A Canadian General Power of Attorney is a legal document by which one person (the Donor, also called the Grantor or Principal) authorizes another person (the Attorney) to manage their property and financial affairs on their behalf. Unlike a continuing or enduring power of attorney, a general power of attorney in Canada terminates automatically upon the mental incapacity of the Donor. This means the Attorney can only act while the Donor remains mentally capable of managing their own affairs.

The legal framework for powers of attorney in Canada is governed at the provincial level. In Ontario, the Substitute Decisions Act, 1992 (S.O. 1992, c. 30) governs both powers of attorney for property and powers of attorney for personal care. The SDA establishes the requirements for creating a valid power of attorney, defines the duties of the attorney, and provides for court oversight through the Office of the Public Guardian and Trustee. A general (non-continuing) power of attorney for property under the SDA authorizes the attorney to manage the donor's property and financial affairs but does not survive the donor's incapacity.

In British Columbia, powers of attorney are governed by the Power of Attorney Act (R.S.B.C. 1996, c. 370). A general power of attorney under this Act gives the attorney authority over the donor's financial affairs while the donor is capable. In Alberta, the Powers of Attorney Act (R.S.A. 2000, c. P-20) governs the creation and scope of powers of attorney. In Quebec, the equivalent document is a mandate (mandat) under the Civil Code of Quebec (articles 2130 to 2185), which operates under the civil law tradition rather than common law. Each province and territory has its own specific legislation and requirements, making it essential to select the correct governing province when creating this document.

A general power of attorney is needed when you require someone to manage your financial and property affairs on your behalf while you remain mentally capable but are unable to attend to them personally. This commonly arises when you are travelling outside Canada for an extended period and need someone to handle banking transactions, pay bills, manage investments, or conduct real property transactions in your absence. Business owners who travel frequently may appoint an attorney to sign contracts, negotiate agreements, and manage day-to-day business operations.

A general power of attorney is also appropriate when you need assistance due to physical limitations that make it difficult to attend to financial matters in person, such as mobility challenges, hospitalization for a physical condition (where mental capacity is maintained), or geographic distance from the location where transactions must occur. For example, if you own property in Ontario but reside in British Columbia, you may appoint an attorney in Ontario to manage that property on your behalf.

This document is frequently used in real estate transactions where the property owner cannot attend the closing in person, allowing the attorney to sign transfer documents, receive or disburse funds, and complete the transaction. It is also commonly used by elderly individuals who are still mentally capable but find it increasingly difficult to manage their own financial affairs due to physical limitations, and by military personnel or individuals working abroad who need someone to manage their Canadian financial affairs while they are deployed or stationed overseas.

A valid Canadian General Power of Attorney must include several essential elements to be legally enforceable. First, the document must clearly identify the Donor (the person granting the power) with their full legal name, address, and date of birth. The Attorney (the person receiving the power) must be similarly identified, along with their relationship to the Donor. The document must specify the province or territory whose laws govern it, as each province has distinct legislative requirements.

The scope of authority must be clearly defined. While a general power of attorney can grant broad powers over all property and financial matters, it is best practice to enumerate the specific powers granted, such as real property transactions, banking operations, investment management, tax matters, and dealings with the Canada Revenue Agency. The Attorney's authority may be limited or conditioned as the Donor sees fit. The document should specify whether the Attorney has the power to make gifts of the Donor's property, as under Ontario's SDA s. 37(4), the power to make gifts or charitable donations must be expressly authorized.

The execution requirements must be satisfied according to the applicable provincial legislation. In Ontario, the POA must be signed by the Donor and two witnesses, neither of whom can be the Attorney, the Attorney's spouse, or the Donor's spouse (SDA s. 10). The document should include provisions regarding the Attorney's compensation (the SDA s. 40 addresses compensation), fiduciary duties, record-keeping obligations, and the process for revocation. A substitute attorney should be named in case the primary attorney is unable to serve. Finally, the document must clearly state that it is a general (non-continuing) power of attorney that terminates upon the Donor's mental incapacity, distinguishing it from a continuing power of attorney under SDA s. 7.