ProbateProbate Litigation

Power of Attorney Abuse in California

By July 13, 2026No Comments
Power of attorney abuse California

Table of Contents

Key Takeaways

  • A power of attorney allows one person to act on another person’s behalf in financial matters.
  • An agent acting under a California power of attorney owes fiduciary duties to the person who granted that authority.
  • Misusing a power of attorney may result in financial elder abuse, probate litigation, or other legal claims.
  • If you suspect someone abused your loved one through a power of attorney, contact The Grossman Law Firm promptly to help preserve important evidence.

What Is a Power of Attorney?

What Authority Does a Power of Attorney Give?

A power of attorney is a legal document that allows one person, known as the agent or attorney-in-fact, to handle financial matters for another person, known as the principal.
Depending on how it is drafted, a California power of attorney may become effective immediately or upon the occurrence of a future event specified in the document. Many powers of attorney are also durable, meaning they remain effective even if the principal later loses mental capacity.
People often sign powers of attorney because they trust someone to help with everyday financial matters, such as:
  • Paying bills
  • Managing bank accounts
  • Handling investments
  • Selling or maintaining property
  • Signing financial documents
A power of attorney can make life easier when it is used as intended. But as a result, giving someone complete control over finances can also open the door to abuse if the wrong person is trusted.
At The Grossman Law Firm, Attorney Scott Grossman represents beneficiaries and heirs throughout California when they believe a loved one’s finances were misused through a power of attorney or other forms of financial elder abuse.

How a Power of Attorney Can Be Abused

Most agents act responsibly and carry out the wishes of the person who appointed them.
Problems arise when an agent begins using that authority for their own benefit instead of acting in the principal’s best interests.
Power of attorney abuse may include:

Taking Money for Personal Use

An agent may withdraw money from bank accounts, write checks to themselves, or use the principal’s funds to pay personal expenses.

Transferring Property

An agent may attempt to transfer real estate, investments, or other valuable assets without proper authority or for less than fair market value.

Making Unauthorized Gifts

Some agents improperly transfer money or property to themselves or family members, reducing the value of the estate intended for beneficiaries.

Concealing Financial Information

If an agent will not share financial records or explain what they have done, that is often a sign that they are hiding something.
These kinds of actions can lead to claims for financial elder abuse, breach of duty, or undue influence, depending on what happened.

Warning Signs of Power of Attorney Abuse

No two cases are exactly alike, but some warning signs come up again and again when power of attorney abuse is involved.

Sudden Changes in Financial Circumstances

If you notice large withdrawals, missing accounts, or transfers that do not make sense, it is time to ask questions.

Signs of Fraud

Missing paperwork, strange signatures, or financial records that do not add up can be red flags.

Cognitive Decline

A diagnosis of dementia, Alzheimer’s disease, or another condition affecting mental capacity can make an older adult more vulnerable to financial abuse.

Isolation From Family

An agent who limits visits, screens phone calls, or controls communication may be attempting to prevent others from discovering financial misconduct.

The Agent Has Financial Problems

An agent experiencing significant financial difficulties may have a greater incentive to misuse the authority granted under the power of attorney.

Sudden Changes in Behavior

If your loved one suddenly appears anxious about money, confused about financial decisions, or reluctant to discuss their finances, additional investigation may be appropriate.

What Can Beneficiaries Do?

Gather Financial and Legal Records

If you suspect a loved one was financially exploited through a power of attorney, waiting too long can make it more difficult to uncover what happened.
Helpful evidence may include:
  • Bank statements
  • Financial records
  • The power of attorney document
  • Property transfer records
  • Emails and text messages
  • Medical records
  • Witness testimony
Many financial records become more difficult to obtain as time passes.

Speak With a California Probate Litigation Attorney

An experienced California probate and trust litigation attorney can evaluate the available evidence, explain your legal options, and determine whether litigation may be appropriate.
If something about your loved one’s financial decisions does not seem right, contact The Grossman Law Firm. Attorney Scott Grossman and his intake team can evaluate your situation. TGLF and our intake team can determine whether power of attorney abuse, financial elder abuse, or other misconduct may have occurred before additional evidence is lost.

FAQ

How does power of attorney abuse happen?

Power of attorney abuse occurs when an agent uses the authority granted under a power of attorney for their own benefit instead of acting in the principal’s best interests.

Does a power of attorney end when someone dies?

Yes. Under California law, a power of attorney generally terminates upon the principal’s death. After death, authority to manage assets typically passes to the personal representative of the estate or the successor trustee, depending on how the assets are held.

Can the abuse of power of attorney be considered financial elder abuse?

Yes. In some situations, an agent’s misuse of a power of attorney may also constitute financial elder abuse under California law.

How The Grossman Law Firm Can Help

If you think someone used a power of attorney to take advantage of your loved one, you do not have to handle this alone.
At The Grossman Law Firm, Attorney Scott Grossman represents beneficiaries and heirs throughout California in probate and trust litigation involving power of attorney abuse, financial elder abuse, undue influence, and other inheritance disputes.
Please call us at (888) 443-6590 or fill out our Get Help Now form to take the next step in protecting your inheritance.
Our intake team will review your case for free. If your case qualifies, you will be scheduled for a free phone consultation with Attorney Scott Grossman.
Originally Published: Aug 27, 2016