QUESTION

I have a POA for my mother's life estate. How can I protect myself?

Asked on Aug 20th, 2013 on Estate Planning - Michigan
More details to this question:
My mother's life estate does have a homestead on it. I'm also her Power of Attorney. When she was admitted to the Nursing Home in 2008 I had to provide the State of Massachusetts a copy of her deed which clearly showed she was well within the 5 year look back period. They did approve her for State Medicaid benefits and she also receives and pays for Medicare deduction taken from her Social Security check as well as a Supplemental Insurance. I turn over her Social Security check to the Nursing Home as she's not allowed to keep it. They allot her $207.00 per month to pay for her Supplemental Insurance as well as her personal needs. I do plan on retaining legal counsel to protect myself, as both brothers are pushing real hard to have her life estate terminated.
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3 ANSWERS

Sanford M. Martin
From your described situation, it appears that so long as you follow the responsibilities of the POA, you should have little personal liability. You are basically acting for your mother in accordance with the life estate which your mother authorized through the POA. Your brothers may try to force you to act against the interests your mother, but you are should act in the interest of your mother as required by the POA.
Answered on Aug 28th, 2013 at 10:39 AM

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Probate Attorney serving Roseville, CA
Partner at James Law Group
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You will have to retain an attorney. I don't think your brothers can sell the house and take the proceeds and not have Medicare come back after them for reimbursement.
Answered on Aug 28th, 2013 at 10:38 AM

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Business Planning Attorney serving Livonia, MI at Frederick & Frederick Attorneys at Law
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You not only need counsel to protect yourself, but also to advise as to what to do with the house. I assume that the three of you are the remaindermen on the deed? If your mother is receiving Medicaid benefits currently, which it sounds like she is, then those benefits would terminate upon sale of the home. The house is an exempt asset for Medicaid purposes, but the proceeds from the sale of the house are not. So if the house is sold, Medicaid qualification would terminate until the proceeds are spent down. It is hard to see how this would be beneficial, but an understanding of the entire situation is necessary, before you can make any decisions on how to proceed. Based on your facts, it sounds like you need to discuss this with a Massachusetts attorney, as soon as possible.
Answered on Aug 28th, 2013 at 10:38 AM

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