Guardianship vs. Power of Attorney in Texas
Suppose your mother is getting older and is unable to remember things or make good decisions regarding financial issues or health issues. A guardianship can help you do those things for her. But what about a power of attorney? Is this document just as good as guardianship?
Texas guardianship and power of attorney have many things in common but also some distinctive differences. If you are considering either of these, you need an experienced Bosque County, TX estate planning attorney who can help you make the best choice for your expected outcome.
What is Texas Guardianship?
Guardianship in Texas is split into two categories. When the goal is to care for a person’s basic needs and medical issues, it is known as guardianship of the person. If the goal is to protect another person’s financial assets, it is known as guardianship of the estate. In most cases, guardianship is sought for an elderly person who cannot manage his or her medical or financial needs, an adult who has lost the mental capacity to make decisions, a disabled adult, or a minor receiving property.
A person applying for guardianship must prove that the proposed "ward" can no longer handle his or her health and medical needs or financial decisions. Once a guardian is approved by the court, he or she must post a bond to the court and submit annual reports to the court regarding the care of the ward. A temporary guardianship is only granted when harm to another person is imminent or when protecting the person’s property or assets is an immediate need.
What is the Texas Power of Attorney?
There are three types of powers of attorney in the state of Texas:
- A general power of attorney allows another person to handle all financial and business issues when you are temporarily away or cannot deal with those issues yourself.
- A medical power of attorney gives another person the right to make medical decisions on your behalf if you cannot do so due to incapacitation.
- A durable power of attorney keeps working even if you are ill or incapacitated and cannot make necessary decisions on your own.
A durable power of attorney either takes effect upon a person’s incapacitation or lasts after a person’s incapacitation, unlike a general power of attorney, which terminates at this point. A durable power of attorney lasts until the principal dies, the principal revokes it, the conditions of termination specified in the document have been fulfilled, the agent’s authority is terminated, or a guardian has been appointed for the principal.
What Are the Primary Differences Between Guardianship and a Power of Attorney?
Under certain circumstances, a Texas guardianship can override a power of attorney. The primary difference is that a power of attorney allows an individual to choose the person he or she wants to make certain decisions on his or her behalf.
A guardianship is a court-appointed role and is not chosen by the person who will be governed by the guardianship. A guardianship may take precedence over a power of attorney when another person (usually a family member) thinks the person with power of attorney is not doing a good job or is taking advantage of his or her loved one.
In other situations, a person who is ill or incapacitated may require more help than a power of attorney offers. Both documents are meant to protect vulnerable people and keep them safe, but there is always the potential for misuse with either document.
Contact a Parker County, TX Guardianship Lawyer
If you are unsure whether you need a guardianship or power of attorney, it can be beneficial to speak to a knowledgeable Somerville, TX guardianship attorney who can evaluate your specific situation and help you make the right decision. Contact The Law Offices of Rob Christian at 682-936-4003 to schedule a free consultation to discuss all your estate planning needs.