A power of attorney is built on trust. Under the Power of Attorney Act, an adult can appoint someone as their attorney, who does not need to be a lawyer to manage their financial and legal affairs. An enduring power of attorney continues even if the adult later loses mental capacity.
That trust is sometimes abused. When an attorney mismanages money, transfers property to themselves, or was appointed by an adult who no longer had capacity, families are left with serious questions and few easy answers. Our estate litigation lawyers in Surrey help clients across British Columbia resolve these disputes.
What an Attorney Can and Cannot Do?
A power of attorney in BC covers financial and legal affairs only. It does not authorize decisions about health or personal care; those require a separate Representation Agreement.
An attorney owes the adult strict legal duties. They must:
- Act honestly, in good faith, and in the adult’s best interests
- Exercise the care, diligence, and skill of a reasonably prudent person
- Act only within the authority the document actually grants
- Keep proper records and produce them when asked
- Keep the adult’s property separate from their own
An attorney cannot make or change the adult’s will, and generally cannot use the adult’s money or property for their own benefit.
Common Power of Attorney Disputes
We frequently act for families dealing with:
- Breach of fiduciary duty: An attorney putting their own interests first.
- Financial abuse of an older adult: Unexplained withdrawals, transfers, or gifts.
- Undue influence: Pressure or manipulation used to obtain the appointment
- Lack of capacity: The adult did not understand the document when they signed it.
- Failure to account: An attorney who refuses to produce records.
- Disagreement between co-attorneys: Deadlock over how affairs should be managed.
Warning Signs of Misuse
Concerns often surface gradually. Watch for money or property moving without explanation, an attorney who becomes secretive about records, sudden changes to bank accounts or title, or an adult who is increasingly isolated from family.
Your Options
Where misuse is suspected, the law provides real remedies. The court can order an attorney to pass their accounts, revoke a power of attorney, and require the return of misappropriated assets. The Public Guardian and Trustee can also investigate suspected financial abuse of an adult.
Because a power of attorney ends when the adult dies, misuse is often discovered only during estate administration, when an executor or beneficiary reviews the accounts. These claims frequently overlap with executor disputes, will contests, and broader estate disputes.
In British Columbia, disagreements over the abuse of power of attorney are a common theme in estate litigation cases. To manage funds property or personal matters on their behalf while the will-maker is still living a power of attorney is frequently appointed by the will-maker. A power of attorney can carry out their responsibilities prior to the maker of the will’s death. When lawyers are appointed, they are given a lot of authority and responsibility, so disagreements are normal.
Common Triggers of Estate Disputes
- Fiduciary duty violation
- Fraud
- Accounts being passed
- Theft
- Abuse of the elderly
- Challenges to a power of attorney’s legitimacy
- Overbearing influence
How CityLaw Can Help?
It is advised that people seek legal assistance from an experienced estate litigation attorney to contest the authority of a power of attorney. Contact CityLaw for your legal journey with confidence.
