Fong Law Group

Wendy Williams Case Shines Spotlight on Guardianships

Takeaways

• Guardianships may be necessary to protect individuals with cognitive impairments, but they can also limit personal freedom and autonomy.

• Wendy Williams’ guardianship case highlights the importance of legal representation and proactive estate planning.

Dementia is on the rise and is affecting millions of families across the United States. As dementia erodes a person’s mental faculties, they lose the ability to manage their life. This can lead to losing money through bad financial decisions or a higher risk of injury from falls or accidents at home or in the community. To help the affected person, family members sometimes have to turn to the court system to ensure the safety and well-being of their loved one.

A court can order a person with compromised mental faculties to be placed in a guardianship or conservatorship arrangement. (Note that the terms used can vary depending on the state.) These arrangements give a mentally able person control over certain aspects of the stricken person’s life. Though the intention of such an arrangement is to protect the afflicted person, it may also end up greatly limiting their freedom and sense of autonomy.

The recent guardianship struggles of Wendy Williams, former radio personality and talk show host for The Wendy Williams Show, and the previous conservatorship lawsuit involving pop star Britney Spears have brought significant attention to the complexities and potential pitfalls of such legal arrangements. Both cases underscore the delicate balance between protecting individuals with cognitive impairments and preserving their personal autonomy.

Wendy Williams’ Dementia and Guardianship

In early 2022, financial institution Wells Fargo froze Williams’ accounts, citing concerns over unusual activity. This action led to Williams being diagnosed with primary progressive aphasia and frontotemporal dementia (FTD) and placed under a court-ordered guardianship. Williams has contested the diagnosis and claims that she is capable of managing her affairs. She has described her experience under guardianship as isolating and akin to imprisonment, expressing frustration over her lack of freedom and limited access to her finances.

Britney Spears’ Conservatorship

Britney Spears’ conservatorship, which began in 2008, placed her personal and financial decisions under the control of her father and legal representatives. Spears publicly described the arrangement as abusive, highlighting forced work schedules, restricted personal freedoms, and financial exploitation. Her testimony in 2021, coupled with the #FreeBritney movement, culminated in the termination of her conservatorship later that year.

Issues and Solutions

Both Williams and Spears experienced legal constraints that severely limited their personal and financial freedoms, despite their public personas and professional successes. These cases highlight several critical issues:

• Oversight and Accountability. Guardianships can be susceptible to misuse and overreach. Regular, independent reviews are essential to ensure that such arrangements serve the person’s best interests.
• Legal Representation. Access to knowledgeable legal counsel is crucial for individuals under guardianship who wish to challenge unjust arrangements and advocate for their rights.
• Public Advocacy. Awareness campaigns, such as the #FreeBritney movement, can shed light on potential abuses within guardianship systems and drive legislative reforms.

FTD and Related Impairments

FTD is a group of brain disorders affecting the frontal and temporal lobes, leading to changes in personality, behavior, and language. Unlike other forms of dementia, FTD often manifests at a younger age, typically between ages 45 and 65. Symptoms vary from person to person but may include impulsive actions, inappropriate social behavior, and language difficulties. People with FTD may have a family history of this type of dementia.

Aphasia affects the frontal lobe of the brain, impairing speech and language abilities, comprehension, reading, and writing. These cognitive impairments can hinder a person’s capacity to manage their personal and financial affairs, sometimes prompting the establishment of a guardianship. As progressive conditions, FTD and aphasia both tend to come with symptoms that get worse over time.

As of this writing, Williams’ guardian, Sabrina Morrissey, and her team are calling for a new medical evaluation to confirm Williams’ diagnosis.

The Importance of Estate Planning

Proactive estate planning is vital for safeguarding one’s autonomy and ensuring that personal wishes are honored in the event of cognitive decline. Key components of your estate plan may include the following:

• Advance Health Care Directive. This legal document outlines preferred medical treatments and designates decision-makers if one becomes incapacitated.
• Durable Power of Attorney (POA). A POA appoints a trusted individual to handle financial, medical, and/or legal matters on one’s behalf.
• Living Will. This legal instrument allows one to specify their desired end-of-life care and medical interventions.

Facing a dementia diagnosis can be distressing. You want to have peace of mind that your wishes regarding your care will be respected. With an attorney’s help, you can set up these legal measures to maintain better control over your affairs and reduce the likelihood of unwarranted guardianship interventions as your cognitive abilities decline.

Learn More About Coping With Dementia

The experiences of Williams and Spears serve as cautionary tales, emphasizing the need for vigilant oversight, robust legal protections, and comprehensive estate planning to protect personal autonomy and prevent potential abuses within guardianship arrangements.

Reach out to your elder law attorney if you have questions about how to care for a loved one with dementia or to plan ahead for the possibility of dementia. These professionals can offer expert help with long-term planning and health care for those diagnosed with dementia.

An attorney can help set up a guardianship if needed but also explore less restrictive options. They can aid in navigating the complexities of Medicaid and other programs that may help cover long-term care. This may include asset protection strategies, such as creating a trust, to prevent losing the patient’s wealth to long-term care costs.

