Understanding Fiduciary Obligations, Court Oversight, and Financial Accountability Under Florida Law
Protecting Vulnerable Individuals in Orlando Through Responsible Conservatorship
In Orlando and across Orange County, conservatorship is often a necessary legal solution to protect the assets of individuals who can no longer manage their own financial affairs. Whether due to age, illness, injury, or developmental disability, people who are declared legally incapacitated by a Florida court may require someone to handle their financial matters in a trustworthy, lawful manner. That person is known as the conservator.
I’m Attorney Beryl Thompson-McClary, a Conservatorship Attorney in Orlando. I help both conservators and interested parties understand the serious obligations that come with this legal responsibility. If you’re appointed as a conservator—or have concerns about how someone is managing a loved one’s finances—it’s important to understand what Florida law requires. I handle these cases throughout Orange County and welcome you to call my office at 1-888-640-2999 to schedule a consultation.
Let’s walk through what the law says about a conservator’s duties in Florida, the reporting and court oversight involved, and the consequences of failing to uphold those duties.
What Is a Conservator Under Florida Law?
In Florida, the role of a conservator is governed primarily by Florida Statutes Chapter 747, which is titled “Conservatorship.” This is different from the more frequently applied guardianship process under Chapter 744. Conservatorships are usually appointed for individuals who have disappeared, gone missing in action, or have been detained or imprisoned overseas—such as military members or those in high-risk international situations.
However, conservatorship may also be ordered when someone’s whereabouts are unknown for an extended period and financial decisions need to be made on their behalf. In such cases, a court will appoint a conservator to manage the absent person’s property, assets, and obligations until their return or a formal determination of incapacity or death.
If you’re a fiduciary acting under a conservatorship order in Orlando, you must comply with strict standards set forth by the state. As an Orlando Conservatorship Lawyer, I counsel conservators on meeting those expectations and avoiding liability.
Fiduciary Duties of a Court-Appointed Conservator
A conservator in Florida assumes a fiduciary duty toward the person they represent—known legally as the absentee. This means the conservator must act solely in the best interest of the absentee and not use the property for personal gain or in a way that violates the absentee’s rights.
Under Florida Statute § 747.035, the court grants the conservator the authority to manage the absentee’s property, but with this power comes clear and enforceable obligations:
- Act Prudently with Assets: The conservator must manage money, investments, and property with care, skill, and attention—similar to how they would handle their own affairs.
- Avoid Conflicts of Interest: The conservator must not engage in transactions where their personal interests might interfere with their duty to the absentee.
- Keep Accurate Records: Detailed accounting of every financial transaction is essential.
- Protect Property from Loss: Conservators must take reasonable steps to ensure that property is not wasted, lost, or devalued.
- Pay Debts and Manage Obligations: The conservator must ensure that legitimate debts are paid and taxes filed on time.
Failing to act in accordance with these duties may result in personal liability, removal from the position, or even civil litigation.
Court Oversight and Annual Reporting Requirements
In Florida, conservators are not left to act on their own without supervision. The law requires detailed oversight by the court. One of the main tools the court uses to monitor a conservator is the annual report, which includes both an accounting of financial activities and a status report on the absentee’s estate.
Under Florida Statute § 747.036, a conservator must:
- File an initial inventory of the absentee’s assets within 60 days of appointment.
- Submit annual reports with an accurate and full accounting of all financial activity for the prior year.
- Get court approval before taking certain actions, such as selling real property or making large disbursements.
The court may require a surety bond to ensure the conservator’s faithful performance of their duties. If there’s concern about misconduct or neglect, a hearing can be scheduled, and the court has full authority to investigate or appoint an auditor.
As your Orlando Conservatorship Attorney, I help conservators prepare and file these court documents to avoid mistakes and reduce the risk of legal issues later. I also represent interested parties who believe a conservator has mishandled assets or failed to report accurately.
Accountability for Mismanagement or Misconduct
Florida courts take conservator misconduct seriously. Under Florida Statutes § 747.0365, a conservator can be removed for:
- Failing to file reports or inventories
- Mismanaging funds
- Committing fraud or theft
- Failing to comply with court orders
The conservator may be personally liable for losses caused by their actions or omissions. For example, if the conservator makes a risky investment with the absentee’s money and that investment fails, they may be required to reimburse the estate from their own assets.
Additionally, Florida law allows interested persons—such as family members or creditors—to file petitions to review the conduct of a conservator. These proceedings can lead to court-ordered restitution, removal, or referral for civil or criminal penalties.
