What is the legal status of a power of attorney (wakalah) when the principal (muwakkil) loses legal capacity due to insanity or judicial restriction for extravagance?

Primary text

When the principal loses the capacity for legal disposition, such as by becoming insane or being placed under judicial guardianship for extravagance (safh), the ruling is equivalent to death. This is because the principal can no longer dispose of their affairs, and consequently, no one else can dispose of them on the principal's behalf. Ahmad stated concerning partnership that if one partner develops obsessive thoughts (waswasa), it is treated like withdrawal (azl).