Your elder care lawyer can also assist in identifying and preventing financial abuse of people with dementia, by securing financial accounts or addressing fraud or neglect concerns. If the dementia is severe, they may be able to help secure disability benefits or other assistance the person qualifies for.

知名藝人遽然離世, 突顯資產規劃重要

最近，一位知名藝人的離世震驚了全球華人社群。知名演員大S（徐熙媛）的驟然離世，不僅讓娛樂圈和粉絲震驚，也引發了人們對遺產規劃重要性的討論，特別是在家庭關係和子女監護的層面。

遺產規劃不僅僅是富人的事

許多人認為只有超級富豪才需要進行遺產規劃，但事實上，無論資產多寡，若無妥善規劃，任何遺產——不論大小——都可能成為法律糾紛、財務管理不善以及家庭爭端的中心。大S的離世讓我們看到，婚姻、離婚、生育等重大人生事件都應促使我們重新檢視自身的遺產規劃。

離婚與過時的遺產計劃風險

大S於2010年與商人汪小菲結婚，育有一子一女。然而，兩人在2021年離婚，並因此涉及子女監護權的問題。離婚後，如果沒有及時更新遺產規劃文件，可能會產生嚴重後果。例如：若前配偶仍然是人壽保險或退休帳戶的受益人，他可能會繼承這些資產，而不是其他指定的繼承人。若離婚前所立的遺囑未更新，可能導致前配偶仍然擁有資產的控制權。以我個人經驗為例，我的一位客戶的丈夫去世後，她發現丈夫的保險受益人仍是前妻，因為他在離婚後從未更改受益人，導致保險金最終被前妻繼承。這再次強調了遺產規劃需要與時俱進。

台灣法律對遺產分配的影響

據媒體報導，大S的遺產估值約為新台幣10億元。如果她沒有立遺囑，根據台灣的《繼承法》，她的現任丈夫將繼承一半，剩餘的一半將由兩個孩子繼承。然而，如果她立有遺囑，她則可以自由分配資產，例如將更多的遺產留給子女。此外，大S的現任丈夫具俊曄公開表示，他將放棄繼承權並將其份額轉讓給大S的母親。然而，根據台灣法律，如果他放棄繼承權，他的份額將自動歸於大S的子女，而非其母親。在美國也是如此，繼承人可以放棄繼承權，但無法指定遺產的最終去向。若具俊曄希望大S的母親獲得資產，他需先接受遺產再進行贈與，這將帶來巨額稅務負擔。因此，如果希望資產傳承給父母，應在遺產計劃中明確指定。

子女監護與資產控制權

由於具俊曄並未正式收養大S的兩個孩子，因此汪小菲很可能會獲得孩子的監護權。這將帶來一個重大問題：如果孩子繼承了大S的全部遺產，因未成年無法直接管理財產，監護人（即汪小菲）將代為管理資產。換句話說，大S的前夫將間接掌控她的遺產。如果大S生前立有遺囑，她本可以指定現任丈夫為子女的監護人，確保她的資產由她信任的人管理。然而，在沒有遺囑的情況下，前夫可能會掌握她全部的遺產。正如我在講座中常說的：「如果你沒有遺產計劃，最不希望獲得你財產的人，最終可能會成為財產的掌控者。」

美國與台灣的遺產規劃差異

在美國，如果去世者無遺囑或信託，且沒有合格繼承人，財產將歸政府所有。因此，設立信託至關重要。此外，遺產計劃應包括兩類文件：

生前文件（如財務與醫療授權書）

身後文件（如遺囑與信託）

信託相較於遺囑更具優勢，因為遺囑需經過「遺囑認證」（probate），這是一個漫長且昂貴的法律程序。在加州，遺產認證費用通常約為遺產總價值的4-5%。例如，若房產價值100萬美元，遺產認證費用可能達到5萬美元。此外，法院計算遺產認證費用時，是根據總價值而非淨值。例如，若房產總值100萬美元但仍欠銀行80萬美元貸款，法院仍會以100萬美元計算費用，而非淨值20萬美元。

信託的重要性

使用信託而非遺囑的另一個好處是隱私保護。遺囑屬於公開文件，債權人可透過法院查閱並索賠，而信託則屬私人文件，無需對外公開。此外，遺囑必須經法院批准才能執行，這使其更容易引發爭議，而信託則可直接生效，減少訴訟風險。

遺產規劃應與時俱進

許多人制定遺產計劃後便置之不理，但財務狀況變化、搬遷或家庭結構變動時，應定期檢視和更新遺產計劃，以確保其仍然符合自身意願。

為孩子建立遺產計劃

遺產規劃不僅關乎金錢，還涉及價值觀的傳承。像大S這樣對文化具有影響力的人，可以透過信託確保子女獲得教育資源，並在適當的價值觀引導下成長。她的離世提醒我們，人生無常，應提前規劃，以確保親人能夠得到妥善照顧。

結論

大S的案例強調了遺產規劃的重要性，特別是對於家庭結構較為複雜的人來說，及早規劃不僅能確保資產順利傳承，也能避免不必要的糾紛。透過周全的遺產計劃，每個人都能為摯愛的家人提供保障，確保自己的遺願得以實現。

