1999 Legislation
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HOUSE BILL NO. 151 – Guardian, malfeasance, fine


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Daily Data Tracking History

H0151................................by JUDICIARY, RULES AND ADMINISTRATION
GUARDIANS - Amends existing law to provide for fines and surcharges in the
event of misfeasance or malfeasance by a conservator or guardian.

02/02    House intro - 1st rdg - to printing
02/03    Rpt prt - to Jud
02/18    Rpt out - rec d/p - to 2nd rdg
02/19    2nd rdg - to 3rd rdg
02/22    3rd rdg - PASSED - 66-2-2
      AYES -- Alltus, Barraclough, Bell, Bieter, Black, Boe, Bruneel,
      Callister, Campbell, Chase, Clark, Crow, Cuddy, Deal, Denney,
      Ellsworth, Field(13), Field(20), Gagner, Geddes, Gould, Hadley,
      Hammond, Hansen(23), Hansen(29), Henbest, Hornbeck, Jaquet, Jones,
      Judd, Kellogg, Kempton, Kunz, Lake, Limbaugh, Loertscher, Mader,
      Marley, McKague, Meyer, Montgomery, Mortensen, Moyle, Pischner,
      Pomeroy, Reynolds, Ridinger, Ringo, Robison, Sali, Schaefer, Sellman,
      Smith, Smylie, Stevenson, Stoicheff, Stone, Taylor(Taylor), Tilman,
      Tippets, Trail, Wheeler, Williams, Wood, Zimmermann, Mr Speaker
      NAYS -- Barrett, Kendell
      Absent and excused -- Linford, Watson
    Floor Sponsor - Smith
    Title apvd - to Senate
02/23    Senate intro - 1st rdg - to Jud
03/04    Rpt out - rec d/p - to 2nd rdg
03/05    2nd rdg - to 3rd rdg
03/10    3rd rdg - PASSED - 34-0-1
      AYES--Andreason, Boatright, Branch, Bunderson, Burtenshaw, Cameron,
      Crow, Danielson, Darrington, Davis, Deide, Dunklin, Frasure, Geddes,
      Hawkins, Ingram, Ipsen, Keough, King, Lee, McLaughlin, Noh,
      Richardson, Riggs, Risch, Sandy, Schroeder, Sorensen, Stegner,
      Stennett, Thorne, Twiggs, Wheeler, Whitworth
      Absent and excused--Parry
    Floor Sponsor - Ingram
    Title apvd - to House
03/11    To enrol
03/12    Rpt enrol - Sp signed
03/15    Pres signed
03/16    To Governor
03/18    Governor signed
         Session Law Chapter 108
         Effective: 07/01/99

Bill Text


 ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
Fifty-fifth Legislature                 First Regular Session - 1999

                             IN THE HOUSE OF REPRESENTATIVES

                                    HOUSE BILL NO. 151


 1                                        AN ACT

 5    Be It Enacted by the Legislature of the State of Idaho:

 6        SECTION 1.  That Section 15-5-419, Idaho Code, be, and the same is  hereby
 7    amended to read as follows:

 8        15-5-419.  ACCOUNTS  AND  REPORTS.    (a)  Every conservator or
 9    guardian shall submit a written annual report to the court concerning the sta-
10    tus of the ward and of the ward's estate that has been under the guardian's or
11    conservator's control. The guardian or conservator shall also be  required  to
12    provide  copies  of the report to all persons listed by the court as having an
13    interest in receiving copies of the report. The court may order more  frequent
14    reports  by  its own ruling or pursuant to a petition of any person interested
15    in the ward's welfare. Every conservator must account annually, or  as  other-
16    wise  directed  by the court, and upon his resignation or removal. On termina-
17    tion of the protected person's minority or  disability,  a  conservator  shall
18    account  to  the court and shall account to the former protected person or his
19    personal representative. Subject to appeal or vacation within the time permit-
20    ted, an order, made upon notice and hearing, allowing an intermediate  account
21    of  a  conservator,  adjudicates  as to his liabilities concerning the matters
22    considered in connection therewith; and an order, made upon notice  and  hear-
23    ing,  allowing a final account adjudicates as to all previously unsettled lia-
24    bilities of the conservator to the protected person or his successors relating
25    to the conservatorship. In connection with any account, the court may  require
26    a  conservator  to submit to a physical check of the estate in his control, to
27    be made in any manner the court may specify.
28         (b)  If a conservator or guardian:
29        (1)  Makes a substantial misstatement on filings of  any  required  annual
30        reports; or
31        (2)  Is  guilty of gross impropriety in handling the property of the ward;
32        or
33        (3)  Willfully fails to file the report required by  this  section,  after
34        receiving  written  notice of the failure to file and after a grace period
35        of two (2) months have elapsed;
36    then the court may impose a fine in an amount not to exceed five thousand dol-
37    lars ($5,000) on the conservator or guardian. The court may appoint a guardian
38    ad litem for the ward on its own motion or on the  motion  of  any  interested
39    party  to represent the ward in any proceedings hereunder and may also appoint
40    appropriate persons or entities to make investigation of the  actions  of  the
41    conservator  or guardian. The court may also order restitution of funds misap-
42    propriated from the estate of a ward and may impose a surcharge upon the  con-
43    servator  or  guardian  responsible for such misappropriation for all damages,


 1    costs and other appropriate sums determined by the court, in addition  to  any
 2    fine imposed including, but not limited to, any fees and costs of the guardian
 3    ad  litem.   The court may take any other actions which are in the best inter-
 4    ests of the ward and the protection of the  assets  of  the  ward.   Any  sums
 5    awarded  hereunder shall be paid by the conservator or guardian and may not be
 6    paid by the estate of the ward.  The court may enter judgment against  a  con-
 7    servator  or guardian for any or all of the foregoing, and may impose judgment
 8    against any bond of such conservator or guardian. 

Statement of Purpose / Fiscal Impact

                       STATEMENT OF PURPOSE

                             RS 08799

Many conservators and guardians do not file accountings as
required by the Court or file inadequate accountings. Such
failures may be deliberate, to cover misappropriation of the
assets of the estate of the ward. Enforcement of the duty of
accounting, and recovery of misappropriated funds, is difficult
under the existing statute, since the ability of the Court to
effectively investigate and, if appropriate, penalize the
fiduciary for failure to comply with its duties, was unclear or
non-existent. This bill would add teeth to the existing statute
by giving the Court clear authority to investigate any possible
wrong-doing, appoint a guardian ad litem and other appropriate
persons or entities to investigate and represent the ward, and,
if appropriate, impose fines, order recovery of misappropriated
assets, and surcharge the fiduciary for damages and costs caused
by the fiduciary. The bill also allows the Court to enter
judgment against the fiduciary and the bond of the fiduciary for
all such amounts.

                            FISCAL NOTE

This bill should have no effect on expenditures. The bill may
cause some additional revenues to the Court through fines and
should also make Court enforcement of fiduciary duties more
efficient, and therefore less costly.

CONTACT:                                          Robert L. Aldridge
-       1209 North Eighth Street
        Boise, Idaho 83702-4297

TELEPHONE:                                        Office: (208) 336-9880 Home: (208)888-4668
FAX:    (208) 336-9882
E-MAIL: robertadmicron.net