CALIFORNIA PROBATE CENTER

The Authority for Probate Litigation and Estate Planning in California

Theft, Stealing, Fraud, and Abuse: The Power of Attorney

Posted on | May 31, 2009 | No Comments

A power of attorney is an essential component of any estate plan, but probate litigators know that you must be very careful with whom you entrust the power (see “How Do I Stop Power of Attorney Abuse?“). I have been repeatedly advised by clients of outrageous abuses by those who have been granted the power – the threat of theft is very real. A recent New York Times article highlights the decision making process and describes some of the more important things to think about when setting up your own power of attorney (Whom can you trust? What powers to include?).

For further evidence of the type of theft that can occur using a power of attorney, the Seattle Times discusses the unfortunate story of 93-year-old Dottie Brown. Dottie entrusted her son, Barry Brown, with power of attorney. In 2006 she suffered a stroke, and the power of attorney came into effect. Within weeks Brown allegedly executed a reverse mortgage on Dottie’s condo sucking out all of its equity – then he stole money from her bank accounts and ran up trips to Las Vegas and Lake Tahoe on her credit card. Elder abuse is a crime – and thankfully Barry now faces aggravated theft charges as well as civil judgment for $220,000.

Category: California Probate Practice, Trust and Estate Litigation
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