Because powers of attorney are often used as an elder care planning tool, they are also often used by the attorney-in-fact to manage the estate planning and finances of the principal. The creation of a trust can be an important estate planning tool, so, if the principal wants to authorize his or her agent to create a trust, that authorization should be specifically granted in the power of attorney. Not surprisingly, there is increasing litigation over the scope of power conveyed to an agent through a power of attorney, including litigation regarding the agent’s authority to create a trust for the principal. In Dishman v. Dougherty, Kentucky was one of the latest states to have an appellate court weigh in.
Setting aside aRead More