If you do not have a Property and Financial Affairs LPA in place, and you lose mental capacity, your family, the Local Authority or a professional may need to apply to the Court of Protection for a Court Order appointing a Deputy to manage your finances for you.
This is a far more lengthy and costly process than making LPAs. It involves the submission of a full report setting out your financial position and details of your family, a medical assessment and a Declaration of suitability by the proposed Deputy. Once appointed by the Court, the Deputy is subject to ongoing supervision through the requirement of an annual report explaining all significant decisions made and accounting for all income and expenditure.
The Court of Protection will not appoint a Deputy to make blanket decisions concerning an individual’s personal welfare as in a Health and Welfare LPA. Instead, if there is a particular concern, for example a dispute within a family unit about who can visit or between members of the family and healthcare providers over medical treatment or where someone should live, then an application can be made to the Court of Protection to rule on a particular decision.
The financial and emotional cost of such time-consuming Court applications can easily be avoided by putting in place LPAs.