Some people refer to a Agent Removal action as a “Replacement Action.” This is often the case when the Power of Attorney lists successor Agents and the goal is removing the initial Agent, “replacing” him with the successor Agent.

If an interested party believes that an initial Agent has not fulfilled his duties or obligations, or has committed a Breach of Fiduciary Duty, and wants the successor Agent to serve instead, he or she can have one of our experienced litigation attorneys file a removal petition.

Prior to the hearing, discovery is made and evidence is obtained to present to the judge. This discovery process may include depositions, interviews and interrogatories of the existing Agent as well as financial advisors, beneficiaries, bankers or physicians. This evidence must be presented to the judge in an orderly fashion. An experienced attorney familiar with the court and its procedures best handles this process.

If an Agent under a Power of Attorney has violated his fiduciary duty, an interested party can address the abuse in a number of ways:

• Removal and Replacement of Agents.
• Recovery of Assets from an Agent: An Agent is a fiduciary and owes a fiduciary duty. If the Agent has wrongfully taken assets, then a judge can order their return.
• Forcing an Agent to file a Formal Accounting.
• Surcharge Actions Against an Agent.

Any action against an agent including a petition for Formal Accounting must be brought in the appropriate court. The Estate Litigation Attorney assists in filing objections to the Accounting, often followed by discovery. Discovery may include obtaining copies of financial documents, depositions, interviews, and interrogatories of the fiduciary as well as financial advisors, beneficiaries, bankers or physicians. This evidence must be presented to the judge in an orderly fashion to support the objections. This process is complicated and is best handled by an Estates and Trusts focused attorney.

It is a sad but true reality that when persons are weakened by age, infirmity or mental health, others around them sometimes take advantage of this weakened state. Sadder yet, the people who most often abuse the trust of others are family members, friends and even attorneys or members of the person’s church.

Typical examples are persons who are victims of fraudulent transfers are citizens suffering from dementia, Alzheimer’s or mental disability. A fraudulent gift is made when such an individual transfers assets that he or she would otherwise not have transferred due to undue influence or a weakened state. Assets that are typically fraudulently transferred are deeds to real estate, bank accounts that are made joint with a right of survivorship or physical transfers of valuable jewelry or collections.

Often these transfers happen in the last months of the victim’s life and are not discovered until after the person has died.

Speed is essential in these cases. Joint accounts can be liquidated immediately after a person’s death, life insurance policies can be collected and real property quickly sold. It can prove difficult to recover assets once they are in the hands of the person who committed the fraudulent transfer.

Attorney Peter Klenk and his team of estate litigation attorneys and paralegals have experience pursuing fraudulent transfer claims and are familiar with the complex rules and procedures of the courts. We not only understand the estate procedures, but as experienced litigators, we understand the complex rules of discovery and obtaining orders necessary to secure and recover the assets obtained by fraudulent transfer.

If you believe there has been a fraudulent transfer and wish to have it investigated, or if you are considering a fraudulent transfer action in the court, you need an attorney or lawyer familiar with the complex rules and procedures.

Most estate plans include granting another person a power of attorney, which gives another person power to act for you. These powers of attorney can grant narrow powers, or broad powers, but either way they give the person you have trusted the ability to act for you. Often this includes gaining access to bank accounts and power of investing. Unfortunately, the person with this power (the “Agent”) sometimes abuses the power. Over the years I have witnessed embezzlement, self-dealing, and theft.

Each situation is different, and the appropriate response will depend on the given facts and circumstances. But, here are some of the common actions taken when an Agent has abused his powers.

Force an Accounting: Interested parties to a power of attorney can retain an attorney experienced in estate litigation to petition the court and obtain an order forcing the Agent to file a formal account of all actions the Agent has taken. If it is proven that the Agent abused the powers, the judge can surcharge the Agent, and make the Agent right any wrong that they may have committed.

Challenging the Power of Attorney: If you believe that a power of attorney was obtained improperly – though undue influence or by having a person execute the power of attorney while incapacitated – you can have our firm challenge the validity of that document in court.

Remove the Agent: If you have discovered evidence of wrongful acts, perhaps through the Formal Accounting, your Estate Litigation Attorney can petition the court to remove the Agent’s powers. This might include appointing an Guardian.

If you have believe an Agent under a power of attorney has committed fraud, embezzlement or has otherwise mishandled and abused the powers granted to the Agent, or if you believe a power of attorney was obtained improperly, contact us.

The interested party pays the attorney, but if the removal action is successful, the judge may order reimbursement from the estate or trust. The Agent may also hire an attorney. The estate pays this attorney, but if the judge removes the Agent for bad acts, such as Breach of Fiduciary Duty, the judge may order the Agent to repay the amount given to the lawyer.

If you are seeking to remove an Agent your case will be heard before a court with unique procedures and rules. Your case must be organized and presented in a specific manner. Evidence must be gathered through witness interviews, depositions and documents secured by subpoena. If deadlines are missed, your case will be dismissed.

Like any profession or trade, It takes years of experience to master this process. Your case is best served by having an attorney familiar and experienced with these procedures.