What is the difference between power of attorney and conservatorship?

Written by Benjamin Kingsley

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A power of attorney and conservatorship are both legal arrangements that allow someone to make decisions on behalf of another person, but they differ significantly in their scope, implementation, and level of court involvement.

A power of attorney is a legal document that allows an individual (the principal) to voluntarily designate another person (the agent or attorney-in-fact) to act on their behalf in financial, legal, or medical matters. The principal determines the scope of authority granted to the agent, which can be broad or limited to specific tasks. A power of attorney can be enacted immediately or become effective only if the principal becomes incapacitated (known as a springing power of attorney). Importantly, the principal must be mentally competent when creating a power of attorney, and they retain the right to revoke or modify it at any time while they remain competent.

Conservatorship, on the other hand, is a court-ordered arrangement in which a person or organization is appointed to manage the financial affairs and/or daily life of another person (the conservatee) who is deemed incapable of caring for themselves or their finances. Unlike a power of attorney, conservatorship is typically established when an individual is already incapacitated and unable to make decisions for themselves. The process involves a court hearing, where evidence of incapacity is presented, and the court determines whether a conservatorship is necessary and appropriate.

The key differences between these two legal arrangements are:

1. Voluntariness: A power of attorney is voluntarily created by the principal, while a conservatorship is imposed by the court.

2. Court involvement: A power of attorney does not require court supervision, whereas a conservatorship involves ongoing court oversight and regular reporting requirements.

3. Scope of authority: The principal determines the scope of a power of attorney, while the court defines the conservator’s authority based on the conservatee’s needs.

4. Timing: A power of attorney must be established while the principal is mentally competent, whereas a conservatorship is typically initiated after an individual has become incapacitated.

5. Flexibility: A power of attorney can be easily modified or revoked by the principal, while changes to a conservatorship require court approval.

In general, a power of attorney is considered less restrictive and more flexible than a conservatorship. However, in situations where an individual is already incapacitated or there are concerns about potential abuse of a power of attorney, a conservatorship may be the more appropriate option to ensure proper care and protection of the individual’s interests.

Do you have questions about or need assistance with a power of attorney? Please click here to email us at contact@legalandme.com.

Do you need a power of attorney form? We make a do-it-yourself power of attorney: finance power of attorney or healthcare power of attorney.