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A power of attorney is a legal document that gives one person (the attorney) the right to act on behalf of another (the principal) in certain situations. A trust is a legal arrangement wherein some person (the trustee) is designated to manage the property of another (the grantor or settlor) for the benefit of a third party (the beneficiary).
A power of attorney is a legal document in which one person, known as the principal, appoints another, known as an attorney-in-fact, to sign documents and perform acts on his behalf.he powers granted to an attorney-in-fact under a power of attorney terminate upon the death of the principal, but in some states, that termination may be conditioned upon actual knowledge and not affect everyone at the moment of death.