CEA Elder Law & Guardianship 5 — Questions and Answers
Question 1: A guardian is petitioning to relocate a ward to another state. Which issue must the guardian typically address under the Uniform Adult Guardianship and Protective Proceedings Jurisdiction Act (UAGPPJA)?
- Obtaining a new guardianship order from scratch in the destination state
- Transferring the guardianship through a formal interstate transfer procedure (Correct answer)
- Filing a Medicaid application in the destination state first
- Obtaining approval from all adult children of the ward
Correct answer: Transferring the guardianship through a formal interstate transfer procedure
UAGPPJA provides a formal transfer procedure allowing a guardianship to be transferred to another state without requiring a completely new proceeding, simplifying interstate relocation.
Question 2: Which type of elder abuse involves a caregiver or trusted person using an elder's assets, property, or finances for personal gain without authorization?
- Physical abuse
- Psychological abuse
- Financial exploitation (Correct answer)
- Neglect
Correct answer: Financial exploitation
Financial exploitation is the misuse of an elder's money, property, or assets by someone in a position of trust or authority, and is among the most common forms of elder abuse.
Question 3: Under the Older Americans Act (OAA), which program funds legal assistance services specifically for elders?
- Title II — Federal Council on Aging
- Title III — Grants for State and Community Programs on Aging (Correct answer)
- Title IV — Research and Training
- Title V — Community Service Employment
Correct answer: Title III — Grants for State and Community Programs on Aging
Title III of the OAA funds a broad range of supportive services including legal assistance through Area Agencies on Aging, targeting individuals 60 and older.
Question 4: An elder client wants to give her home to her daughter before entering a nursing home. As her CEA, you advise that this transfer may result in:
- A stepped-up income tax basis for the daughter
- A Medicaid penalty period calculated by dividing the home's value by the daily nursing home rate (Correct answer)
- A gift tax exclusion if the home's value is under the annual exclusion
- Immediate Medicaid eligibility because the home is exempt
Correct answer: A Medicaid penalty period calculated by dividing the home's value by the daily nursing home rate
Transferring the home within the 60-month look-back period triggers a Medicaid penalty period equal to the home's fair market value divided by the average daily private-pay nursing home rate in the state.
Question 5: Which form of surrogate decision-making allows a court to authorize a specific medical procedure for an incapacitated person without appointing a full guardian?
- Substituted judgment order
- Protective order for limited purposes (Correct answer)
- Conservatorship
- Voluntary commitment
Correct answer: Protective order for limited purposes
Courts can issue limited protective orders authorizing specific medical interventions without granting ongoing guardianship, preserving the individual's other rights.
Question 6: When assessing a client's capacity to execute a will or trust, which legal standard is used?
- The same standard as guardianship incapacity
- Testamentary capacity: knowing nature of the act, extent of property, natural heirs, and the plan (Correct answer)
- Capacity to enter into a contract
- Competency as declared by two physicians
Correct answer: Testamentary capacity: knowing nature of the act, extent of property, natural heirs, and the plan
Testamentary capacity requires that the individual understand the nature of making a will, the nature and extent of their property, their natural heirs, and how the document distributes the estate — a lower standard than guardianship incapacity.
Question 7: A CEA is helping an elder client establish a Medicaid Asset Protection Trust (MAPT). Which feature is essential for the trust assets to be excluded from Medicaid countable resources?
- The client must be named as sole trustee
- The trust must be irrevocable and the client may not have access to principal (Correct answer)
- The trust must be funded with exempt assets only
- The trust must be established within the look-back period
Correct answer: The trust must be irrevocable and the client may not have access to principal
A MAPT must be irrevocable and the grantor must be prohibited from accessing the trust principal; if the grantor can reach the principal, Medicaid counts it as an available resource.
CEA Elder Law & Guardianship 5
A guardian is petitioning to relocate a ward to another state.
Which issue must the guardian typically address under the Uniform Adult Guardianship and Protective Proceedings Jurisdiction Act (UAGPPJA)?