Dec192025
Probate Q&A Series

What happens to a power of attorney after death, and can we challenge transactions the agent made shortly before or after the death? – North Carolina

Short Answer

In North Carolina, a power of attorney generally ends when the principal dies, and the agent no longer has authority to control the person’s property. After death, authority shifts to the estate’s personal representative (executor or administrator) once appointed by the Clerk of Superior Court.

Transactions the agent made shortly before death can often be reviewed and challenged if they exceeded the power granted, involved self-dealing, or resulted from undue influence, fraud, or lack of capacity. Transactions made after death are usually unauthorized, but some third parties may be protected if they acted in good faith without notice of the death.

Understanding the Problem

In North Carolina probate disputes, a common question is: when a person dies, can a family member who held a power of attorney keep using it to control bank accounts, sign deeds, or manage property? A related question is whether heirs or an estate can challenge transactions the agent made close in time to the death, especially when the agent now claims the deceased person’s home, land, or accounts should be treated as the agent’s property.

Apply the Law

Under North Carolina law, a power of attorney is an agency relationship. As a general rule, an agent’s authority ends at the principal’s death, and the estate’s personal representative becomes the person with legal authority to collect, protect, and manage estate property. Separate from “who has authority,” North Carolina law also provides tools to force an agent to explain what happened (an accounting) and to seek court relief if the agent misused the role or pushed through last-minute transfers.

Key Requirements

  • Termination at death: Once the principal dies, the agent’s authority under the power of attorney generally stops, and the agent should no longer act as if still in charge.
  • Proper decision-maker after death: After death, the personal representative (once appointed) is typically the party with authority to demand records, take control of estate assets, and pursue claims to recover property for the estate.
  • Grounds to challenge transactions: Transactions can be challenged when the agent exceeded the written authority, engaged in self-dealing (for example, taking assets for personal benefit without clear authority), or when the power of attorney or the transaction was procured through undue influence, fraud, duress, or lack of capacity.

What the Statutes Say

Analysis

Apply the Rule to the Facts: The facts describe a sibling who held a power of attorney before death and now claims control over a home, acreage, and bank accounts after the death. Under North Carolina law, the power of attorney generally ends at death, so continuing to act as “the agent” after death is usually improper; the person with legal authority becomes the personal representative once appointed. Transactions shortly before death can be challenged if they look like last-minute transfers benefiting the agent (such as changing an account to joint survivorship, changing beneficiaries, or transferring the home) without clear authority or with signs of undue influence or lack of capacity.

Process & Timing

  1. Who files: Typically an interested person starts the estate administration, and the person appointed as the personal representative (executor if there is a will, otherwise administrator) is usually the party who pursues recovery. Where: Clerk of Superior Court (Estates Division) in the county where the decedent was domiciled. What: An application/petition to open the estate and be appointed personal representative (the Clerk provides local forms and procedures). When: As soon as practical after death, especially if assets are at risk.
  2. Demand information and freeze the story: After appointment, the personal representative can request records from financial institutions and demand that the former agent provide documentation of transactions. If a formal accounting is needed, North Carolina law provides a procedure to ask the Clerk of Superior Court to compel an accounting and require supporting proof for expenditures from the principal’s assets.
  3. Choose the right forum for the right relief: If the goal is an accounting or a ruling about what the power of attorney allowed, that type of proceeding is often brought before the Clerk under North Carolina’s power of attorney procedures. If the goal is to recover money damages for misuse (for example, breach of fiduciary duty, fraud, or negligence), those claims are typically handled as civil actions rather than as a clerk-only power of attorney proceeding.

Exceptions & Pitfalls

  • “After death” acts may be defended as good-faith reliance: A person dealing with an agent (and in some settings the agent) may argue they had no actual notice of the death at the time of the transaction. North Carolina statutes include narrow protections tied to lack of actual knowledge/notice and, in specific settings, allow affidavits regarding lack of knowledge of death or termination.
  • Not everything controlled by an agent becomes an estate asset: Some accounts pass by contract (for example, joint survivorship or payable-on-death designations). Those transfers can still be challenged in appropriate cases (such as undue influence or misuse of a power of attorney), but they are not automatically controlled by the estate just because the decedent owned them at some point.
  • Wrong procedure slows the case: North Carolina divides authority between the Clerk of Superior Court (estate administration and certain power-of-attorney proceedings like compelling an accounting) and Superior Court (many money-damages claims). Filing in the wrong forum can cause delay or dismissal, so the case strategy often starts with identifying the relief being requested.

Conclusion

In North Carolina, a power of attorney generally ends when the principal dies, and the agent should not keep controlling property or accounts after death. Transactions made shortly before death can be challenged if the agent exceeded the power granted, engaged in self-dealing, or used undue influence, fraud, or a lack of capacity to push through transfers. A practical next step is to open the estate with the Clerk of Superior Court and have a personal representative appointed so records can be demanded and appropriate court action can be started.

Talk to a Probate Attorney

If a family member used a power of attorney and is now trying to control property or accounts after a death, a probate dispute can move quickly and the right filing path matters. Our firm has experienced attorneys who can help evaluate the power of attorney, identify suspicious transactions, and explain options and timelines under North Carolina law. 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.

Category: Probate Q&A Series

Author: jpierce

Attorney Jared Pierce is the founder of Pierce Law Group in Raleigh, North Carolina, a firm he established with a dedicated focus on probate administration and estate planning across North Carolina. Born and raised in the Republic of South Africa, Jared moved to Durham with his family in 2001, bringing with him a rich cultural background and a distinctive accent that often serves as a conversation starter.