Recognizing Power of Attorney Abuse: Signs & Next Steps

As an elderly or chronically ill adult, power of attorney abuse from a trusted loved one may result in financial losses, compromised estate plans, and emotional trauma. It’s crucial to recognize the early signs of power of attorney abuse in order to reclaim your autonomy and financial security.

In this guide, we’ll identify the early warning signs of POA abuse. We’ll outline the different types of abuse, the legal consequences for perpetrators, and the next steps for recovering lost assets. With advice from Boonswang Law, you can recognize the early signs of power of attorney abuse and protect your loved ones from illegal exploitation.

If you or a loved one have suffered from power of attorney abuse, contact the experienced attorneys at Boonswang Law and take the first step toward securing compensation for your losses today.

What Is Power of Attorney Abuse?

A durable power of attorney authorizes an individual (agent or attorney-in-fact) to act in another’s (principal) best interest. Abuse occurs when the agent exploits this authority for personal gain. This breach of trust can manifest in various forms and typically targets vulnerable individuals such as the elderly or chronically ill.

Power of attorney abuse often involves unauthorized handling of the victim’s assets, making important decisions without consent, or acting against the victim’s wishes. In addition to financial exploitation, power of attorney abuse may also encompass physical abuse and verbal abuse, as the agent may use their position to inflict physical harm or emotional distress upon the principal.

The agent may manipulate or coerce the principal into making decisions that are detrimental to their well-being, compromising the principal’s financial security and physical safety. Recognizing the early signs of power of attorney abuse can safeguard the rights and well-being of vulnerable principals.

Impact of Power of Attorney Abuse on Victims

Victims of power of attorney abuse can suffer from extensive financial losses and emotional distress. This exploitation can impact their financial security, disrupting end-of-life plans by compromising money allocated for retirement or long-term home care.

It’s crucial to investigate signs of power of attorney abuse as soon as they appear in order to safeguard the victim’s rights, restore their autonomy, and ensure financial stability.

Types of Power of Attorney Abuse

Power of attorney abuse may manifest in financial exploitation, fraudulent activities, breach of fiduciary duty, or healthcare decisions. It’s crucial to recognize unusual financial transactions and unauthorized alterations to legal documents in order to prevent further abuse.

Financial Exploitation

Financial exploitation entails the unauthorized handling of the principal’s financial records, including bank accounts, properties, and other assets. Abusers may unlawfully transfer money, alter estate plans, or sell the victim’s property, undermining their financial security and future plans.

With financial abuse, agents may drain the victim’s financial savings, leaving them unable to afford necessary care or ongoing support.

Fraudulent Activities

These deceitful acts compromise the victim’s financial security and can lead to severe legal repercussions, affecting their credibility for future legal affairs. Common examples include forging the principal’s signature for a loan or secretly altering a legal document. 

Breach of Fiduciary Duty

Breach of fiduciary duty occurs when the agent prioritizes personal gains in business transactions on the principal’s behalf or misallocates investments for their own benefit. By breaching fiduciary duty, the agent may affect the principal’s estate plans, compromising their future financial security.

Healthcare

Agents may violate a power of attorney document by making medical decisions that do not align with the principal’s best interest. They may withhold necessary medical treatment, choose cheaper and less effective options for care, or make decisions based on their own personal beliefs as opposed to the principal’s expressed wishes.

In severe cases, the agent may authorize or deny life-sustaining procedures without proper consideration of the principal’s medical directives. Such actions can impact the principal’s health outcomes and quality of life, compromising their well-being.

Legal Consequences of Power of Attorney Abuse

Victims of power of attorney abuse have the option to file civil or criminal lawsuits against abusers. Depending on court verdicts, agents abusing legal power may be ordered to pay back stolen assets or serve jail time as retribution for their actions. 

If you suspect power of attorney abuse, contact local law enforcement and adult protective services as soon as possible to prevent further abuse.

Civil Penalties

Victims of power of attorney abuse may pursue civil action to recover lost assets or secure compensation for the harm they’ve endured. Courts may intervene to invalidate illegal transactions and restore previous estate plans to their rightful condition. 

By pursuing civil action, victims of power of attorney abuse may recover financial losses and achieve justice for the agent’s wrongdoings. 

Criminal Charges

POA abusers may face criminal charges if they have engaged in fraud, theft, or other criminal offenses at the principal’s expense. If found guilty, agents may be ordered to pay restitution to the victim and may even be jailed. 

In instances where the abuser’s actions lead to the death of the principal, they may face murder charges. An accidental death lawyer can gather evidence and prove a link between POA abuse and the death of the principal, ensuring the abuser is prosecuted to the full extent of the law.

What To Do If You Suspect Power of Attorney Abuse

If you suspect that someone is abusing their power of attorney, it’s crucial to act promptly to protect the victim and their assets. By gathering evidence and working with an experienced attorney, you can restore the victim’s autonomy and achieve restitution for their financial losses.

Gather Evidence

Collect all relevant evidence to demonstrate POA abuse. Gather bank statements, legal files, and unusual financial transactions. Keep a detailed record of all interactions and decisions made by the power of attorney. Relevant evidence can support the victim’s case in legal proceedings, allowing attorneys to prove the abuser’s guilt.

Contact An Experienced Attorney

After gathering evidence, consult with a lawyer who specializes in power of attorney abuse or elder law. An experienced attorney can guide you through the necessary legal steps and assist you in filing a claim or lawsuit. Additionally, a seasoned lawyer can conduct further investigations and prevent ongoing power of attorney abuse, recovering lost assets to restore the victim’s financial stability.

Contact Boonswang Law & Settle Your Power of Attorney Abuse Lawsuit

If you or a loved one has suffered from power of attorney abuse, Boonswang Law can help. Our experienced attorneys will gather the necessary evidence and represent you in a civil or criminal case against your agent. 

Contact Boonswang Law today and take the first step toward achieving justice for your power of attorney abuse lawsuit.

Written By: Chad Boonswang
Chad G. Boonswang, Esquire is a litigation lawyer based in Philadelphia, PA. Selected as an ASLA 2014, 2015, 2016, 2017 and 2018 Top 100 Litigation Lawyer, Mr. Boonswang plays to win. As a lawyer, athlete, and scholar, he has always put in the energy, time, and commitment to be the best. After working for several prominent law firms in Philadelphia, including Montgomery McCracken Walker & Rhoads LLP, he founded his own practice in 2002.  Since then Chad has recovered tens of millions of dollars on behalf of his clients from life insurance claims and catastrophic injury cases.  Year after year, he has earned a 10.00 Superb rating on Avvo.

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