Short Answer

In North Carolina, a power of attorney lets you act for a living parent, but your authority ends at their death. For the deceased parent’s stocks, only the court-appointed personal representative makes the call to retitle or sell—usually without a court order—while keeping accurate records for the final accounting. If your living parent has capacity, you should follow their known wishes and keep them informed, even if the power of attorney does not require approval for every transaction.

Understanding the Problem

You want to know whether, as power of attorney in North Carolina, you can decide how to handle stocks or need your living parent’s approval for each step, while also serving as personal representative for a deceased parent’s estate that includes a brokerage account and is approaching final accounting.

Apply the Law

Under North Carolina law, a power of attorney authorizes an agent to act for a living principal within the scope of the document and the statute. That authority ends at the principal’s death. After death, the Clerk of Superior Court issues Letters to a personal representative, who then has broad powers to control, retitle, or sell estate personal property (including stocks), account for income like dividends, and close the estate. Selling marketable securities typically does not require a court order, but the personal representative must act prudently and document all actions for the annual and final accounts.

Key Requirements

• Agent’s scope and duty: As power of attorney, act in the living parent’s best interests and follow their known wishes; keep records and communicate as appropriate.
• POA ends at death: Your power of attorney authority stops when the parent dies; decisions about that parent’s stocks shift to the personal representative.
• Personal representative powers: Take control of brokerage assets, retitle to the estate, vote or sell shares, and employ advisors; sell personal property without a court order unless limited by will or statute.
• Accounting and income reporting: Report all receipts (including dividends) and disbursements in the annual and final accounts; allocate income versus principal appropriately.
• Prudent administration: Weigh cash needs, diversification, market risk, and taxes when deciding to liquidate versus distribute in kind; document valuations and decisions.

What the Statutes Say

• North Carolina Gen. Stat. § 32C-1-110 (Termination of POA/agent’s authority) – A power of attorney and the agent’s authority terminate at the principal’s death and in other listed events.
• North Carolina Gen. Stat. § 32C-1-114 (Agent’s duties) – An agent must act in good faith, within authority, in the principal’s best interests, and keep records.
• North Carolina Gen. Stat. § 28A-13-3 (Personal representative powers) – Authorizes controlling, voting, holding in nominee name, and selling securities; employing advisors; allocating income/principal.
• North Carolina Gen. Stat. § 28A-16-1 (Sale of personal property) – Allows sale of personal property without a court order, with reporting in the next account.

Analysis

Apply the Rule to the Facts: For the living parent, you may place or sell their stocks if the power of attorney grants investment authority, but you should follow their instructions if they have capacity and keep clear records. For the deceased parent’s brokerage account, you act as personal representative: open an estate account, retitle or consolidate the securities, and decide to sell or distribute in kind based on the estate’s needs. Dividends and sales proceeds must be shown in the final account, and a tax advisor can help address any estate income tax.

Process & Timing

1. Who files: Personal representative. Where: Clerk of Superior Court in the county of administration (North Carolina). What: Obtain an estate EIN, open an estate brokerage account, provide Letters and requested documents (often including a medallion signature guarantee) to transfer securities; use the Judicial Branch accounting forms for the final account. When: File the final account generally within one year of qualification unless the clerk grants an extension.
2. Coordinate with the broker/transfer agent to move “street name” holdings into the estate’s account. Decide whether to liquidate based on cash needs, volatility, and beneficiary plans; sales of securities typically proceed without a court order. County processing times can vary.
3. Report all sales, gains/losses, dividends, and fees in the final account. Distribute cash or shares per the will or intestacy, then close the estate upon clerk approval.

Exceptions & Pitfalls

• Power of attorney authority ends at death; do not trade a deceased parent’s account as agent—act only as personal representative.
• If the will limits sales or directs in-kind distribution, follow those terms; otherwise, selling personal property does not usually need a court order.
• Transfer agents often require recent Letters and a medallion signature guarantee; build in time to obtain them.
• Joint or transfer-on-death accounts may pass outside the estate; confirm titling before deciding to sell or retitle.
• Record every dividend and trade; unreported income or poor documentation can delay clerk approval of the final account.
• Avoid conflicts and self-dealing; imprudent retention or sale timing can lead to disputes with beneficiaries.

Talk to a Probate Attorney

If you’re dealing with stock decisions under a power of attorney and an estate that holds brokerage assets, our firm has experienced attorneys who can help you understand your options and timelines. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.