A person appointed by the court to be legally responsible for another person and/or for another person’s property. While individuals are usually appointed to serve as guardians, a corporation or association may also serve in that capacity. A person for whom a guardian has been appointed is called a “ward” or “protected person.”
Selecting a Guardian
In selecting a guardian, the court is required to give preference as follows:
- A person designated in a durable power of attorney executed by the protected person
- A spouse of the incapacitated person
- An adult child of the incapacitated person
- A parent of the incapacitated person or a person nominated by will of deceased parent of the incapacitated person or by any writing signed by a parent of the incapacitated person and attested to by at least two witnesses
- Any person related to the incapacitated person by blood or marriage with whom the incapacitated person has resided for more than six months before the filing of the petition
- A person nominated by the incapacitated person who is caring for or paying for the care of the incapacitated person
Guardian of a Person
A “guardian of the person” is appointed to protect and have physical custody of a ward and to provide for the ward’s day-to-day maintenance, paid from the ward’s assets. Maintenance means providing food, shelter, clothing, health care and other necessities. It includes responsibility for the education of a minor ward as required by law, as well as making decisions about medical treatment and other professional services the ward may require. Only a “natural person” (not a bank or a company) can be appointed as a guardian of the person.
Guardian of the Estate
A “guardian of the estate” is appointed to manage the property and financial assets of the ward for the ward’s best interests. Specifically, the guardian of the estate must:
- Pay all debts owed by the ward
- Collect all money owed to the ward
- Settle and adjust any assets received from an estate
- Deposit all funds into an account in the name of the guardian as fiduciary
- Protect, preserve and invest the ward’s funds not needed for current obligations according to legal guidelines
- File or defend lawsuits on behalf of the ward to protect his or her interests
- File an inventory and file accounts of the ward’s estate with the court every two years
- Seek court approval for expenditures or transfers
- File income tax returns and pay taxes for the ward
Unless the court order appointing a guardian specifies otherwise, the same person is normally named as both guardian of the person and the estate.
Securities and Wealth Management products and services are not deposits, not FDIC insured, not insured by any government agency, not bank guaranteed, subject to risk, and may lose value.