為什麼每個人都需要一份生前信託來進行遺產規劃

新年是檢視和強化您遺產規劃的最佳時機。而其中一個關鍵是了解為什麼生前信託往往比僅依靠遺囑更好。

為什麼不單單依靠遺囑？

遺囑需要通過遺囑認證程序（Probate），即由法院監督處理遺產的過程。在加州，遺囑認證程序複雜、耗時（通常需要1至2年）且昂貴。遺囑認證費是根據遺產的總價值計算，而非淨價值。例如，如果您擁有一套價值100萬美元的房子，但仍有80萬美元的抵押貸款，那麼費用將基於100萬美元的總價值計算，而不是20萬美元的淨值。這可能導致遺囑認證費高達5萬美元或更多。

此外，遺囑是公開文件，這意味著任何人（包括債權人）都可以查看。遺囑認證法院會通知債權人，使其有優先權申索遺產，從而減少留給受益人的財產。

生前信託的優勢

生前信託可避免遺囑認證，並提供以下好處：

隱私保障： 信託文件不是公開的，債權人或其他人無法查看您的資產細節。

效率高： 信託管理人（受託人）無需法院批准即可分配資產，避免延遲並降低成本。

減少爭議： 與遺囑相比，信託較少引發法律爭議，因為不需要法院審核。

正確資金注入是關鍵

生前信託只有在資產正確注入時才能發揮作用。這意味著需要將資產的所有權（例如不動產、銀行賬戶、商業利益及貴重的個人財產）轉移到信託名下。若未完成此步驟，資產仍需經過遺囑認證，導致信託無法有效運作。

常見的問題

許多人使用在線工具或聘請非律師來設立信託，最後卻發現資產未被正確轉移到信託中。這一疏忽導致不必要的遺囑認證程序，增加成本和分配資產的時間，甚至引發家庭糾紛。一位經驗豐富的遺產規劃律師能確保您的信託得到正確的資產注入。

其他遺產規劃的考量

稅務規劃： 由於聯邦和州法律可能影響遺產，適當的規劃能有效減輕稅務負擔。2025年，聯邦遺產稅免稅額將增加至1,399萬美元。然而，若國會未採取行動，2026年該免稅額可能降至350萬美元，這可能影響到許多加州居民，特別是高房價地區。

受益人更新： 定期更新您在賬戶和保單上的受益人名單，避免將資產留給不想要的人（如前配偶）。

未成年子女的監護權： 確保指定適合的人選作為子女的監護人，以備不時之需。

無行為能力的規劃： 在您的遺產規劃中加入持久授權書（Durable Power of Attorney）和預先醫療指示（Advance Healthcare Directive），以避免在您無行為能力時，家人不得不經過耗時又昂貴的法院程序。

保護您家庭的未來

一份完善的遺產規劃不僅僅是財富轉移，更是確保家庭安全、減少壓力的關鍵。在新年開始之際，與經驗豐富的律師一起檢視您的計劃，確保它符合當前狀況並能有效保護您最重視的事物。

Why Everyone Needs a Living Trust in Estate Planning

The New Year is a perfect time to review and strengthen your estate plan. A critical aspect of this is understanding why a living trust is often a better choice than relying solely on a will.

Why Not a Will Alone?

A will requires probate—a court-supervised process to handle a decedent’s estate. In California, probate is complex, lengthy (1-2 years), and expensive. Probate fees are calculated on the gross value of your estate—not the net value. For example, if you own a $1 million home with $800,000 in mortgage debt, fees are based on $1 million, not the $200,000 equity. This can result in probate fees of $50,000 or more.

Additionally, a will is a public document, meaning anyone—including creditors—can view it. Probate court notifies creditors, giving them first claim on your estate. This transparency can diminish what’s left for your beneficiaries.

The Advantages of a Living Trust

A trust bypasses probate, offering several benefits:

Privacy: Trusts are not public, so creditors and others cannot access your asset details.

Efficiency: A trustee can distribute assets without court approval, avoiding delays and reducing costs.

Minimized Disputes: Unlike wills, trusts are less prone to legal challenges, as they don’t require court approval.

Proper Funding is Key

A living trust only works if it’s properly funded. This means transferring ownership of assets—like real estate, bank accounts, business interests, and valuable personal property—into the trust. Without this step, assets remain subject to probate, rendering the trust ineffective.

Common Pitfalls

Many people use online tools or non-lawyers to set up trusts, only to discover later that assets weren’t transferred properly. This oversight leads to unnecessary probate, increased costs, and potential family disputes. An experienced estate planning attorney can ensure your trust is correctly funded.

Additional Estate Planning Considerations

Tax Planning: With federal and state laws impacting estates, proper planning can mitigate tax burdens. For 2025, the federal estate tax exemption increases to $13.99 million. However, this could drop to $3.5 million in 2026 unless Congress acts, which may affect many Californians given high property values.

Beneficiary Updates: Regularly update beneficiary designations on accounts and policies to prevent unintended inheritances, such as assets going to an ex-spouse.

