Can a person with Power of Attorney put his Mom's assets in a Family Limited Partnership?

March 8, 2000

Date:  Sat, 19 Feb 2000
From:  Jerrold Cohen

Can a POA put his Mom's stocks and bank deposits in an FLP? What are the risks and costs?

Answer

Hello Jerrold,

Rephrasing your question, can a person with a Power of Attorney put his Mom's stocks and bank deposits in a family limited partnership? What are the risks and costs?

This is actually a legal question.

Depending on Mom's mental capacity or lack thereof, the arrangement could be subject to attack by potential beneficiaries as a breach of fiduciary duty for undue influence.

I recommend that you seek legal counsel.

The costs will vary around the country. You usually get what you pay for. Get the best attorney you can.

Good luck!
Mike Gray

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