Ongoing Duties: Managing the Ward’s Finances

If the court granted you financial authority, it’s an important responsibility. Remember, you’re doing it for the ward’s benefit, NOT your benefit. You have just become a fiduciaryA fiduciary is a person that acts on behalf of another person to manage money and assets. LEGAL DEFINITION: An individual, agency or organization that has agreed to undertake for... Click or tap term for more. for the wardA person determined by the court to be incapacitated.  LEGAL DEFINITION: A person for whom a guardian or limited guardian has been appointed. (NDCC 30.1-26-01(6))   Click or tap term for more.. A fiduciary is a person that acts on behalf of another person to manage money and assets.

You must always manage the ward’s finances honorably and truthfully. The court requires careful, competent, and prudent accounting of all the ward’s money or property. Managing the ward’s finances isn’t a task to take lightly.

If the ward has money, it’s your job to apply the Prudent Person Rule and Prudent Investor Rule. That means you must use common sense and must make practical investment decisions, like diversifying investments, when managing the ward’s assets.

If the ward doesn’t have money to cover bills, you aren’t responsible to pay the bills with your own money. To cover the bills, you’ll need to get the court’s approval before selling property.