Guardianship for Minors: Ensure trusted individuals are designated as guardians for your children.

Incapacity Planning: Include a Durable Power of Attorney and Advance Healthcare Directive in your estate plan to avoid costly and time-consuming court proceedings if you become incapacitated.

Protecting Your Family’s Future

A well-structured estate plan is about more than wealth transfer; it’s about ensuring your family’s security and reducing stress during difficult times. Start the New Year by reviewing your plan with an experienced attorney to ensure it reflects your current circumstances and protects what matters most. 

Claiming the Guardianship of an Elderly Parent

Often an aging parent will lose their ability to think clearly or make informed decisions about their life. This may occur because of dementia, mental illness, stroke, brain injury, or other severe health or disability conditions. Your parent may or may not have prepared for their elder years with a durable financial and medical power of attorney. If not, a guardianship may be necessary to protect their best interests.

When There Is No Durable Power of Attorney

If your parent did not prepare for a loss of capacity and the need for legally recognized help, you will not be allowed to create these documents once they are already mentally impaired. With that moment lost, claiming the guardianship of an elderly parent is a process that requires court approval. This ensures that the protections moving forward represent the best interest of the aging adult.

Medical Requirements for Guardianship

When a parent does not have an estate plan with powers of attorney, they may bristle at the mere mention of requiring a guardian. Your first step is to obtain a doctor’s letter or physician’s certificate attesting to your parent’s physical abilities and mental acuities.

Suppose you meet with resistance to having your parent willingly submit to an evaluation. In that case, you may still apply for guardianship with the court. This may then compel your parent to submit to a court-ordered independent medical examination.

When Is it Time to Step in and File to Be a Legal Guardian?

Over time, you may begin to recognize certain signs that having a guardian may be necessary for your older parent. This might include lapses in bill payments, lack of healthy foods in their home, or your parent’s insistence they can drive after a series of accidents. Driving is imperative to monitor because your parent endangers not just themselves but others. Additional signs it may be time for guardianship include self-isolation, hearing or sight loss, and general forgetfulness, which can lead to injury around stoves, stairs, and other risks.

To file for guardianship, you would apply with the clerk of the superior court; this is a fairly standard procedure. However, by state, there are nuances and differences in law and process.

If possible, have your parent undergo a medical examination before applying; if not, the court can order one later. The court will begin legal guardianship proceedings to determine whether you are fit to be their guardian. This process generally involves assessing any existing conflict of interest, financial responsibility, and even a criminal background check.

Notifying Your Parent and Family of the Proceedings

With the application on file and awaiting court approval, you must notify your parent, the proposed ward, of the application. This notification is a legal requirement and can sometimes create family conflict.

A parent’s frantic contact with other family members upon receiving the guardianship documentation is not uncommon. Notifying these family members or others with a right to know is not only a legal requirement but also best discussed before filing. Having family on board to protect your parent with guardianship is best when you mutually agree.

Your Parent’s Right to Representation

The court will appoint an attorney ad litem to represent your parent. This person will legally advocate on your parent’s behalf, representing their needs. The court may also appoint a guardian ad litem, who may not necessarily be a lawyer, to represent the interests of a parent who may be unable to care for themselves.

Typically, court hearings occur between 15 and 30 days from the respondent (your parent) being provided the filing for guardianship. It may take longer if the court requests a multidisciplinary evaluation. In this instance, the clerk of the court may appoint an interim guardian whose powers include addressing the respondent’s immediate needs.

A Multidisciplinary Evaluation (MDE)

A thorough evaluation may include medical, psychological, daily life skills, education, social work, and vocational rehabilitation needs of your parent, the respondent. With an aging parent, the focus tends to remain on medical, psychological, and daily life skill assessments.

After a full assessment of your parent’s unique situation and your application to become a guardian, the court will decide based on the best interests of your parent. Your parent may pursue a process to appeal the decision. They generally must file this in writing within 10 days of the court’s decision. The appeal will prompt a new hearing before a superior court judge.

Guardianship Laws Vary By State

When applying for guardianship, it is crucial to understand the state laws where you live. Different states use different terms.

Some states require a “guardian” to control your parent’s home environment, health care, and day-to-day needs. In other states, a “conservator” makes financial decisions, such as paying bills and budgeting. Still others will use either of these terms to mean the same thing.

The process can take substantial time and money, particularly if family members disagree. Many states give preference to the ward’s spouse, adult children, and other family members, as they know the aging parent and their needs the best.

The court may also appoint a professional guardian. All guardians appointed by the court are entitled to reasonable compensation, although family members or friends typically will not charge for the service. Compensation for guardians must have court approval.

If the court determines you will serve as your parent’s legal guardian, it will state this in a written court order. You will remain their guardian until:

• your parent dies,
• the court finds your parent has regained capacity,
• you die, or
• the court finds it is in the ward’s best interest to remove you as the guardian or conservator.

Your parent may need your help because of advanced age, a disability, or an illness. However, they may have not appointed a durable power of attorney for health care or finances. Becoming their guardian may be the best option. This will give you the authority to make decisions about medical care, finances, or other needs on their behalf.