I’ve assisted clients in both defending and challenging conservators. Whether you’re serving in good faith and need help complying with court requirements—or you’re concerned about how a loved one’s affairs are being handled—I will ensure the court hears your side clearly and effectively.
Transferring or Terminating a Conservatorship
Florida law provides for several ways a conservatorship may come to an end. The most common reasons include:
- The absentee returns
- A presumption of death is established
- The court determines the need no longer exists
When a conservatorship ends, the conservator must file a final accounting and deliver all property to the absentee or their estate. Until the court approves the final discharge, the conservator remains legally responsible for all financial records and property in their control.
As an Orlando Conservatorship Lawyer, I guide conservators through the final stages of their duties and help resolve any disputes over property transfers or recordkeeping before the court enters a final discharge order.
Why You Need Legal Guidance as a Florida Conservator
The role of a conservator may seem straightforward at first, but it involves substantial legal responsibilities. Any misstep—whether unintentional or due to lack of understanding—can carry serious consequences. I work with conservators and their families throughout Orange County to help them meet the legal standards required under Florida law.
I also handle complex conservatorship matters involving contested petitions, missing persons, military service absences, or foreign detentions. When necessary, I represent interested parties in objecting to conservator appointments, monitoring compliance, or filing actions for removal.
If you have been appointed as a conservator or believe a conservatorship has been misused, call my office at 1-888-640-2999. Let’s talk about how I can help.
FAQs – Duties of a Florida Conservator
What is the difference between a conservator and a guardian in Florida?
Florida law distinguishes between guardianships (Chapter 744) and conservatorships (Chapter 747). A guardian is appointed for someone who is physically present but incapacitated, while a conservator is appointed when the person is absent due to detention, military service, or disappearance. Conservators manage the property and financial affairs of the absentee, not their medical or personal decisions.
Can a conservator spend money from the absentee’s accounts freely?
No. A conservator must manage assets prudently and can only use funds for the benefit of the absentee. Large or unusual expenditures may require court approval. All spending must be documented and reported in the annual accounting. Misuse of funds can result in removal and legal action.
What happens if the absentee returns?
If the absentee reappears, they or an interested party can petition the court to terminate the conservatorship. Once approved, the conservator must file a final accounting and return all property to the absentee. The court will issue an order discharging the conservator once satisfied.
Do conservators get paid in Florida?
Yes, conservators may receive reasonable compensation for their services, but payment must be approved by the court. The amount depends on the complexity of the conservatorship and the time and effort involved. Conservators must include requests for compensation in their reports.
What is a surety bond, and do I need one?
Florida courts often require conservators to post a surety bond, which serves as insurance to protect the absentee’s estate from losses due to misconduct or mismanagement. The bond amount is typically tied to the value of the assets under management. If the conservator causes financial harm, the surety bond can be used to reimburse the estate.
Can a conservatorship be contested?
Yes. Interested parties can contest the initial appointment, request a review of the conservator’s actions, or petition for removal. These challenges are heard in court, and both sides may present evidence. If you believe someone is mismanaging a loved one’s assets, legal review may be necessary.
What kind of records should a conservator keep?
A conservator must keep detailed records of all income, expenditures, asset transfers, tax filings, and investments. These records must be submitted to the court annually and preserved for future reference. Inadequate recordkeeping can lead to court sanctions or removal.
How does court oversight work in Florida conservatorships?
Florida courts oversee conservatorships closely. Conservators must file reports, seek court approval for significant actions, and comply with all court orders. The court may appoint a monitor or auditor if concerns arise, and it has the authority to remove or replace a conservator when necessary.
Can a conservator also be the absentee’s power of attorney or trustee?
Possibly, but those roles are distinct under Florida law. A power of attorney or trustee has specific authority under a separate legal document, while a conservator derives authority directly from the court. If there’s an existing estate plan, the court will consider it, but conservatorship may still be necessary depending on the circumstances.
Is it risky to serve as a conservator without legal help?
It can be. Even honest mistakes can lead to serious consequences when you’re handling someone else’s finances. A Florida court will hold you to high standards. Legal guidance helps you meet your obligations, avoid court sanctions, and protect yourself from personal liability.
Contact Orlando Conservatorship Attorney Beryl Thompson-McClary at 1-888-640-2999 For A Consultation
If you’ve been appointed as a conservator or are involved in a dispute over conservatorship in Florida. We assist clients throughout Orange County in fulfilling their legal obligations and protecting vulnerable individuals from financial harm.
