when someone sues "as power of attorney" protection from abuse

by Randi Dickinson III 8 min read

If you suspect someone is abusing their power of attorney over a loved one, then you may need to petition the court to get legal conservatorship of the person. This action will take away their right to act as power of attorney and stop the abuse. However, it can be challenging to do.

Full Answer

What happens if a power of attorney is being abused?

Some of the legal claims that may exist when a power of attorney is being abused include the following: A power of attorney designation creates a fiduciary relationship between the principal and the agent. In these situations, the agent owes the principal a duty to act with the utmost care and diligence.

Do you have problems of liability with your power of attorney?

That’s right. Problems of liability can blindside you and put you in a world of hurt. Before we get to that, let’s define a few terms. The person who creates and provides you with the Power of Attorney is called the “grantor”, “principal” or “donor”.

What is power of attorney abuse and sibling conflicts?

Power of attorney abuse and sibling conflicts can be emotional and complex. Here’s our guide to power of attorney problems, contests, disputes, and abuse. What is power of attorney? Power of attorney is a legal contract that gives a person, the Agent, the power to make legal decisions on the behalf of somebody else, the Principal.

Why is it important to protect victims of power of attorney?

Also, by encouraging shut-in victims of power of attorney abuse to get out, it increases the likelihood of contact with a myriad of those who can help put a stop to abuses.

How is power of attorney abuse resolved?

Plus, most power of attorney abuse situations are resolved through negotiated settlement or mediation, and a l court trial never even occurs. Why? Supervised by a probate litigation attorney, settlement proceedings are faster and less expensive than going to court.

What to do if you suspect power of attorney abuse?

If you suspect power of attorney abuse, contact a probate litigation attorney immediately. Like at RMO, LLP, most experienced probate litigation attorneys will offer a free consultation to help answer your questions. For a free consultation, call us anytime at: (424) 320-9444

Why do people invalidate powers of attorney?

The most common reasons families seek to invalidate powers of attorney are for abuse by the Agent of the Principal in taking the Principal’s properties for themselves. In many cases, these abuse issues can be resolved through negotiated settlement or mediation, without even having to go to court.

What happens when a principal gives power of attorney to a child?

However, if a conflict arises between the Principal’s children, then the power of attorney that one child holds often leads to even more, often highly emotional, conflicts. Ex., if Principal gives power of attorney to Responsible Child who has a strained relationship with Irresponsible Child and Irresponsible Child learns ...

What happens if an agent denies abuse?

If the Agent denies the abuse, and civil court is required, then the costs and time increase and can be substantial. However, if the case is going to civil court, the expectation is that the financial value of assets that will be recovered will exceed the attorney fees and costs.

What is a power of attorney?

Power of attorney is a legal contract that gives a person, the Agent, the power to make legal decisions on the behalf of somebody else, the Principal. For example, a busy adult may give their financial planner a power of attorney to make financial decisions for them, including buying and selling stocks. Frequently, a power of attorney is given ...

Can an agent gain anything from a power of attorney?

An Agent is not supposed to directly gain anything, when acting with power of attorney. California law dictates that that the Agent is only to act in and for the best interest of the Principal. The moment the Agent acts in a way that results in their own personal gain instead of the Principal’s it’s time to investigate whether they have committed ...

What is a power of attorney?

A power of attorney is a written document that gives an agent the legal authority to act for the principal who establishes the power of attorney. This designation is for financial purposes, such as opening a bank account, writing checks, implementing new investments and conducting financial transactions. A power of attorney can give someone the ...

Why do people need a power of attorney in hospitals?

In some situations, a person may suffer some type of health crisis and may choose to appoint a power of attorney while in a hospital because of the logistical difficulties of handling financial transactions in this situation . However, this is a prime time for predators who may take advantage of the opportunity and withdraw funds and close accounts.

What is legal authority?

This legal authority can be an important planning mechanism that allows someone to make financial decisions and conduct financial transactions in the event that the principal cannot do so for himself or herself whether temporarily or permanently.

What is a legal claim in a divorce case?

Another possible legal claim is conversion. This claim basically asserts that the agent has stolen from the principal. Successfully litigating this type of case typically requires showing that the agent used the principal’s property in a manner inconsistent with his or her rights of ownership. Additionally, the principal may have the duty to demand the return of his or her property and that the agent refused to return it.

What is a legal claim for a fraud?

In some cases, the legal claim may be that the agent lied about circumstances which caused him or her to take action or have the agent take action on his or her behalf that was adverse to his or her interests.

