Legal Question in Wills and Trusts in New Jersey
what responsibilities does poa cover
what responsibilities does poa cover. am i accountable for monies spent before poa? my father sold a house leaving 20 thousand to spend which he did. now i have a sibling that wants to know where all the money when and i only partially can cover this through fathers records, he was in a nursing home and all assets went straight to them. i prepaidd funeral etc. using his money with the poa. do i need a lawyer?
1 Answer from Attorneys
Re: what responsibilities does poa cover
Without seeing the document, to know what it provides, my answer will be general. The POA only covers acts undertaken by the holder of the Power. You have no responsibility for actions undertaken before the Power was issued, or by the maker of the Power acting alone. Your only responsibility is for actions undertaken pursuant to the Power. If your father used the money, without your participation as holder of the Power, you cannot account for his actions. If you assisted him, and the funds were dissipated improperly, then you could have responsibility. The prepayment of funeral expenses is a permitted action, if authorized by the Power. It is also permissable as a medicaid spenddown allowance. You should not need an attorney unless you are sued for improper actions, and then need to defend your actions. Unless your father spent the money in cash, you should be able to trace the spending through his checking account, which the Power should allow you to do.