September 5, 2006, Introduced by Senator SWITALSKI and referred to the Committee on Judiciary.
A bill to amend 1998 PA 386, entitled
"Estates and protected individuals code,"
by amending section 5419 (MCL 700.5419).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 5419. (1) Appointment of a conservator vests in the
conservator title as trustee to all of the protected individual's
property, or to the part of that property specified in the order,
held at the time of or acquired after the order, including title to
property held for the protected individual by a custodian or
attorney-in-fact. An order specifying that only a part of the
protected individual's property vests in the conservator creates a
limited conservatorship.
(2) Except as otherwise provided in this act, the protected
individual's interest in property vested in a conservator by this
section is not transferable or assignable by the protected
individual. Though ineffective to affect property rights, an
attempted transfer or assignment by the protected individual may
generate a claim for restitution or damages that, subject to
presentation and allowance, may be satisfied as provided in section
5429.
(3) Property vested in a conservator by this section and the
protected individual's interest in that property is not subject to
levy, garnishment, or similar process other than an order issued in
the protective proceeding made as provided in section 5429.
(4) On appointment, a conservator for an adult shall send a
notice to each major national credit reporting agency, requesting
that the agency include the notice in any report of the protected
individual's credit provided by the agency. The notice shall
include all of the following:
(a) The name of the protected individual.
(b) A statement that a court has determined that the protected
individual is unable to manage his or her property and business
affairs effectively.
(c) The name of the conservator.
(d) The date of appointment.
(e) A statement that if a creditor extends credit to the
protected individual, the resulting debt will in general be legally
unenforceable.