LPAs: Number of challenges increases
The number of people that are being taken to court for misuse of lasting power of attorney (LPA) has increased to a record high, according to the latest research.
The Office of the Public Guardian made 721 applications to the Court of Protection to remove or censure LPAs last year, which is a 55 per cent increase on the previous year.
The main reasons for a challenge were not acting in a vulnerable person’s best interests and making improper gifts.
LPAs can be set up in respect of property and financial affairs and also personal health and welfare. One or more attorneys can be appointed, as well as replacement attorneys who will step in if anything happens to one of the original attorneys.
The number of people with an LPA has tripled in the last five years, but the recent figures show that they are not always used in the correct manner. To ensure that you set up an LPA correctly, it is important to seek the advice of an expert.
We have put together our top tips to ensure that your LPA is set up properly:
Choose the attorney carefully
Choosing your attorney carefully is essential to ensure that your best interests are looked after. Many people may choose family members as their attorneys, but this might not always be the best option. Consider who is good at managing money, how close they live and whether they have your best interests at heart.
Build-in safeguards and protections
Building in safeguards and protections is essential when setting up an LPA. These can be things such as bans on the sale of property or family heirlooms, as well as restrictions on gifts and loans.
Seek expert advice
Setting up an LPA correctly is essential to avoid problems further down the line. With recent figures indicating that the number of challenges to LPAs is at an all-time high, your top priority should be to avoid any issues by contacting an expert and making decisions in a thorough and careful manner.
For expert help and advice relating to LPAs and other Private Client matters, contact Mander Hadley today.
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