You are here:

Several properties are owned as joint tenants between the donor and the attorney of an EPA.

The attorney sells one property and directs the solicitors to pay the settlement proceeds as follows:

  • the solicitor’s fees and outlays
  • to discharge a mortgage in the attorney’s sole name on an unrelated property
  • to pay the balance to an account in the attorney’s name.

The lawyer failed to advise the attorney:

  • to open a joint account and placed the net proceeds of sale into that account as property jointly held
  • that she is not acting in compliance with the law to act honestly and with reasonable diligence
  • that this is a conflict transaction that she should keep property separate
  • that she is making a gift to herself in breach of her obligations under the EPA.

The attorney severs the joint tenancy for one property to create a tenancy in common in equal shares

The lawyer failed to advise the attorney:

  • that severing the joint tenancy was a conflict transaction
  • that she would fail to act honestly and with reasonable diligence to protect the principal’s interests.

Call us on 04211 45637 if you have questions about an Enduring Power of Attorney.