Contact your elder law attorney to establish guardianship for your aging parent. They can guide you through applying to become a guardian or conservator. They also can help manage your expectations regarding the best care for your parent.

Notarizing Documents for Seniors With a Dementia Diagnosis

An Alzheimer’s or dementia diagnosis can be a challenging journey for the person and family alike. When the diagnosis occurs, a ticking clock begins on the timeline for getting proper and sound notarizations done for crucial legal documents.

What Does It Mean to Get a Document Notarized?

According to the National Notary Association, having a document notarized is a process that ensures the document is authentic. The Notary serves as an impartial screener who confirms the identity, willingness, and awareness of the person signing the document.

There are vital issues and implications to be aware of when having documents notarized for individuals with dementia.

Notarizing for a Person With Dementia: A Legal Gray Area

Having documents notarized for seniors with dementia leads to some legal gray areas. There are no laws that prohibit having documents notarized for individuals with cognitive impairments. However, the role of a Notary Public extends beyond the procedural formalities.

Notarizing documents for anyone who is cognitively impaired also comes with a dramatically increased risk for both fraud and elder abuse. This is an issue that Notaries are highly aware of and protect against.

Notaries must assess whether their document signers understand and are aware of the nature of the documents, their contents, and their details. They also must verify the signer’s identity.

Notaries must screen each signer to ensure they are signing the document willingly. The signer cannot be under the pressure or direction of any third party.

The Notary will refuse to notarize a document if they find that any of these conditions fail to meet the standard.

It’s critical for families to act ethically and responsibly in notarizing important documents for their aging loved ones with dementia. If your loved one is facing a dementia diagnosis, establish legal clarity as soon as possible to avoid uncertainties later.

How to Prep When Having Documents Notarized

The following tips will help you prepare:

• Make sure the Notary visits the signer at a time when they are cognitively aware.
• Arrange for the signer to meet privately with the Notary.
• Confirm what type of notarization you need on specific legal documents. If you need anything clarified, check with your attorney or the document recipient.
• Ensure the signer is prepared to present their identification. They also must be able to sign the document, if necessary, as well as the Notary’s record book. Some states also require a fingerprint impression.
• Ensure there are no blank spaces or dates on the documents. To combat fraud, a Notary will refuse to notarize if required entries are blank.

Legal Documents to Have Notarized for Dementia Diagnosis

Certain legal documents, more commonly notarized for seniors, serve the person’s wishes and protect them from undue influence. Those documents include the following:

Power of Attorney (General vs. Durable)

A power of attorney grants authority to a trusted individual to make financial and legal decisions on behalf of someone else. A general power of attorney is effective immediately. In contrast, a durable power of attorney remains in effect even if the signer becomes unable to handle their affairs.

Health Care Power of Attorney

This document designates a representative to make medical decisions when the individual is unable to do so. You may also hear it referred to as a health care proxy. Notarizing it ensures that all parties will respect the signer’s health care preferences.

Living Will

A living will outlines end-of-life medical preferences. Having it notarized provides assurance that medical choices align with the signer’s wishes.

Guardianship/Conservatorship

In cases where dementia has advanced significantly, establishing a legal guardian or conservator for your loved one. In securing notarized documents, you can ensure that the guardian responsibly manages your loved one’s financial and personal affairs.

Will or Trust

Notarizing a will or trust guarantees the proper distribution of assets after your loved one’s passing, minimizing potential disputes.

HIPAA Release Form

A HIPAA release form grants specific individuals access to the signer’s medical information, aiding health care decisions.

Financial Account Designations

You may also want to ensure that all parties will handle your loved one’s financial matters according to their preferences. To do this, you can work with a Notary to notarize designations on your loved one’s financial accounts.

Act Before It’s Too Late

The absence of specific laws surrounding notarial acts and dementia highlights the importance of being proactive. Waiting until the last moment to have something notarized may lead to legal difficulties or disputes.

As soon as you receive confirmation of your loved one’s dementia diagnosis, initiate the process of having key legal documents notarized. It’s essential you do this while your loved one can still articulate their wishes. This way, you can help protect them while reducing potential family conflicts.

How Do I File for a Guardianship?

No one wants to see a loved one become unable to make decisions for him or herself. If this happens, however, the court may appoint a substitute decision maker, often called a "guardian," but in some states called a "conservator" or other term. A guardian is only appointed as a last resort if other, less restrictive, alternatives, such as a power of attorney, are not in place or are not working.

In most states, anyone interested in the well-being of an individual who may be incapacitated – called the “proposed ward” -- can request a guardianship for that person (also called a "conservatorship" in some states). An attorney is usually retained to file a petition for a hearing in the probate court in the proposed ward's county of residence. Protections for the proposed ward vary greatly from state to state, with some simply requiring that notice of the proceeding be provided and others requiring the proposed ward's presence at the hearing. The proposed ward is usually entitled to legal representation at the hearing, and the court will appoint an attorney if the allegedly incapacitated person cannot afford a lawyer.

At the hearing, the court attempts to determine if the proposed ward is incapacitated and, if so, to what extent the individual requires assistance. If the court determines that the proposed ward is indeed incapacitated, the court then decides if the person seeking the role of guardian will be a responsible guardian.

