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When an elderly heir faces diminished capacity, family members often need clear legal tools to help manage personal and financial affairs. Under New Jersey law, you can establish authority through a Power of Attorney, a Health Care Proxy, or by seeking Guardianship and Conservatorship. Each option serves different needs and carries unique requirements.

1. Power of Attorney

A Power of Attorney (POA) lets an individual (the principal) appoint an agent to handle financial and legal matters. New Jersey enacted the Uniform Power of Attorney Act at N.J.S.A. 46:2B-1 et seq. (https://www.njleg.state.nj.us/ statutes/title46/2B.html). Key points:

• Durable POA: Remains effective if the principal becomes incapacitated.
• Springing POA: Becomes effective only upon a specified event, usually after incapacity.
• Execution Requirements: The principal must sign before two witnesses and a notary. NJ law outlines mandatory notice and statutory form.
• Scope: The agent’s powers can cover real estate transactions, bill payments, banking, and more.

2. Health Care Proxy

Under the New Jersey Health Care Decisions Act (N.J.S.A. 26:2H-53 et seq.; https://www.njleg.state.nj.us/ statutes/title26/2H/53.html), a Health Care Proxy lets an adult appoint an agent to make medical decisions if they lose the capacity to decide. Key elements include:

• Written form signed in the presence of two adult witnesses.
• Clear instructions on treatment preferences or limitations.
• Authority to consent to or refuse treatment, review records, and hire providers.

3. Guardianship and Conservatorship

If no valid POA or proxy exists and the heir cannot manage personal or financial affairs, you can petition the Probate Division of the Superior Court for guardianship (for personal decisions) or conservatorship (for financial matters) under N.J.S.A. 3B:12-1 et seq. (https://www.njleg.state.nj.us/ statutes/title3B/12.html). Process overview:

1. File a Petition: A relative or agency files a verified petition in the county Probate Division.
2. Notice: Provide notice to the proposed ward, close relatives, and interested parties.
3. Capacity Evaluation: A court‐appointed physician evaluates the individual’s capacity.
4. Hearing: The court holds a hearing where the proposed ward can object or present evidence.
5. Appointment: The court appoints a guardian or conservator and defines their powers. The court favors the least restrictive alternative, tailoring authority to specific needs.
6. Ongoing Oversight: Guardians must file annual status reports and accountings.

Helpful Hints

• Review existing legal documents first. A properly executed POA or Health Care Proxy avoids costly court proceedings.
• Choose an agent or guardian you trust. The role carries a fiduciary duty under N.J.S.A. 3B:12-31.
• Use the statutory forms. New Jersey provides mandatory forms online for POAs and proxies.
• Consult with an elder law attorney to ensure compliance with New Jersey formalities.
• Keep records of all transactions. Courts require annual accounting from guardians and conservators.

Disclaimer: This article does not provide legal advice. It offers general information about New Jersey law. Consult a licensed attorney to discuss your specific situation.