under Israeli law is a person appointed in a Lasting Power of Attorney (LPA) under Section 32i of the Legal Capacity and Guardianship Law (1962) to manage the grantor's financial, personal, and medical affairs upon loss of capacity. The scope of authority is defined in the LPA document — powers may be broad or limited to specific acts, and real estate disposals must be explicitly authorised. The Law Office of Adv. & CPA Shoshi Arbib drafts LPAs with clearly delineated, enforceable powers across all three domains.
What Is the Scope of Authority for an Attorney-in-Fact?
An attorney-in-fact (Meyupeh Koach) appointed under an Israeli Lasting Power of Attorney (LPA) can be granted authority over three main domains: financial and property matters, personal and lifestyle matters, and healthcare decisions. The scope of each domain is defined in the LPA document and may be broad or specifically limited.
Financial and Property Powers
In the financial domain, the attorney-in-fact may: manage bank accounts, pay bills and expenses, collect income, manage investments, buy or sell property (subject to any restrictions in the LPA), operate a business, and take tax actions on behalf of the grantor. These are sweeping powers — which is why robust safeguards are essential.
Personal and Healthcare Powers
In the personal domain, the attorney-in-fact can make decisions about where the grantor lives, their daily routine, and social activities. In the healthcare domain, they can consent to medical procedures, choose treatment providers, and make end-of-life decisions — unless the grantor has specified otherwise in the LPA or in a separate Advance Directive document.
Can an attorney-in-fact sell my apartment under an Israeli lasting power of attorney?
Only if the LPA explicitly grants this power. Israeli law requires that authority to sell real estate be specifically stated in the LPA — a general grant of financial authority is not sufficient for a property sale. The LPA must specify the property or the class of assets that may be sold. This is a common drafting mistake — LPAs prepared without specialist legal advice sometimes fail to include the specific authorisation needed for real estate transactions.
What is financial and property powers?
In the financial domain, the attorney-in-fact may: manage bank accounts, pay bills and expenses, collect income, manage investments, buy or sell property (subject to any restrictions in the LPA), operate a business, and take tax actions on behalf of the grantor. These are sweeping powers — which is why robust safeguards are essential.
Official References: Israel Ministry of Justice — POA · Israel Ministry of Justice · National Insurance Institute of Israel · Israeli Courts Administration · Israel Land Authority
Steps to Defining the Attorney-in-Fact's Powers
- Map the decision domains — Specify the scope of authority: property and finances, health and medical, housing, and personal affairs — each domain may have a separate attorney-in-fact.
- Set limits and directives — State the specific actions the attorney-in-fact is authorised to perform, explicit prohibitions, and oversight mechanisms.
- Define activation conditions — Does the power of attorney take effect immediately, or only upon loss of capacity? Clearly define the trigger state and how it is to be proved.
- Ongoing review and updates — Re-examine the document following life changes such as divorce, death of the attorney-in-fact, or change in health, and update accordingly.
Shoshi Arbib Law Office — Attorney | CPA | Mediator, Netanya, Israel.
