SACAT can appoint a person to make financial and business decisions to support someone who has mental incapacity - this person is called a private administrator.
Who can SACAT appoint as an administrator?
In most cases, SACAT prefers to a family member, friend, or someone who knows the protected person well and is interested and able to take on the role.
SACAT can also appoint:
- the Public Trustee
- an accountant or a lawyer where appropriate
- a trustee company.
If the Public Trustee is appointed as administrator no other administrator can be appointed.
If a person and/or a trustee company are appointed as administrator SACAT can appoint a single administrator, or joint administrators, or 'joint and several' administrators to act.
If there is more than one administrator appointed jointly, they must agree on the decisions that they make about the protected person’s estate (subject to the words in the order).
If administrators are appointed to act 'jointly and severally', it means that they can make financial decisions without the need for prior discussion if it is not practical do so. The administrators can make a decision and sign documents together or without each other.
SACAT will not appoint:
- a person, unless they consent to the appointment
- a company that is not a trustee company
- a trust.
SACAT will consider the evidence and weigh up certain principles to determine the suitability of the order and of the proposed administrator. In deciding if a person is suitable to act as an administrator, SACAT can also take into account:
- whether the potential administrator and the protected person are compatible
- existing family relationships
- whether the potential administrator is available and has the skills to manage the estate
- any conflict of interest.
Where to get more information
There are significant responsibilities and reporting requirements placed on private administrators.
The Public Trustee outlines these responsibilities.
It is an offence to fail to comply with the reporting requirements under the Guardianship and Administration Act 1993.