Understanding Guardianship Of Property For Minor

When it comes to protecting the interests and assets of minors in Florida, guardianship of property plays a crucial role. In legal terms, a minor is anyone under the age of 18. Guardianship of property involves the management and protection of assets, money, and property belonging to minors until they reach the age of majority.

Why Is Guardianship Of Property Necessary?

Minors, by law, cannot enter into contracts or make legal decisions on their own. Therefore, if a minor inherits property, receives a large sum of money, or is awarded assets through legal proceedings they cannot manage these assets independently. A Guardianship of Property is statutorily required if a minor receives property with a value in excess of $15,000. This type of guardianship ensures that someone is appointed to oversee and manage these assets (with Court oversight) in the minor’s best interests until they come of age.

The Process Of Establishing Guardianship Of Property

1. Petitioning the Court: An interested party, typically a parent or relative, files a petition with the court to establish guardianship of the minor’s property. The petition outlines the minor’s assets and the need for a guardian to manage them.
2. Appointment of Guardian ad Litem: If a minor is receiving funds through a legal proceeding, the court may appoint a guardian ad litem to represent the minor’s interests as it pertains to the reasonableness of the recovery or award, allocation of any recovery or the purchase and/or sale of any real property for the benefit of the minor. This ensures that the minor’s rights are protected throughout the process.
3. Background Check and Investigation: The court conducts a background check on the proposed guardian to ensure they are suitable for the role. Additionally, the court may investigate the minor’s assets to determine their value and the necessity of guardianship.
4. Guardian Appointment: If the court finds that guardianship of property is necessary and that the proposed guardian is qualified, it will appoint the guardian and grant them the authority to manage the minor’s assets (with Court oversight). There are many ways to ensure the minor’s funds are protected. Placing the minor’s funds in a restricted guardianship bank account is one of the most common forms of protection the court authorizes.
5. Reporting and Accountability: The guardian is statutorily required to file annual reports with the court detailing the management of the minor’s assets. This ensures transparency and accountability in the guardianship process.

Responsibilities Of A Guardian Of Property

A guardian of property in Florida has several important responsibilities, including:

1. Managing the minor’s assets prudently and in their best interests.
2. Making financial decisions on behalf of the minor, such as investments, expenses, and transactions with the required court approval.
3. Keeping accurate records of all financial transactions and assets.
4. If the funds are placed in a restricted account, the Guardian shall seek court approval for any distributions and/or major financial decisions, such as selling or mortgaging property owned by the minor.

Conclusion

Guardianship of property is a crucial legal mechanism designed to protect the assets and interests of minors in Florida. By appointing a guardian to manage a minor’s property, the court ensures that those assets are safeguarded until the minor reaches adulthood. If you find yourself in a situation where guardianship of property is necessary for a minor under your care, feel free to call our office so we can assist you in navigating the process effectively and ensure the minor’s best interests are upheld.