Can a power of attorney be revoked?

Individuals who believe that their power of attorney is being abused or who are concerned about a loved one may wish to discuss their case with a lawyer. A lawyer may be able to revoke the power of attorney so that no further damage is done. He or she may be able to demand the return of stolen assets or money and file a lawsuit that alleges the appropriate cause of action against the abuser.

Is elder abuse a felony?

Elder Abuse. Several states have laws related to elder abuse. In some cases, the state includes taking financial advantage of a vulnerable elder in the statute. These may be criminal or civil laws with varying degrees of penalties, sometimes resulting in the possibility of charging a felony against the abuser.

Who can abuse a senior power of attorney?

Anyone with a senior’s power of attorney can abuse it, including lawyers, friends, family members, or even strangers. Find some examples below.

Why are senior citizens at risk of power of attorney abuse?

Seniors are especially at risk of power of attorney abuse because: They may have mental or physical impairments that prevent them from managing their own well-being. They may give their power of attorney to someone they can’t trust. There is generally poor regulation/accountability for power of attorney.

What is nursing home abuse justice?

Nursing Home Abuse Justice was founded to shine a light on nursing home and elder abuse. Every day, thousands of people in nursing homes and assisted living facilities are abused. Our team helps educate seniors and their loved ones on the common causes, signs and preventions of nursing home abuse. We report on real-world studies and current events from respected news outlets to expose this national problem.

How long was a Pennsylvania attorney in jail?

He stole the money over a period of three years before being caught. The lawyer was disbarred and sentenced to 33 months in federal prison in 2018.

What to do if a senior cannot revoke a power of attorney?

If power of attorney elder abuse is suspected, call the local authorities immediately .

Does a power of attorney hurt seniors?

Power of attorney abuse doesn’t just harm seniors financially — it can also cause damage to their mental and emotional health.

Can a power of attorney steal money?

When someone with power of attorney uses it to steal money from a senior, it may be considered abuse. Lawyers, family members, friends, nursing home staff, and even strangers can commit this type of elder abuse. Know the signs so that you can identify and stop power of attorney elder abuse before it has lasting consequences.

What is DPA abuse?

DPA abuse (sometimes referred to as POA abuse) is the misuse by the agent of the authority granted by the principal. It means making a decision or taking an action that is not in the principal’s best interest. For example, as in the case described above, DPA abuse occurs when the agent spends the principal’s money to benefit the agent, rather than the principal. It may also include forging the principal’s signature on the DPA or coercing an older person to make a DPA against his or her wishes.

What happens if an agent violates the duty owed to the principal?

An agent who violates the duty owed to the principal may have committed one or more crimes. The agent may have violated state and federal laws, including laws on:

Is a durable power of attorney a crime?

Go talk to a civil lawyer.” While DPA abuse is a civil problem, it is also a crime and should be treated as one. An increasing number of newspaper stories describe successful investigations and prosecutions of DPA abuse. But too many criminal justice professionals still lack awareness of DPA abuse and the role they can play in holding offenders accountable and obtaining justice for victims. This fact sheet will enhance their awareness.

What is the legal action for a POA?

If the person who created the POA is still alive, then typically a guardianship or conservatorship proceeding is needed to appoint a proper decision-maker.

What happens when someone gives POA?

When someone grants POA to another individual, it gives great power but also great responsibility. Unfortunately, some people who are granted the power of a POA are dishonest and may sometimes take advantage of the power for their own selfish interests. They may take money from a bank account, retitle investments, sell real estate or an automobile to a family member at far less than fair value, or even cause changes to a will, trust, or beneficiary designation in a life insurance policy. Some POAs even begin writing checks from the person’s account to pay their own bills. All of these can give rise to breach of fiduciary duty claims, which can lead to civil – and sometimes even criminal – remedies.

Why do people need a POA?

A person appoints a power of attorney (POA) to make decisions for himself or herself – usually a spouse, parent, or adult child — for a variety of reasons. Most commonly, people create POA’s to be prepared if tragedy strikes, such as a car accident, or the mental decline that often comes along with aging. Without a proper POA in place, a family of someone with dementia or Alzheimer’s disease, for example, would need to go to court to obtain guardianship or conservatorship to be able to protect and make decisions for the person no longer able to do so.

Can you get conservatorship if you have a POA?

Just because a POA is already in place does not mean you cannot obtain guardianship or conservatorship. The probate court is there to protect vulnerable adults, as well as those who have passed away, and judges do remove legal authority from POAs who act improperly.

