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<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060">Dear All:<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060">Principal is the sole member of a limited liability company. The LLC owns a piece of real property. Principal executes a document entitled "Durable Power of Attorney
for Asset Management," effective upon execution. DPOA is silent as to power to act in any capacity on behalf of the LLC. After Principal is declared incompetent to manage Principal’s own financial affairs, Agent sells the real property owned by the LLC,
signing a warranty deed as both "Managing Member" of the LLC and as "AIF [Principal's name], DBA [name of the LLC]."<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060">This scenario raises several questions for me:<o:p></o:p></span></p>
<ul style="margin-top:0in" type="disc">
<li class="MsoListParagraph" style="color:#002060;margin-left:0in;mso-list:l0 level1 lfo1">
<span style="font-size:10.0pt;font-family:"Arial",sans-serif">If the express DPOA is silent on the matter, does a power of attorney authorize an Agent to sell real property owned by a limited liability company when the Principal is the sole member of the LLC?<o:p></o:p></span></li><li class="MsoListParagraph" style="color:#002060;margin-left:0in;mso-list:l0 level1 lfo1">
<span style="font-size:10.0pt;font-family:"Arial",sans-serif">Is it a breach of the Agent’s fiduciary duty for the Agent to have signed as Managing Member of the LLC when, in fact, the Agent was not indeed the Managing Member? (To me, this looks like a misrepresentation
as to authority to convey title.)<o:p></o:p></span></li><li class="MsoListParagraph" style="color:#002060;margin-left:0in;mso-list:l0 level1 lfo1">
<span style="font-size:10.0pt;font-family:"Arial",sans-serif">Is it a breach of the Agent’s fiduciary duty for the Agent to represent the Principal as being a DBA of a limited liability company? (This clearly exposes the LLC to liability under the concept
of alter ego.)<o:p></o:p></span></li></ul>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060">I haven't found anything on point… At least yet.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060">Any thoughts on this fact pattern?<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060">Thanks.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060"><o:p> </o:p></span></p>
<div>
<p class="MsoNormal" style="margin-bottom:12.0pt"><b><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060">Mark B. Anderson<br>
</span></b><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#002060">ANDERSON LAW FIRM PLLC<br>
821 Dock St Ste 209 PMB 4-12<br>
Tacoma, Washington 98402<br>
+1 253-327-1750<br>
+1 253-327-1751 (fax)<br>
<a href="mailto:marka@mbaesq.com"><span style="color:#002060">marka@mbaesq.com</span></a><br>
<a href="http://www.mbaesq.com/"><span style="color:#002060">www.mbaesq.com</span></a><b><o:p></o:p></b></span></p>
<p class="MsoNormal" style="margin-bottom:12.0pt"><b><span style="font-size:10.0pt;font-family:"Arial Narrow",sans-serif;color:#002060">CONFIDENTIALITY NOTICE<br>
</span></b><span style="font-size:10.0pt;font-family:"Arial Narrow",sans-serif;color:#002060">This transmission is confidential and is intended solely for the use of the individual named recipient. It may be protected by the attorney-client privilege, work
product doctrine, or other confidentiality protection. If you are not the intended recipient, or the person responsible to deliver it to the intended recipient, be advised that any dissemination, distribution, or copying of this communication is prohibited.
If you have received this transmission in error, please immediately notify the sender via e-mail or by telephone at (253) 327-1750 that you have received the message in error, and then delete it. Thank you.<o:p></o:p></span></p>
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