Banks Can Refuse to Honor Power of Attorney
Power of Attorney Abuse
California law requires banks to report known and reasonably suspected cases of financial elder abuse. Recently, the California Legislature expanded that law to allow banks and credit unions the right to refuse to honor a power of attorney in order to prevent financial elder abuse. This is an important change in the law that you need to know about. We at Evans Law Firm Inc. have spent years combatting the exploitation of seniors and applaud any expansion of protections for seniors. Our financial elder abuse attorneys in particular have experience in investment and securities fraud cases, FINRA Arbitration, annuity and life insurance cases and financial elder abuse of every variety. If you or a loved one has been the victim of fraud or financial elder abuse, or fraud in connection with a Power of Attorney, call us today at (415)441-8669 and we can help.
Powers of Attorney are important legal instruments for ensuring continuity in financial and legal matters for any principal who may later become incapacitated. Any adult with legal capacity can authorize an Agent to manage their finances. Then, should the principal later become incapacitated, the agent can step in to conduct affairs without interruption. Unfortunately, Powers of Attorney are sometimes obtained in wrongful circumstances (such as when the person lacks capacity or is being coerced) and also can be misused by the agent to embezzle money from the elder principal’s financial accounts.
Under the expanded elder protection law, a bank or credit union may refuse to honor the power of attorney of an elder or dependent adult where the bank either knows or suspects elder abuse. If the agent under the POA believes the authority was wrongly dishonored, the agent can petition court to enforce the power of attorney. If the agent prevails, the court can award attorneys’ fees. Clearly, banks have an incentive to act responsibly under the circumstances
If you or a loved one been the victim of elder abuse, or fraud under a Power of Attorney, in San Francisco or any California county, contact the Evans Law Firm elder abuse attorneys at (415) 441-8669, or by email at <a href=”mailto:email@example.com”>firstname.lastname@example.org</a>. Our attorneys have experience with all types of elder abuse, Powers of Attorney, complex financial contracts, such as annuities and life insurance, and large insurance companies. We can help guide your case through a jury trial or toward an equitable settlement. We handle cases involving physical and financial elder abuse, qui tam and whistleblower law, nursing home abuse, whole life insurance and universal life insurance, and indexed, variable, and fixed annuities.