What is a Fiduciary?
A Fiduciary accepts responsibility for handling personal and/or financial affairs of another person solely for the benefit of that person. A Fiduciary may serve in a variety of roles, may be appointed by the court or serve under a contractual agreement. A Fiduciary may also be named in a person's estate planning documents to provide future service at the time the client becomes unable to handle their affairs.
In Arizona, a person serving as a Fiduciary for a fee must be certified by the Arizona Supreme Court, and is governed by state law.' A Fiduciary must meet certain eligibility requirements, complete initial training and pass a test, post a bond, be fingerprinted and pass a credit and criminal background check. A court appointed Fiduciary must report annually to the court regarding the administration of the client's affairs. In these cases, the Fiduciary fee's are subject to court approval.
When selecting a Fiduciary, it is important to choose someone with whom the client can maintain a long-term trusting relationship.
What is a Conservator?
A Conservator is a person appointed by the court and given power and responsibility for the estate (financial assets and property) of an adult (called a protected individual). A Conservator may be needed when the individual is unable to manage his or her property and financial affairs effectively. A Conservator has the authority to make financial decisions and handle financial affairs, under court supervision, when an individual lacks the capacity to manage them on their own.
The Conservator makes periodic reports to the court and petitions the court for additional authority under certain circumstances. The court often requires the Conservator to purchase a "surety bond" which is a type of insurance policy, to protect the conservatorship estate. The costs and expenses of a conservatorship are paid by the estate.
What is a Guardianship?
A Guardianship is a legal relationship between a court-appointed individual or program (the "guardian") and an individual who the court finds to be incapacitated (the "ward") due to dementia, developmental disability, stroke, brain injury, chronic mental illness or other causes. A full Guardian can make all decisions for the individual. A limited Guardian can only make decisions for the individual that the court allows.
What is a Healthcare Power of Attorney?
A Healthcare Power of Attorney document identifies the individual or individuals (“agent”) authorized to make medical decisions for another individual, when they are unable or no longer capable of doing so themselves. The Healthcare Power of Attorney’s medical decisions should be based upon what the they know to be the individual’s wishes, religious and moral beliefs. The Agent’s authority begins then the individual’s physician certifies that they can no longer make healthcare decisions for themselves. The Agent must also consent to following the individual’s desires, which are generally stated in the Healthcare Power of Attorney document.