A Reminder About the Validity of Your Durable Power of Attorney

Durable Power of Attorney News

When you grant Durable Power of Attorney to another person - your "Attorney in Fact" - you are giving that person the power to act on your behalf in all financial matters. This power endures even if you become incapacitated, disabled or incompetent. However, many people do not realize that once you die, your Durable Power of Attorney is no longer valid; in other words, it dies when you die.

Often, the "Attorney in Fact" will attempt to access accounts post-death only to be told that he or she does not have the legal right to do so. Just recently a gentleman came into our office to discuss this very issue. He was a joint owner of his mother's only bank account, but she was the sole owner of a mutual funds account worth approximately $125,000. On a certain Friday in September, this gentleman thought that he should - as his mother's "Attorney in Fact" - transfer the mutual funds into the joint account so that he could pay her nursing home bills. But because he had other things that needed to be taken care of that day, he put off the transfer intending to do it at the beginning of the following week.

Unfortunately, his mother died that weekend and the son was no longer able to access her mutual funds account. As a result, it became necessary to open a probate estate so that he could be named Executor and then have the necessary power to close the account. While opening a probate estate is not difficult or complicated, it does mean fees and time that might not have needed to be expended.

So a reminder: whether you are granting someone Durable Power of Attorney or whether you are someone's "Attorney in Fact," be mindful of the limitation of this power and act accordingly in managing assets and accounts.
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The Law Offices of Jeremy W. Howe, LTD. are ElderLaw attorneys in Rhode Island who specialize in Wills and Trusts, Estate Planning, Guardianship, Probate, and Veterans Aid and Attendance Benefits.

They also are Newport Rhode Island Divorce Lawyers, Attorneys, Mediators, and Arbitrators providing services for Family Law issues such as Divorce, Child Custody and Visitation, Support, and Military Family Law. 

Call them today at 401-841-5700 or visit them on the web at http://www.CounselFirst.com.

VLP Attorneys Lauded for Free Legal Advice Seminar at New England Deaf Senior Conference

On April 10, 2010, Kristy J. Garside and Hilary M. Carlson, two volunteer attorneys and both associates of the Law Offices of Jeremy W Howe, LTD in Newport, presented a free program,

The "Reality of Advance Care Planning."  

Over 90 participants attended their presentation at the 3rd Biennial New England Deaf Senior Conference at the Newport Marriott Hotel in Newport RI. 

According to Mary E. Lomastro, writing on behalf of the Rhode Island chapter, "You two are to be commended for a truly informational presentation. The topics were very important to the attendees, and they greatly benefited from the information you provided. Thank you for a remarkable job!"

The program was made possible through coordination by the Rhode Island Bar Association's Elderly Pro Bono Program and the Rhode Island Deaf Senior Citizens organization, and is held twice a year in various locations. The Rhode Island Deaf Senior Citizens organization is a non-profit organization headquartered in Coventry, RI with member meetings twice a month.

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The Law Offices of Jeremy W. Howe, LTD. are ElderLaw attorneys in Rhode Island who specialize in Wills and Trusts, Estate Planning, Guardianship, Probate, and Veterans Aid and Attendance Benefits.

They also are Newport Rhode Island Divorce Lawyers, Attorneys, Mediators, and Arbitrators providing services for Family Law issues such as Divorce, Child Custody and Visitation, Support, and Military Family Law. 

Call them today at 401-841-5700 or visit them on the web at http://www.CounselFirst.com.

Owning Real Estate as Joint Tenants Can Be Risky or Costly

We have clients who ask us to transfer real estate to a child or children during their life-time in order to avoid probate and for other family reasons. This can cause undesirable tax results (capital gains) when the property is sold by the child or children in the future. Further, a joint tenant can sever the joint tenancy without notifying the other joint tenants which converts the nature of the tenancy to a “tenancy-in-common.”

The most famous decision illustrating this result is a 1980 California decision where a wife conveyed her joint interest to herself as a tenant in common before her death. Upon her death, her husband expected to own the property outright but owned it with his wife’s devisees under her will.

While Rhode Island uses a different form of joint holding by a husband and wife called a “Tenancy By the Entirety”, if another person is added as a joint owner, unexpected results can occur.

The moral... Counsel First!

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The Law Offices of Jeremy W. Howe, LTD. are ElderLaw attorneys in Rhode Island who specialize in Wills and Trusts, Estate Planning, Guardianship, Probate, and Veterans Aid and Attendance Benefits.

They also are Newport Rhode Island Divorce Lawyers, Attorneys, Mediators, and Arbitrators providing services for Family Law issues such as Divorce, Child Custody and Visitation, Support, and Military Family Law. 

Call them today at 401-841-5700 or visit them on the web at http://www.CounselFirst.com.