A Property Manager was appointed under the Protection of Personal and Property Rights Act to manage her mother’s property affairs when she suffered a brain injury. The Property Manger knew it was her mother’s intention to change her Will before she suffered the injury and wondered whether the Property Order would allow her to change the Will for her mother. 

The Property Manager sought legal advice about her powers as Property Manager. 

What is a Property Manager under the PPPR Act? 

A Property Manager can be appointed to manage someone’s property affairs when they have lost capacity or are unable to make these decisions for themself. Property Orders provide an option for delegating decision-making authority to another person where an individual:

  • Is 18 or older and has a disability which impacts on their financial decision making capacity; or
  • Has lost capacity prior to setting up an Enduring Power of Attorney. 

To be appointed as Property Manager an application must be made to the Family Court. A Property Manager must be appointed where the person subject to the order has items of property worth over $25,000 in value or income in excess of $38,800 per year (note the amount is currently set to increase each year until 1 April 2029).

Where the person does not meet these thresholds an Order to Administer Property may be applied for through the Family Court instead.

What powers does a Property Manager have? 

Property Managers are responsible for making decisions regarding a person’s finances, including any income and benefits they receive. 

Property Managers are required to prepare financial statements for submission to the Family Court during their appointment. 

Property Managers must act in the best interests of the person who they are acting for, and must encourage that person to manage their own property affairs as far as possible. 

The Family Court will specify any powers and restrictions on the Property Manager under the Property Order. Certain transactions will require the Property Manager to apply to the Family Court for special orders, such as selling a land that is worth more than the specified sum ($120,000 as at the date of this article). 

The Property Order will be reviewed by the Family Court on specified dates and will expire if the review is not done. Usually this is every 3 to 5 years.

Can a Property Manger make a Will on behalf of the person subject to the Order? 

Property Managers can only make a Will on behalf of the person subject to the Property Order with the direction of the Family Court. 

A Property Order does not automatically mean the person subject to the Order has lost testamentary capacity. However, if there are concerns, the Family Court may order that the person subject to the Order can only make a Will with the leave of the Court. 

The Family Court may authorise a Property Manager to make a Will on behalf of the person subject to the Order. Before the Property Manager can be authorised, the Court must settle provisional terms of the Will and hear from any people who the Court considers have a proper interest in the matter. 

These restrictions are in place to protect the interests of the person subject to the Property Order. So, while it is possible to change or make a Will as a Property Manager it is not a straightforward or simple process, and the Family Court has final say over whether to authorise a new Will. 

If you are looking to make an application to be a Property Manager on behalf of a loved one, it is important to seek advice from an expert in the area to support you with the process and ensure that an appropriate order is put in place.