Elder financial abuse is a serious and growing issue in California, where vulnerable older adults are often targeted by caregivers, family members, and financial advisors. This type of exploitation can take many forms, including unauthorized transactions, coercion, and fraud, often involving undue influence.
What is Undue Influence?
California law defines undue influence as “excessive persuasion that causes another person to act or refrain from acting by overcoming that person’s free will and results in inequity” (California Welfare and Institutions Code §15610.70). Courts consider various factors to determine undue influence, including:
- The victim’s vulnerability, such as age, cognitive impairment, or dependency.
- The influencer’s authority, including their role as a caregiver, trustee, or close family member.
- Tactics used to isolate the victim, control their finances, or make misleading claims.
- The fairness of the outcome, such as sudden changes to wills, trusts, or financial assets that benefit the influencer.
Notable Case: Geraldine Clark’s Estate Plundering
One high-profile case in San Francisco highlights the dangers of elder financial abuse. Geraldine Clark, a wealthy 91-year-old woman suffering from dementia, was allegedly manipulated by her caregivers into depleting her $5 million estate to less than $200. The caregivers reportedly used fraudulent checks and unauthorized withdrawals to fund luxury vacations and extravagant purchases (SF Chronicle).
This case underscores how trusted individuals can exploit elders, draining their assets and leaving them financially vulnerable. It also demonstrates the importance of estate planning protections and legal safeguards against undue influence.
Other Elder Financial Abuse Cases in California
California has seen numerous elder abuse cases, from celebrity disputes to everyday financial fraud:
- Reality TV Star Lawsuit: Former Real Housewives of Orange County star Vicki Gunvalson is being sued by a 74-year-old woman for financial fraud and elder abuse, alleging deceitful investment schemes (Page Six).
- Los Angeles Nursing Home Scandal: In a major case, a group of caregivers at a Los Angeles nursing home were convicted of orchestrating a scheme that involved coercing elderly residents into altering their wills and signing over assets. Victims’ families were able to seek justice through civil litigation and criminal charges against the perpetrators (Los Angeles Times).
How to Protect Against Elder Financial Abuse
Protecting seniors from financial exploitation requires proactive steps, legal measures, and community awareness. Here are key ways to safeguard against undue influence:
- Estate Planning with Legal Safeguards
A well-drafted estate plan, including a trust, power of attorney, and healthcare directive, can help protect elders from manipulation. Consulting an estate planning attorney ensures that the plan aligns with California’s legal protections.
- Regular Financial Monitoring
Family members should regularly review bank statements, credit reports, and estate documents to identify unusual transactions or sudden changes in beneficiaries.
- Legal Recourse for Suspected Abuse
If you suspect elder financial abuse, California law allows you to take action through:
- Filing a report with Adult Protective Services (APS).
- Seeking legal intervention for financial recovery.
- Challenging undue influence through probate court.
- Education and Awareness
Public awareness campaigns and legal education about elder rights, fraud prevention, and recognizing undue influence can help prevent abuse before it happens.
Final Thoughts
Elder financial abuse and undue influence are growing threats in California. Whether it’s a high-net-worth estate dispute or everyday financial fraud, families must remain vigilant in protecting their loved ones.
If you suspect financial elder abuse, consult an elder law attorney immediately. Early intervention can prevent devastating financial losses and ensure justice for vulnerable seniors.
Related Resources:
- California Adult Protective Services: https://cdss.ca.gov/adult-protective-services
- National Center on Elder Abuse: https://ncea.acl.gov
- See my profile at the National Academy of Elder Law Attorneys: Laurel Loomer, Esq.
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