When someone grants power of attorney to another person, they’re placing enormous trust in that individual. They’re essentially saying, “I trust you to make decisions for me when I can’t.” Unfortunately, that trust gets violated more often than it should. Financial exploitation by agents holding power of attorney has become a serious problem, especially when elderly individuals are involved. If you suspect someone is misusing their authority to harm or exploit an older adult, you can take legal action. You don’t have to stand by and watch it happen.
Recognizing Signs of POA Abuse
Power of attorney abuse looks different in every situation, but certain patterns show up repeatedly. Watch for these warning signs:
- Unexplained withdrawals from bank accounts
- Changes to estate plans that don’t make sense given what you know about your loved one’s wishes
- Your elderly family member suddenly becomes isolated from friends and relatives
- Property or assets are transferred without clear reasoning
- Bills aren’t getting paid, even though there’s plenty of money
- The agent won’t show you financial records when you ask
These red flags don’t automatically mean abuse is happening. But they absolutely warrant a closer look. A Royal Oak elder law lawyer can help you figure out whether what you’re seeing crosses the line into actionable misconduct.
Legal Grounds for Challenging a POA
Michigan law gives interested parties the right to petition the court to review and potentially revoke a power of attorney. You’ll need to prove that the agent is stepping outside their authority, violating their fiduciary duties, or causing harm. Here’s what matters. The agent has legal obligations they can’t ignore. They must act in the principal’s best interests at all times. They need to maintain accurate records. They can’t create conflicts of interest. They have to keep the principal’s assets completely separate from their own money. When these duties are breached, courts will step in. Family members can challenge a power of attorney. So can other potential beneficiaries. Even concerned friends sometimes have standing if they can show a legitimate interest in protecting the principal’s welfare.
The Process of Filing a Challenge
You start by filing a petition in probate court. This petition needs to spell out your specific allegations and back them up with evidence. Vague accusations won’t get you anywhere. Documentation becomes absolutely critical at this stage. Bank statements matter. So do medical records, witness testimony, and any communications you’ve had with the agent. You’re trying to show the court that the agent’s actions have caused real harm or could cause significant damage if they continue. The court might appoint a guardian ad litem to investigate. This independent party doesn’t have a dog in the fight. They’ll evaluate what’s actually happening and report back to the judge about what they think serves the principal’s best interests. Time really matters in these cases. The longer financial exploitation continues, the more damage it does to your loved one’s assets and well-being. Don’t wait if you’ve got concerns about how someone is using their power of attorney. Talking with Gudeman & Associates, P.C. can help you understand what options you actually have.
What Happens After You File
Once your petition gets filed, the court schedules a hearing. The agent must be notified. They get their chance to respond to your allegations and present their own evidence showing they’ve acted appropriately. If the judge finds that the agent has abused their authority, several options open up. The court might remove the agent entirely and appoint someone else. They could order the agent to return the money they’ve taken. In severe cases, the matter might be referred for criminal prosecution. Sometimes the court takes a middle path. Instead of removing the agent completely, they’ll impose restrictions on what that person can do. This approach can work when the abuse is limited to specific types of decisions.
When to Seek Legal Help
An attorney can review your situation, help you gather evidence, and figure out the best way forward. They can also tell you whether guardianship or conservatorship might make more sense depending on the specific circumstances you’re dealing with. Michigan’s probate courts take elder abuse seriously. But you’ve got to present a solid case with proper documentation and sound legal arguments. Working with a Royal Oak elder law lawyer gives you the best shot at protecting your loved one and making sure the abusive agent faces consequences for what they’ve done.
