However, many banks find themselves caught in a difficult position when attempting to address or prevent abuse. For instance, when the bank blocks the transaction, the person acting under the POA may then sue the bank because the additional costs of the estate have diminished the inheritance. Or in some cases, the Attorney may respond to attempts by a financial institution to block inappropriate transactions by simply transferring the account to another institution that may not be aware of the situation and may agree to the transaction. Accordingly this statutory requirement would be met with great backlash from financial institutions, as they would likely not appreciate the increased burden of dealing with potentially abusive transactions;
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It should be the solicitors duty to inform the grantor of the gravity of this decision, the consequences this decision carries with it, and the prevalence of elder abuse through the Power of Attorney document. The Solicitor should also give heavy consideration as to whether capacity assessment should be conducted, as many elderly people are predisposed to vulnerability if they are dependent on another for certain necessities of life.
4. 7 Other Potential Safeguards There are several other potential areas of reform that could help to reduce financial abuse amongst Attorneys, including: (1) increasing attorney incentive; (2) more effective remedies for abuse; (3) mandatory joint attorneys; and (4) posting bonds.
First, as it stands, Attorneys for Property are statutorily entitled to specific compensation under the SDA. The amount of compensation is commensurate with the size of the estate. However, a grantor can opt to withhold compensation from an attorney. In doing so, the standard of care an Attorney must demonstrate diminishes. To counteract potential financial abuse in these situations, perhaps Attorney compensation should be made mandatory and the amount owed to an Attorney should be increased. The job of being an Attorney is extremely onerous, and substantial compensation as recognitions could help curb financial abuse by an
It should be the solicitors duty to inform the grantor of the gravity of this decision, the consequences this decision carries with it, and the prevalence of elder abuse through the Power of Attorney document. The Solicitor should also give heavy consideration as to whether capacity assessment should be conducted, as many elderly people are predisposed to vulnerability if they are dependent on another for certain necessities of life.
4. 7 Other Potential Safeguards There are several other potential areas of reform that could help to reduce financial abuse amongst Attorneys, including: (1) increasing attorney incentive; (2) more effective remedies for abuse; (3) mandatory joint attorneys; and (4) posting bonds.
First, as it stands, Attorneys for Property are statutorily entitled to specific compensation under the SDA. The amount of compensation is commensurate with the size of the estate. However, a grantor can opt to withhold compensation from an attorney. In doing so, the standard of care an Attorney must demonstrate diminishes. To counteract potential financial abuse in these situations, perhaps Attorney compensation should be made mandatory and the amount owed to an Attorney should be increased. The job of being an Attorney is extremely onerous, and substantial compensation as recognitions could help curb financial abuse by an