What Are a Guardian’s Fiduciary Duties?

Finding yourself named as a guardian for a loved one can be both an honor and a daunting responsibility. If your loved one is facing serious health challenges or diminished capacity, you might feel overwhelmed. The role of guardian comes with significant responsibilities, one of the most critical being fiduciary duty. Understanding this can help you fulfill your role with care and integrity.

Document Decisions

As a guardian, you must meticulously document all decisions, actions, and changes in the ward’s care or living arrangements. Keeping detailed records can help provide clarity and accountability. Whether through journals, spreadsheets, or specialized apps, maintaining accuracy and transparency is essential. This careful documentation ensures that you can justify actions taken on behalf of your ward, protecting both you and their best interests should any questions arise.

Report Regularly

Guardians are typically required to provide regular updates to the court. These updates should encompass the ward’s well-being, healthcare status, living arrangements, and any major developments. Regular reporting helps ensure that the decisions you make align with the best interests of your ward, providing an additional layer of protection for both parties involved.

Avoid Conflicts of Interest

Identifying and avoiding conflicts of interest is crucial. As a guardian, you must be vigilant to ensure that your decisions do not benefit you at the expense of the ward. Even the mere appearance of self-benefit can be problematic. When in doubt, seeking legal or professional guidance can help you navigate complex scenarios and maintain the integrity of your fiduciary duty.

Differentiate Roles

It is important to understand that the role of a guardian is distinct from that of an executor of a will. A guardian makes decisions for someone who is living, while an executor acts after someone has passed. While one person may hold both roles, the duties and timing are entirely different. Recognizing this difference helps prevent potential conflicts and ensures that you fulfill each role appropriately.

Embracing your role as a guardian is a serious and noble commitment. You’re not expected to know everything upfront, but understanding fiduciary duty is a critical first step. If you need to discuss your responsibilities further or seek support in navigating the process, remember you’re not alone. By reaching out for guidance and support, you can perform your responsibilities confidently and compassionately.