Table of Contents
Key Takeaways
- Power of attorney abuse can affect anyone, but some people are more vulnerable than others.
- Power of attorney abuse often becomes part of trust litigation, trustee removal proceedings, and financial elder abuse claims.
- Older adults, people experiencing memory loss or cognitive decline, and those who rely on someone else to handle their finances often face the greatest risk.
- A power of attorney gives someone authority to act on another person’s behalf—not permission to use that person’s money or property for their own benefit.
- If something doesn’t seem right, it’s important to act sooner rather than later. In many cases, early action helps protect assets and preserve evidence before it disappears.
Who Is Most at Risk for Power of Attorney Abuse?
A power of attorney lets one person, called the agent, handle someone else’s finances. In California, that comes with serious legal responsibilities. If the agent puts their own interests ahead of the person they are supposed to help, that can be power of attorney abuse. Sometimes, it is also considered financial elder abuse.
The Grossman Law Firm often works with families who suspect a power of attorney was misused, especially when questions come up before or soon after a loved one passes away.
While anyone can be affected, some people are more vulnerable than others.
Older Adults
Many older adults ask a family member or caregiver to help with their finances. That trust can be abused, especially if the person becomes more dependent over time.
Individuals with Cognitive Impairment
People with dementia, Alzheimer’s, or other memory problems may not notice strange activity in their accounts or may not understand what they are being asked to sign.
People Who Need Help Managing Their Finances
Someone who is sick, disabled, or just not comfortable handling money matters may need to rely on an agent. That dependence can make it easier for an agent to take advantage if they are not honest.
Individuals Who Are Easily Influenced
Being isolated, grieving, seriously ill, or emotionally dependent can make a person easier to influence. An agent who is not acting in good faith might use that situation to move money, change property ownership, or benefit themselves.
Warning Signs That May Require Legal Action
Families do not always recognize power of attorney abuse right away. Many families only realize something is wrong after looking through bank statements or trust papers.
Some common warning signs include:
- Unexplained withdrawals or transfers
- Missing bank statements or financial records
- The agent sells property for less than fair market value
- Gifts or loans that the principal never discussed
- Sudden changes in financial habits or account balances
- An agent refusing to answer questions or provide documentation
If you see these warning signs while your loved one is still living or after they have passed, it is wise to speak with a California probate and trust litigation attorney. Taking action early gives you a better chance to protect evidence and recover assets.
Contact The Grossman Law Firm if you believe someone has abused a power of attorney. Attorney Scott Grossman helps beneficiaries and heirs throughout California to investigate fiduciary misconduct, recover estate assets when possible, and pursue probate and trust litigation to hold the right people accountable.
FAQ
Does a power of attorney allow someone to spend the principal’s money however they want?
No. An agent must act in the principal’s best interests and comply with their fiduciary duties. Using the authority for personal benefit may expose the agent to civil liability.
Can power of attorney abuse occur before someone passes away?
Yes. Many cases begin while the principal is still living. If the misconduct affects beneficiaries or the eventual estate, legal claims may continue after the person’s death depending on the circumstances.
Does every financial mistake amount to abuse?
Not necessarily. Honest errors happen. However, unexplained transfers, self-dealing, or using the principal’s assets for personal benefit may indicate misconduct that should be investigated.
Related Resources
How The Grossman Law Firm Can Help
If you think someone used a power of attorney to take money or property from your loved one, do not assume nothing can be done. Taking action early can help save important records and evidence.
At The Grossman Law Firm, we help beneficiaries and heirs throughout California enforce their rights in probate and trust litigation. Attorney Scott Grossman handles probate and trust litigation matters involving fiduciary misconduct, including claims involving the misuse of a power of attorney.
Call (888) 443-6590 or complete our Get Help Now form to discuss your situation.
Our Intake Specialists can evaluate your case to assess your situation at no cost to you. Qualifying cases will be scheduled for a Free Phone Consultation with Attorney Scott Grossman.
Originally Published: October 15, 2016