A guardian can be any competent adult -- the ward's spouse, another family member, a friend, a neighbor, or a professional guardian (an unrelated person who has received special training). An individual may nominate in advance the person they would like to serve as their guardian by executing a durable power of attorney while they are still competent to do so.

The guardian need not be a person at all -- it can be a non-profit agency or a public or private corporation. If a person is found to be incapacitated and a suitable guardian cannot be identified, courts in many states can appoint a public guardian, which is a publicly financed agency that serves this purpose.

In naming someone to serve as a guardian, courts give first consideration to those who play a significant role in the ward's life -- people who are both aware of and sensitive to the ward's needs and preferences. If two individuals wish to share guardianship duties, courts can name co-guardians.

Britney Spears Case Puts Renewed Focus on Guardianships and Less Restrictive Alternatives

Britney Spears’s legal fight to wrest back control over her personal and financial affairs has flooded the issue of guardianship in Klieg lights. While a full guardianship may be necessary for many individuals who are incapable of managing their own affairs due to dementia or intellectual, developmental or mental health disabilities, the Spears case underlines the option of more limited alternatives.

Every adult is assumed to be capable of making his or her own decisions unless a court determines otherwise. If an adult becomes incapable of making responsible decisions, the court will appoint a substitute decision maker, usually called a "guardian" or a "conservator," depending on the state.

Guardianship is a legal relationship between a competent adult (the "guardian") and a person who because of incapacity is no longer able to take care of his or her own affairs (the "ward"). The guardian can be authorized to make legal, financial, and health care decisions for the ward. The National Center for State Courts says that about 1.3 million adults are living under guardianships or conservatorships with some $50 billion in assets.

The standard under which a person is deemed to require a guardian differs from state to state, and because guardianships are subject to state law, data on them is hard to collect and protections against abuse vary widely.  Netflix’s popular movie, I Care a Lot, spotlighted some weaknesses in the guardianship system that make it possible for an unscrupulous guardian to take control of an elderly person’s life and bleed their resources dry. 

The Spears Case: An Unusual Situation

Britney Spears has been under a court-ordered conservatorship that has controlled her career and finances since 2008. Her father, Jamie Spears, was appointed her temporary conservator when the pop singer was allegedly struggling with mental health issues and had been hospitalized, and a Los Angeles court later made the conservatorship permanent.

On July 14, a Los Angeles judge approved the resignation of Spears’s court-appointed lawyer and granted her request to hire her own lawyer. The 39-year-old singer told the judge that she wants to end the long-running conservatorship that put her father in charge of her estimated $60 million fortune and business affairs, and others in control of such personal decisions as whether she can marry and have a baby. "I'm here to get rid of my dad and charge him with conservatorship abuse," she said.

Whatever the merits of this controversial case, what makes Spears's situation so unusual is the fact that she does not appear to be incompetent, at least when it comes to her professional accomplishments. In the 13 years since the conservatorship was put in place, she has continued her career as a pop star, earning millions from a four-year concert residency act in Las Vegas and serving as a judge on the television reality show “The X Factor.”

Another anomaly is the fact that until now Spears was represented by a court-appointed attorney who, she argued, did not represent her wishes or interests. However, while the media has given wide coverage to Spears’s side of the dispute, we have heard almost nothing from the professionals handling her affairs, who are constrained from publicly disclosing confidential information.

It’s easy to see why conservatorship, which takes away a person’s right to make decisions about significant aspects of his own life, is considered among the most restrictive legal remedies in the American judicial system. For this reason, courts are legally required to seek alternatives that will safeguard the ward’s finances and wellbeing but with the fewest restrictions, in an effort to protect that person’s rights.

Protections Without Total Loss of Control

In the case of an elderly person who may no longer be able to handle some or all of her own affairs, there are various approaches that provide protection without stripping that person of control over all decisions, as in Spears’s case.

Many people in need of help can make responsible decisions in some areas of their lives but not others (such as making major financial decisions). Families might consider setting up what’s called a “limited guardianship.” Most states allow judges to appoint guardians with limited powers that are specifically tailored to the alleged incapacitated person's needs. For example, a court can appoint a guardian to oversee a person's housing and health care, but not to manage the person's bathing, eating, and socialization. Conservators can be appointed to handle the financial affairs of someone who is not good with money, without having any power to manage health care decision making—the options are almost infinite.

Alternatives to Guardianship

Sometimes, guardianship isn't the answer at all. If a person can execute estate planning documents, she can also sign a durable power of attorney and a health care proxy, which allows someone to assist her with decisions without court involvement. "Supported decision making" is a growing alternative to guardianship in which trusted advisors like family, friends or professionals assist in making decisions, although the individual retains the ultimate right to make their own decisions.

Trying an alternative to guardianship can be important for several reasons. First, it prevents a court from ruling that someone is "incapacitated," which carries with it a stigma and can be hard to undo, as Britney Spears is finding. Second, it puts the person in the driver's seat. Third, it is much less expensive and time-consuming.

