Jessica Morath
Partner •
Sydney
Protecting older people from financial abuse
The ongoing cost-of-living crisis and the increasingly older profile of the Australian population has led to an increased risk of financial abuse for older people. According to the National Elder Abuse Prevalence Study, 1 in 6 older Australians experience elder abuse each year, with family being the main perpetrators of abuse. The most common form of financial abuse is being pressured into giving or lending money, possessions or property. Since 2020, we have acted for more than 90 older clients who were financially exploited by family members (most typically children). Here a couple of examples from 2024.
When her husband died, Penny moved in with her daughter for support. Penny sold her matrimonial home and gave her daughter access to her bank account, as she felt unable to manage her affairs while she was grieving. Over the next couple of years, Penny’s daughter withdrew hundreds of thousands of dollars from Penny’s bank account. Penny also agreed to renovations of her daughter’s home, on the understanding that she would be permitted to reside with her daughter for the rest of her life.
Unfortunately, the relationship between Penny and her daughter broke down, with Penny subjected to ongoing harassment designed to force her out of the property. Beyond simply verbal abuse, Penny was refused access to electricity or hot water for over a week, and found dead animal carcasses left on her doorstep. Concerned for her safety, Penny fled the property and sought legal help. We represented Penny and resolved the matter in her favour at mediation. Penny’s daughter agreed to repay Penny back an agreed sum by instalments, allowing Penny to move on with her life with some financial security.
Susan contributed her life savings towards the purchase price of a home for her daughter, in exchange for a life tenancy. When her daughter executed a contract of sale of the home, our lawyers travelled over 2 hours to meet Susan in person and take her instructions to lodge a caveat over the home so as to prevent her eviction and protect her interest in the property. During the course of that meeting, Susan also disclosed that her son had applied for guardianship orders over her, which she strongly opposed.
Susan confessed to us that “I trusted my family too much”. Having spoken with Susan numerous times, both over the phone and in person, we believed Susan to be well-competent to make decisions for herself. We represented Susan at a Tribunal hearing to oppose the guardianship orders. Her son eventually withdrew his application. The Tribunal Member presiding over the case thanked us for taking on Susan’s matter on a pro bono basis. Susan was so relieved with the result: "Thank you for everything. I wouldn’t know what to do without you." Susan is still living in the property owned by her daughter, and we continue to advocate for her on pro bono basis.
Disclaimer
Clayton Utz communications are intended to provide commentary and general information. They should not be relied upon as legal advice. Formal legal advice should be sought in particular transactions or on matters of interest arising from this communication. Persons listed may not be admitted in all States and Territories.