We frequently get calls from Americans who need a power of attorney to use in Brazil. Some are buying real estate; others are getting married. No matter the purpose, the story is usually the same. They were told they’d need a power of attorney, so they come looking for help.

Powers of attorney are common in Brazil. They’re frequently used, and they’re convenient for foreigners doing business in Brazil but who cannot physically be present. It allows a third party to act on their behalf, including signing contracts and other legal documents.

They do, however, come with risks. If not properly drafted, a power of attorney could give a third party far more power than you ever imagined. Do you really want your agent to have complete access to your bank account? What about the right to sign a settlement agreement or receive payments on your behalf?

They also come with a unique set of challenges. In Brazil, the preference is for narrowly tailored powers drafted for a specific purpose. But written too narrowly, they could unintentionally limit the agent’s ability to do work for you.

This makes it difficult for a lawyer not involved in the transaction to draft a power of attorney. They can’t possibly know what specific powers to include. The next time you need a power of attorney for Brazil, make sure that whoever is helping you with the transaction does the drafting. After all, they should know what all needs to get done.