The BBC recently reported on how a law firm in Essex have reportedly abused their position of trust and misused clients funds whilst acting as attorneys.  The article specifically notes one of the partners, Mr Ron Hiller, put pressure on his clients to appoint him as their sole attorney and then proceeded to deny them access to their own funds and to make unauthorised withdrawals with no records of expenses or invoices.  His actions caused financial loss and emotional distress to those he was supposed to protect. This case underscores the importance of choosing an attorney with not only trustworthiness but also accountability.

This case highlights some of the failings in the current system and the importance of choosing the right attorneys (whether professional or otherwise).

When creating a Lasting Power of Attorney (LPA), you’re entrusting someone with significant power over your financial affairs, property, and potentially your health and welfare. It’s a deeply personal decision, but it’s also one where choosing the right person—and ensuring they’re trustworthy, regulated (where a professional is appointed) and professional—can make all the difference.

The vast majority of people will choose a relative or friend to act as their attorney.  This is usually the cheapest option and, particularly for heath decisions, means that the people who know you best are the ones making decisions with you.  Care should still be taken to ensure that anyone you choose will be capable of managing your finances, dealing with your money in your best interests and acting solely in accordance with your instructions.  You should not feel pressured into appointing someone even if they are a close family member.  You should also consider where they are located and how busy they are and if it is practical for them to help you.

What are the benefits of choosing a professional attorney?

1. Expert Knowledge
   A professional attorney, such as a solicitor, is trained to navigate complex financial, legal, and ethical matters. They understand the rules governing LPAs, including the limits on gifting, the duty to act in the donor’s best interests, and how to handle tax planning. This expertise helps ensure the donor’s affairs are managed correctly and transparently.
2. Regulation and Oversight
   Solicitors and other regulated professionals are held to high standards by professional bodies, such as the Solicitors Regulation Authority (SRA). This means there’s accountability—if something goes wrong, clients have recourse through complaints procedures and compensation schemes. This level of oversight is not guaranteed with a family member or friend acting as an attorney.
3. Impartiality and Professionalism
   A professional attorney removes the potential for family disputes or conflicts of interest. They act objectively, without personal bias, ensuring decisions are made solely in the donor’s best interests.
4. Continuity and Reliability
   Unlike a family member who may become unavailable due to illness, relocation, or personal circumstances, a professional attorney provides continuity. Law firms and professional bodies can ensure another solicitor steps in if needed, so there’s no interruption in the donor’s affairs.
5. Financial Safeguarding
   Solicitors are obligated to maintain meticulous records of all transactions, providing transparency and reassurance that funds are being managed appropriately. In the case of Ron Hiller, the lack of oversight allowed his financial misconduct to go undetected for too long.

The Importance of Regulation

Ron Hiller’s case is a stark reminder of what can happen when an unregulated individual abuses their power as an attorney.  Vulnerable individuals trusted him with their financial well-being, but his lack of accountability and oversight enabled him to mismanage and exploit their assets.

Had these individuals appointed a regulated professional, such as a solicitor, the risk of exploitation would have been significantly reduced.

Professional attorneys are required to:

• Keep detailed financial records.
• Act within strict legal and ethical frameworks.
• Be insured against claims of negligence or misconduct.
• Face disciplinary action from regulatory bodies if they breach their duties.

These safeguards help to provide peace of mind that personal and financial matters are being handled with integrity and professionalism.

Why Your Choice Matters

When selecting an attorney under an LPA, consider the following:

• Does the person have the knowledge and experience to manage complex financial and legal matters?
• Are they regulated by a professional body?
• Can they remain impartial and act solely in your best interests?

While family members and friends may seem like obvious choices, they may lack the expertise, impartiality, or availability required for such a significant role.  Equally, you may be concerned about the level of fees a professional may charge or the lack of control you may have. 

Whichever route you choose, you should talk with your proposed attorneys about your decision.  You must be able to trust the person you appoint and if you have any doubts then don’t instruct them. 

If you do decide that a professional might be a good option for you, speak to lots of different people.  Whomever you choose you are likely to be working with them for years to come so you need to be able to trust them and get on with them as a person.  A solicitor should not charge you to have an open conversation about powers of attorney and they should be able to provide clear estimates or costs or demonstrate how costs are calculated.  If they cannot do this or feel pressured in anyway then do not instruct them. 

Conclusion

The role of an attorney is a serious responsibility. As the Ron Hiller case demonstrates, the wrong choice can have devastating consequences. By appointing a regulated professional attorney, you gain access to expert knowledge, accountability, and peace of mind.

If you’re concerned about someone you have appointed then you can revoke their power as long as you retain capacity. 

Consider speaking to a solicitor to understand more about the role of powers of attorney and how they might be useful.  For more peace of mind choose a solicitor or legal executive that is part of the Association of Lifetime Lawyers or the Society of Trust and Estate practitioners as they have undergone even more training and are regulated to a higher degree.

Read about Lifetime lawyers here: https://lifetimelawyers.org.uk/public

Read about STEP here: https://www.step.org/about-step/public

See the BBC article here: https://www.bbc.co.uk/news/articles/cp3zd40kdgyo