Can a POA be used as an executor?

Even when the person who abused a POA in turns becomes the executor, a breach of fiduciary duty claim can still be filed against that person, if properly asserted in probate court.

Can a power of attorney in Michigan handle a POA case?

While many lawyers say they can handle cases of this nature, this area of law is very specialized. Working with a good attorney who really knows, and has handled, cases involving POA abuse and fiduciary duty breaches can make the difference between winning and losing.

Can a breach of fiduciary duty be filed against a POA?

Even when the person who abused a POA in turns becomes the executor, a breach of fiduciary duty claim can still be filed against that person, if properly asserted in probate court.

How to avoid power of attorney liability?

Maybe the best way to avoid Power of Attorney liability is refuse to accept the offer when someone gives it to you. That would put all your fears to rest. Sometimes this approach isn’t practical.

Why are you liable for a power of attorney?

Are liable because of the relationship you have with the person (and this has nothing to do with you being the “agent”). Act negligently, fraudulently or illegally. Do something that you are not authorized to do by the Power of Attorney document.

What happened to the woman who was appointed as a power of attorney for her father?

Here’s what happened. Once the woman was appointed Power of Attorney for her father, she contacted her dad’s bank. The bank wouldn’t give her information on her father’s loan until she co-signed her father’s mortgage. Outrageous. The bank acted illegally of course.

What happens if a trustee doesn't complete her side of the bargain?

If the “grantor” doesn’t complete her side of the bargain, she will be held responsible, not you. This is very similar to how a trustee in a trust works and is the reason some people turn to professional trustees in certain circumstances . Sure there are some cases where creditors can come after you.

Do financial institutions honor POA?

If you present POA documents to any financial institution they usually must honor them if they are valid. You won’t need to take on other people’s liability to act as POA. At the same time, please understand that not every financial institution will consider your Power of Attorney valid.

Who is the person who gives you a power of attorney?

Problems of liability can blindside you and put you in a world of hurt. Before we get to that, let’s define a few terms. The person who creates and provides you with the Power of Attorney is called the “grantor”, ...

Can you forget about POA?

You probably won’t have to worry about personal liability from creditors in most cases as POA. But that doesn’t mean you can forget about the problem of liability. You still have plenty of it. And it comes from the place you least expect it – the grantor.

What happens when someone gets a protection order?

When someone secures a protection order due to false accusations, there are often serious consequences. An innocent person can wind up with significant effects on his or her life, including relocating, having to change his or her daily activities to avoid the victim and losing time with his or her children.

What to do if you are falsely accused of domestic violence?

If a person is being falsely accused of domestic violence and may be the respondent in a protection order case, he or she may wish to seek immediate legal representation. A protection order has the potential to impact many aspects of the respondent’s life. A criminal defense attorney can help protect the respondent’s rights and present a defense against the allegations. He or she can prepare the respondent for the hearing in order to have the highest change of a positive outcome in the case.

What is a protection order for domestic violence?

This is a court order that instructs the defendant not to have contact with the victim and to cease any abusive behavior toward the victim .

Why do people get protection orders?

The alleged victim may feel mistreated due to infidelity, a breakup or conduct that falls well below the level of domestic violence. In other situations, a person may want a roommate to get kicked out without having to go through lengthy eviction procedures or without worry about breaking the lease. A spouse may make false allegations regarding domestic violence to get an advantage in a family law case. Because protection orders can order such things as spousal support, child support , child custody or visitation, alleged victims may use protection orders as a shortcut around family law matters.

What are the effects of a protection order?

Other Effects of a Protection Order. In addition to prohibiting abuse, protection orders may make a number of other restrictions. If the abuser and victim live in the same house, the protection order can order the alleged abuser to move out of the home. If the court feels that the children are in danger, the alleged abuser can be forced not ...

How does a protection order help?

They play a pivotal role in preventing domestic violence. The protection order may state that the alleged abuser must cease causing bodily injury or sexual assault. Protection orders can also help protect children. Protection orders can also stop instances of false imprisonment in which a person is kept somewhere against his or her will. They often include mandates to avoid stalking or harassing the victim.

What does a criminal defense attorney do?

A criminal defense attorney can help protect the respondent’s rights and present a defense against the allegations. He or she can prepare the respondent for the hearing in order to have the highest change of a positive outcome in the case. Provided by HG.org. Read more on this legal issue.