The Fiduciary Standard That Applies
When a court appoints a conservator, it gives that person major duties. The conservator must act as a fiduciary. They must follow the same standard of care that applies to trustees.
In exercising powers, a conservator is to act as a fiduciary and shall observe the standard of care applicable to trustees as described by sections 14-10804 and 14-10806.
A.R.S. § 14-5417The trustee standards (A.R.S. 14-10804 and 14-10806) call for reasonable care, skill, and caution. The conservator must put the protected person's interests first and manage assets wisely.
Courts take this duty seriously. A conservator who falls short may face personal liability for losses.
What This Means in Practice
A conservator does more than manage a bank account. The role carries legal duties that match what a professional trustee must do.
For example, the conservator must make informed choices and keep personal funds separate. They must also spread out investments when it makes sense and document every transaction.
The court may appoint a family member or a public fiduciary. Either way, the person must meet the same standard. Within 90 days, they must file a list of the protected person's assets.
Proper estate planning can often remove the need for a conservator. A durable financial power of attorney and a funded living trust help families avoid court involvement.