managing the financial affairs of those unable to do so
for themselves
What would you do if someone related to you,
or perhaps a close friend, was becoming unable to manage their
financial affairs or deal with their domestic
finances? This is often the situation after an elderly person
has had a fall or a period in hospital.
Firstly it is important to check whether or
not they already have an enduring power of attorney (LPA)
appointing you to act for them; then you should consider applying
for registration by the Public Guardian so that you can act
notwithstanding their incapacity.
If they do not have an EPA it may be possible
for them to make a lasting power of attorney (LPA) for property
and financial affairs appointing an attorney or attorneys to act
for them. This LPA will need to be registered by the Public
Guardian before it can be used.
What though, if they already lack the capacity
to make an LPA because they cannot understand its terms? In
this case you should consider an application to the Court of Protection to be appointed by the
Court to be a deputy to act on their behalf and to deal with their
financial affairs.
Incapacity to manage financial affairs may
result from dementia often, but by no means always, occurring in
old age. However, it may also result from a serious accident
or from medical treatment, which has lead to personal injury.
In these circumstances it may be possible to claim compensation
through personal injury litigation. Personal injury or clinical negligence compensation
awarded may be substantial and require special treatment either
through the involvement of the Court of Protection or through a
trust arrangement. Through such a claim it may be possible to
obtain interim payments to assist with any alterations to your
property, or to move residence. It is also important to ensure that
an appropriate care regime is in place to enable the injured
individual to live as independently as possible and to live as full
a life as possible. The litigation process can provide expert
assistance with setting up the appropriate care and therapy
regime.
A person who lacks capacity may have a Will
that needs to be revised to take account of changes in their
circumstances, or they may have suffered injury at birth or while
they were young and so may not have a Will at all. In these
circumstances it is possible to apply to the Court of Protection
for a Statutory Will.
For further information or to talk to someone about a
specific matter, please contact a team member in the
office nearest you:
Rachel
Brooks, partner and head of Private Client
Services group in our Portsmouth office, on 023 9228
2714 or at rachel.brooks@bllaw.co.uk.
James Antoniou,
partner in our Oxford office, on 01865 254286
or at james.antoniou@bllaw.co.uk.
Fiona Fox,
solicitor in our Southampton and Portsmouth offices, on 023 8085
7282 / 023 9228 2748 or at fiona.fox@bllaw.co.uk.
Douglas
Smith, partner in our London
office, on 020 7814 5438 or at douglas.smith@bllaw.co.uk.
Alternatively, email our general enquiries helpdesk
on privateclientinfo@bllaw.co.uk.
