Advance planning for incapacity is an unpleasant topic. However, not planning for it can lead to a serious situation for the entire family. This is particularly true, when one parent is in charge of financial matters and refuses to recognize that their decision-making skills have deteriorated.
Forbes’ recent article asks, “What Can You Do When A Stubborn Aging Parent Refuses To Give Up Control?” The article explains what it took one family to get an aging parent out of the position as trustee and to permit the successor, the adult daughter, to take over.
The family saw signs of dementia and a family member’s financial abuse.
The trust provided that the parent could be removed as trustee, if two physicians declared him to be incapacitated for handling his own finances. In that case, a judge’s decision wasn’t required. The doctors verified that the elderly parent was incapacitated to safely handle his money. However, all this takes time and there is no guarantee that the doctors will find someone “legally incapacitated”.