While you do want to facilitate effective asset transfers after your passing, you should also consider the eventualities of aging. Learn more about guardianship in Minnesota in this presentation.

1. WHAT IS A
GUARDIANSHIP
IN MINNESOTA?

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Estate planning is often thought of as a purely financial process. In reality, you
should see a holistic picture when you are planning your estate. While you do
want to facilitate effective
asset transfers after your
passing, you should also
consider the eventualities of
aging.
When you examine the facts
you see that a very
significant percentage of
elders become unable to handle all of their own affairs. There is physical
incapacitation that can come about due to illnesses, and there is also mental
incapacitation due to cognitive impairment.
ALZHEIMER'S DISEASE
Alzheimer's disease is the leading cause of mental incapacitation among seniors
in the United States. According to statistics provided by the Alzheimer's
Association, one out of every eight seniors is an Alzheimer's sufferer.

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This is a meaningful
statistic, but the
likelihood of
contracting
Alzheimer's disease
increases as you get
older. Over 40
percent of people
who are at least 85
have Alzheimer's
disease.
People are living longer and longer lives as medical science advances. The United
States Census Bureau has stated that the 10 year age grouping comprised of
people between 85 and 94 grew faster than any other between 2000 and 2010.
Once you reach the age of 65, it is likely that you will live into your 80s.
When you digest all of these statistics, you can see that Alzheimer's disease is a
looming threat.
ADULT GUARDIANSHIP
Who would make decisions on your behalf if you became unable to make them

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for yourself due to Alzheimer's-induced dementia or for some other reason? If
you take no steps in advance to prepare for the possibility of incapacity, the
state could be petitioned to appoint a guardian to handle your affairs. Under
these circumstances, you would become a ward.
In North Dakota there is a
full guardianship, and there
is limited guardianship.
With a full guardianship,
the guardian would make
all decisions on your
behalf. Under a limited
guardianship, the guardian
would only make decisions
that you could not make for yourself.
On the one hand, a guardianship is not necessarily negative. The court could
appoint a perfectly capable guardian, and you may be happy with the decision.
On the other hand, the guardian that is chosen by the court may not be
someone that you would have chosen yourself. There can also be disagreements
among your family members regarding the matter of guardianship, and there
could be conflicting opinions with regard to the ideal guardian.

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PREVENTING A GUARDIANSHIP
It is possible to prevent a
guardianship through
proactive planning. A
comprehensive estate plan
will include an incapacity
planning component.
You could name your own
hand-picked decision-makers and prevent a guardianship proceeding through the
execution of legally binding documents called durable powers of attorney.
A power of attorney that is not specifically designated as durable would no
longer be in effect if the grantor of the device was to become incapacitated.
Durable powers of attorney do remain effective upon the incapacitation of the
grantor.
In some jurisdictions you can create a springing durable power of attorney. The
springing durable power of attorney would only become effective if you were to
become incapacitated.

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You could potentially execute a durable power of attorney for health care and
name a particular person to handle your health care decision-making. With a
durable financial power of attorney you could name a different person to handle
your financial affairs, but the same person could be empowered to handle
everything.
SUMMARY
Incapacity is relatively common among people who reach an advanced age. If
you do nothing to prepare for this contingency, a guardian could be appointed by
the state to manage your affairs.
You can make a guardianship hearing unnecessary and take the matter into your
own hands when you are planning your estate. This is done through the
execution of durable powers of attorney.
These documents allow you to name your own hand-picked representatives in
advance.
Everyone should have these important documents in place, and it is a relatively

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simple matter if you work with a professional. If you are currently unprepared,
schedule a consultation with a licensed estate planning attorney.
REFERENCES
Alzheimer's Association
http://alz.org
Legal Services of North Dakota
http://www.legalassist.org/?id=86&form_data_id=68
American Bar Association
http://www.americanbar.org/groups/real_property_trust_estate/resources/estate
_planning/power_of_attorney.html

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About the Author
Raymond J. German
As an attorney in Minnesota and North Dakota, Raymond
J. German provides a wide range of estate planning
services to his clients, with a primary focus on helping
them provide for the security of their loved ones, reduce
estate taxes and avoid or at least minimize the costs and
delays of probate, all with a well-crafted estate plan. Mr.
German defines the mission statement for German Law
Group, PC, as "Helping one family at a time pass on
values, beliefs and finances, which can be shared for
generations to come." Mr. German is well aware of the
growing importance of estate planning and dedicates himself to informing the
public of the need for careful attention to their specific situations. He is a
frequent speaker on a variety of estate planning topics, regularly presenting
educational seminars for the public as well as private groups.
Raymond J. German approaches each challenge with not just solid expertise, but
also remarkable enthusiasm and vigor. By constantly seeking simpler, better, and
more effective ways of doing things, he continues to make a real difference in
the lives of families and on the way estate planning is practiced by attorneys
around the country.
German Law Group, PC
www.GermanLawGroup.com
GRAND FORKS
2650 32nd Avenue South, Suite O
Grand Forks, ND 58201
Phone: (701) 738-0060
Toll Free: (800) 774-7576
Fax: (701) 738-0064