Revoking Power of Attorney in PEI

When a Parent Can Revoke

A power of attorney in PEI can be revoked at any time, as long as the parent retains mental capacity. The same capacity standard applies here as when signing the original document — the parent needs to understand what revocation means and the consequences of removing the attorney's authority.

A power of attorney may be irrevocable in limited circumstances, such as when granted for valuable consideration or to secure a liability. Otherwise, the attorney cannot prevent a capable parent's valid written revocation from taking effect.

How Revocation Works

The cleanest approach is a written revocation — a signed and dated document that explicitly states the prior power of attorney is cancelled. The Act does not require a separate "Deed of Revocation" or two witnesses.

Alternatively, executing a new power of attorney that explicitly cancels all previous instruments has the same legal effect. Some families prefer this approach because it combines revocation with the appointment of a new attorney in a single step.

The Act specifically provides for written revocation or destruction of the power of attorney. Do not rely on a verbal revocation: if the attorney disputes it, or if a bank has the original power of attorney on file and has not been notified, the verbal statement may not be honoured in practice.

Who Needs to Be Notified

Signing the revocation is only the first step. The following people and institutions should receive written notice or copies:

The former attorney. They should be formally notified in writing that their authority has ended. Until they receive notice, they may continue to act in good faith — and transactions they complete before learning of the revocation may still be legally binding.

Every bank and financial institution where the former attorney was registered. If the power of attorney was filed with a bank's compliance department, provide the revocation there too. Until the bank receives notice, it may continue to honour the former attorney's instructions.

The CRA. If the former attorney was registered as an authorized representative with the Canada Revenue Agency, that authorization needs to be cancelled separately through the CRA's own process.

Health PEI and care coordinators. If the former attorney was managing the parent's long-term care subsidy application or interacting with home care services, those agencies need to know the authority has changed.

Any land registry. If the former attorney was registered to manage real property transactions, the land registry should receive notice of the revocation.

Common Reasons Families Revoke

The parent changes their mind about who should manage their affairs. Family dynamics shift — a once-reliable child moves away, a closer relationship develops with another child, or a parent simply wants someone different handling their finances.

The attorney isn't fulfilling their obligations. Under the 2025 regulations, attorneys have strict duties to maintain financial records. A parent who suspects mismanagement or finds the attorney isn't filing taxes, paying bills, or providing financial accounting can revoke the appointment.

The relationship changes. If a parent named a spouse as attorney and the relationship ends through separation, the ongoing authority may no longer be appropriate. Under PEI law, the authority generally ends when the principal and attorney cease to cohabit as spouses with an intention to end the spousal relationship, unless the power of attorney provides otherwise.

What Revocation Cannot Undo

Revocation is prospective, not retroactive. Any transactions the attorney completed while the power of attorney was valid remain legally binding. If the attorney sold property, withdrew funds, or signed contracts within the scope of their authority before revocation, those actions stand.

If the parent believes the attorney acted outside their authority or misused funds, that's a separate legal matter — potentially involving breach of fiduciary duty or criminal charges — but it's not resolved through revocation alone.

Replacing the Revoked Document

If your parent revokes their power of attorney, they should execute a new one promptly — especially if they have any cognitive concerns. Revocation without replacement leaves them with no designated attorney, meaning that if they later lose capacity, the family will need to pursue the court-ordered guardianship and trusteeship pathway.

Our PEI Power of Attorney & Personal Directive Kit includes the 2025 statutory forms for both creating and replacing planning documents, along with the witness screening sheet and execution instructions that ensure the new documents are properly completed.

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