Another option is a revocable or "living" trust that can be set up to hold an older person's assets, with a relative, friend or financial institution serving as trustee. Alternatively, the older person can be a co-trustee of the trust with another individual who will take over the duties of trustee should the older person become incapacitated.

Experts say that Britney Spears faces a long, difficult path if she seeks to terminate her conservatorship. She would need to file a formal petition, which would require presenting evidence in hearings and depositions. She could face objections at every stage from attorneys representing her father and others involved in her care. (Spears has indicated her unwillingness to submit to a mental evaluation or test in her effort to end the conservatorship.)

If you have questions about what type of guardianship may be right for your family member, or if you are currently under guardianship and are looking to gain control of your affairs, talk to your elder law attorney today.

For an article on what may lie ahead in the Britney Spears case, click here.

For an article by University of Virginia Family Law Professor Naomi Cahn on how guardianships can lead to abuse, click here.

The Film 'I Care a Lot' Highlights Vulnerabilities in the Guardianship System

Netflix’s popular new movie, I Care a Lot, may be far-fetched in a lot of ways, but it does highlight some real weaknesses in the guardianship system that make it possible for an unscrupulous guardian to take control of an elderly person’s life and bleed their resources dry. Fortunately, steps can be taken to avoid the guardianship system and the kind of nightmare the film portrays. 

A guardian is someone appointed by a court to make decisions on behalf of an incapacitated individual ("ward"). The guardianship process usually starts when a family member or social worker notifies the court that someone can't take care of him- or herself. The court often appoints a family member as guardian. However, if the family can't agree on a guardian or there is no family to act as guardian, the court may appoint a public guardian. Public guardians are supposedly neutral individuals who are hired to act in the ward's best interest.

I Care a Lot follows one such public guardian who exploits the system to gain control of her wards’ estates. The guardian, Marla Grayson, typically petitions for an “emergency guardianship” without notifying the ward. In the case that takes up most of the film, Marla appears on the doorstep of a very surprised Jennifer Peterson with a court order declaring Peterson incompetent (she is nothing of the sort) and forcing her to relocate to a long-term care facility. Marla has already arranged for Jennifer’s doctor to declare Jennifer incompetent, and Marla also has a deal with a long-term care provider to admit Jennifer to his facility. And because it is an emergency guardianship, Jennifer is not required to be notified to appear in court to defend herself. 

Then, without Jennifer’s knowledge or consent, Marla takes control of her life and finances. After Jennifer is moved to the care facility, Marla begins the process of selling her house and belongings and taking a generous cut of the proceeds. From there, the movie takes a lot of twists and turns that we won’t reveal here, but the starting premise is unfortunately not Hollywood fantasy.

The film’s premise is in fact quite similar to a real-life case involving Nevada public guardian April Parks. As guardian for hundreds of wards, Ms. Parks, took over their lives, sold their belongings, and charged their estates hundreds of dollars an hour while doing so. Over her 12 years as a public guardian, Ms. Parks built relationships with hospitals and medical providers to refer patients to her and found doctors who were willing to declare her targets incompetent. Families often found out too late that their loved one was under guardianship and beyond their legal control. 

Ms. Parks is clearly at the far end of guardianship exploitation and has been sentenced to 16 to 40 years in prison, but there are other unscrupulous guardians still exploiting the system. Unfortunately, in many states, the lack of court oversight combined with poorly trained guardians leads to abuse. Courts often do not have the resources necessary to provide proper oversight, and only a small minority of states certify their professional guardians. 

Not all states are equally vulnerable to guardianship exploitation. For example, New York’s guardianship system requires that an independent evaluator meet with the ward before an incapacitation hearing. And Arizona requires that its professional guardians be licensed through the state and that the ward have an attorney present during the incapacitation hearing, among other protections. Florida’s governor signed a law in 2019 requiring guardians to report details of payments, among other things. Nevada has also enacted a number of reforms, including requiring that individuals subject to guardianship be represented by an attorney. And in a rare display of bipartisanship, Congress passed a bill in 2017 that empowers federal officials to investigate and prosecute unscrupulous guardians and conservators appointed by state courts. 

While some states have begun passing reforms, there is more to be done. The Unform Law Commission, which provides states with model legislation, has proposed the Uniform Guardianship, Conservatorship, and Other Protective Arrangement Act (UGCOPAA).   The law would allow a court to order a protective arrangement rather than a full guardianship when appropriate, require that notice of the guardianship be sent to family, and prevent the guardian from barring family members from visiting the ward, among other things. So far only Washington and Maine have enacted the model law. 

Regardless of your state’s laws, the best approach is to avoid the need for guardianship and conservatorship entirely by putting durable powers of attorney and health care proxies in place ahead of time when you can choose the person you would like to make decisions for you when necessary. Even if you're not at risk of exploitation because your children or grandchildren would step in, the need for court intervention causes otherwise unnecessary expense and delay.

The Ins and Outs of Guardianship and Conservatorship

Every adult is assumed to be capable of making his or her own decisions unless a court determines otherwise. If an adult becomes incapable of making responsible decisions, the court will appoint a substitute decision maker, usually called a "guardian," but called a "conservator" or another term in some states.

