Legal Definitions - with power

In a legal context, the phrase "with power" indicates that an individual or entity has been formally granted the authority or legal right to perform specific actions, make decisions, or enter into agreements that are legally binding. This authority can originate from various sources, such as a statute, a contract, a court order, or a delegation from a higher authority, enabling the party to act on behalf of another or to enforce particular rules or decisions.

• Example 1: Corporate Delegation

  A company's Board of Directors passes a resolution stating that the Chief Financial Officer (CFO) is authorized with power to negotiate and execute all necessary loan agreements up to a certain amount on behalf of the corporation. This means the CFO has the legal authority to commit the company to financial obligations within the specified limits, and any bank entering into a loan agreement with the CFO can be confident that the agreement is legally binding on the company.

• Example 2: Personal Representation

  An individual creates a general power of attorney, designating their spouse as their agent with power to manage all their financial and legal affairs, including selling property, accessing bank accounts, and signing contracts, should the individual become incapacitated. This document legally empowers the spouse to make these decisions and take these actions, ensuring that the individual's affairs can be managed seamlessly and legally even if they are unable to act for themselves.

• Example 3: Governmental Authority

  A state legislature establishes a new environmental protection agency, granting it the authority with power to issue fines for violations of pollution control regulations and to compel companies to undertake clean-up operations. This means the agency's decisions regarding fines and clean-up orders are legally enforceable, and companies must comply with them or face further legal consequences.