter is incapable now of decision-making.
The POA cannot/should not put him/herself in the position of being accused of enriching him/herself, or other friends and family. Paying for a needed service the fair market price of that service is not unfairly enriching others.
But let's assume a case. Your principal is now suffering dementia and is moving into a nursing home. You are hiring someone to clear their home, haul things to the junkyard, move their possessions to storage. You happen to have a friend who is in this business. Yes, you can hire this friend. Just be certain you are not paying over the fair market value of the services. You simply keep the files and receipts and check copy in your file marked "Moving Expenses". There need be no notation that this was or was not a person known to you as long as everything is on the up and up and all files are kept. In point of fact you can likely get a better deal for your principal from your friend, and can be more certain of his honesty and diligence.
Now there are some BIG jobs that I would pass past an elder law attorney. For instance say you are selling the principal's home for money to pay for their care. Let us say your closest friend is a realtor you know to be excellent and honest. I would ask an elder law attorney if they see any reason I cannot hire that friend.
I would take special care in any situation where I have jealous and money grubbing siblings in the wings somewhere with every step I make in any direction for my principal and would always have the advice of experts.
What you want as POA is to be able to answer any "accuser" in court in an action where you are accused of acting in a corrupt manner. In the above case you would have that.
If you can elaborate on your question we can perhaps help more.
As to written rules for POA you can google the rules for your own state. And then, as I said, and most importantly, read your own document to see what your powers are. Ask any elder law attorney for anything you aren't certain of. Always be certain you aren't enriching yourself or others off the principal.