Guardianship is a legal relationship between a competent adult (the "guardian") and a person who because of incapacity is no longer able to take care of his or her own affairs (the "ward"). The guardian can be authorized to make legal, financial, and health care decisions for the ward. Depending on the terms of the guardianship and state practices, the guardian may or may not have to seek court approval for various decisions. In many states, a person appointed only to handle finances is called a "conservator."

Some incapacitated individuals can make responsible decisions in some areas of their lives but not others. In such cases, the court may give the guardian decision making power over only those areas in which the incapacitated person is unable to make responsible decisions (a so-called "limited guardianship"). In other words, the guardian may exercise only those rights that have been removed from the ward and delegated to the guardian.

Incapacity

The standard under which a person is deemed to require a guardian differs from state to state. In some states the standards are different, depending on whether a complete guardianship or a conservatorship over finances only is being sought. Generally, a person is judged to be in need of guardianship when he or she shows a lack of capacity to make responsible decisions. A person cannot be declared incompetent simply because he or she makes irresponsible or foolish decisions, but only if the person is shown to lack the capacity to make sound decisions. For example, a person may not be declared incompetent simply because he spends money in ways that seem odd to someone else. Also, a developmental disability or mental illness is not, by itself, enough to declare a person incompetent.

Process

In most states, anyone interested in the proposed ward's well-being can request a guardianship. An attorney is usually retained to file a petition for a hearing in the probate court in the proposed ward's county of residence. Protections for the proposed ward vary greatly from state to state, with some simply requiring that notice of the proceeding be provided and others requiring the proposed ward's presence at the hearing. The proposed ward is usually entitled to legal representation at the hearing, and the court will appoint an attorney if the allegedly incapacitated person cannot afford a lawyer.

At the hearing, the court attempts to determine if the proposed ward is incapacitated and, if so, to what extent the individual requires assistance. If the court determines that the proposed ward is indeed incapacitated, the court then decides if the person seeking the role of guardian will be a responsible guardian.

A guardian can be any competent adult -- the ward's spouse, another family member, a friend, a neighbor, or a professional guardian (an unrelated person who has received special training). A competent individual may nominate a proposed guardian through a durable power of attorney in case she ever needs a guardian.

The guardian need not be a person at all -- it can be a non-profit agency or a public or private corporation. If a person is found to be incapacitated and a suitable guardian cannot be found, courts in many states can appoint a public guardian, a publicly financed agency that serves this purpose. In naming someone to serve as a guardian, courts give first consideration to those who play a significant role in the ward's life -- people who are both aware of and sensitive to the ward's needs and preferences. If two individuals wish to share guardianship duties, courts can name co-guardians.

Reporting Requirements

Courts often give guardians broad authority to manage the ward's affairs. In addition to lacking the power to decide how money is spent or managed, where to live and what medical care he or she should receive, wards also may not have the right to vote, marry or divorce, or carry a driver's license. Guardians are expected to act in the best interests of the ward, but given the guardian's often broad authority, there is the potential for abuse. For this reason, courts hold guardians accountable for their actions to ensure that they don't take advantage of or neglect the ward.

The guardian of the property inventories the ward's property, invests the ward's funds so that they can be used for the ward's support, and files regular, detailed reports with the court. A guardian of the property also must obtain court approval for certain financial transactions. Guardians must file an annual account of how they have handled the ward's finances. In some states guardians must also give an annual report on the ward's status. Guardians must offer proof that they made adequate residential arrangements for the ward, that they provided sufficient health care and treatment services, and that they made available educational and training programs, as needed. Guardians who cannot prove that they have adequately cared for the ward may be removed and replaced by another guardian.

Alternatives to Guardianship

Because guardianship involves a profound loss of freedom and dignity, state laws require that guardianship be imposed only when less restrictive alternatives have been tried and proven to be ineffective. Less restrictive alternatives that should be considered before pursuing guardianship include:

• Power of Attorney. A power of attorney is the grant of legal rights and powers by a person (the principal) to another (the agent or attorney-in-fact). The attorney-in-fact, in effect, stands in the shoes of the principal and acts for him or her on financial, business or other matters. In most cases, even when the power of attorney is immediately effective, the principal does not intend for it to be used unless and until he or she becomes incapacitated. 
• Representative or Protective Payee. This is a person appointed to manage Social Security, Veterans' Administration, Railroad Retirement, welfare or other state or federal benefits or entitlement program payments on behalf of an individual.
• Conservatorship. In some states this proceeding can be voluntary, where the person needing assistance with finances petitions the probate court to appoint a specific person (the conservator) to manage his or her financial affairs. The court must determine that the conservatee is unable to manage his or her own financial affairs, but nevertheless has the capacity to make the decision to have a conservator appointed to handle his or her affairs.
• Revocable trust. A revocable or "living" trust can be set up to hold an older person's assets, with a relative, friend or financial institution serving as trustee. Alternatively, the older person can be a co-trustee of the trust with another individual who will take over the duties of trustee should the older person become incapacitated.

Contact your attorney to discuss ways to protect against a guardianship.