A. A conservator may expend or distribute income or principal of the estate without court authorization or confirmation for the protected person and his dependents in accordance with the following principles:
(1) the conservator is to consider recommendations relating to the appropriate standard of support, care, education or benefit for the protected person made by a parent, guardian or custodian, if any. He may not be surcharged for sums paid to persons or organizations actually furnishing support, education or care to the protected person pursuant to such recommendations of a parent or guardian of the protected person unless he knows that the parent, guardian or custodian is deriving personal financial benefit therefrom, including relief from any personal duty of support, or unless such recommendations are clearly not in the best interests of the protected person;
(2) the conservator is to expend or distribute sums reasonably necessary for the support, education, care or benefit of the protected person with due regard to:
(a) the size of the estate, the probable duration of the conservatorship and the likelihood that the protected person, at some future time, may be fully able to manage his affairs and the estate which has been conserved for him;
(b) the accustomed standard of living of the protected person and members of his household; and
(c) other funds or sources used for the support of the protected person;
(3) the conservator may expend funds of the estate for the support of persons legally dependent on the protected person and others who are members of the protected person's household who are unable to support themselves, and who are in need of support;
(4) funds expended under this subsection may be paid by the conservator to any person, including the protected person, to reimburse for expenditures which the conservator might have made, or in advance for services to be rendered to the protected person when it is reasonable to expect that such services will be performed and where advance payments are customary or reasonably necessary under the circumstances.
B. If the estate is ample to provide for the purposes implicit in the distributions authorized by Subsection A of this section, a conservator for the protected person other than a minor has power to make gifts to charity and other persons as the protected person might have been expected to make, in amounts which do not exceed in total for any year twenty percent of the income from the estate.
C. When a minor who has not been adjudged disabled under Subsection B of Section 5-401 [45-5-401 NMSA 1978] attains his majority, his conservator, after meeting all prior claims and expenses of administration, shall pay over and distribute all funds and properties to the former protected person as soon as possible.
D. When the conservator is satisfied that a protected person's disability (other than minority) has ceased, the conservator, after meeting all prior claims and expenses of administration, shall pay over and distribute all funds and properties to the former protected person as soon as possible.
E. If a protected person dies, the conservator shall deliver to the court for safekeeping any will of the deceased protected person which may have come into his possession, inform the personal representative or a beneficiary named therein that he has done so, and retain the estate for delivery to a duly appointed personal representative of the decedent or other persons entitled thereto. If, after forty days from the death of the protected person, no other person has been appointed personal representative and no application or petition for appointment has been filed, the conservator may apply to exercise the powers and duties of a personal representative so that he may proceed to administer and distribute the decedent's estate without additional or further appointment. Upon request for an order granting the powers of a personal representative to a conservator, after notice to any person demanding notice under Section 3-204 [45-3-204 NMSA 1978] and to any person nominated personal representative in any will of which the applicant is aware, the court may order the conferral of the power upon determining that there is no objection, and endorse the letters of the conservator to note that the formerly protected person is deceased and that the conservator has acquired all of the powers and duties of a personal representative. The making and entry of an order under this section shall have the effect of an order of appointment of a personal representative as provided in Sections 3-101 through 3-1204 [45-3-101 to 45-3-1204 NMSA 1978] except that the estate in the name of the conservator, after administration, may be distributed to the decedent's successors without prior retransfer to the conservator as personal representative.
History: 1953 Comp., § 32A-5-425, enacted by Laws 1975, ch. 257, § 5-425.
Am. Jur. 2d, A.L.R. and C.J.S. references. — Right of guardian to expend principal of ward's estate for support and maintenance, 5 A.L.R. 632.
Guardian's liability for interest on ward's funds, 72 A.L.R.2d 757.
Power to make charitable gifts from estate of incompetent, 99 A.L.R.2d 946.
Power of court or guardian to make noncharitable gifts or allowances out of funds of incompetent ward, 24 A.L.R.3d 863.
Ademption or revocation of specific devise or bequest by guardian, committee, conservator or trustee of mentally or physically incompetent testator, 84 A.L.R.4th 462.
14 C.J.S. Chemical Dependents § 4; 39 C.J.S. Guardian and Ward §§ 61 to 66, 72, 80 to 85, 145, 159; 49 C.J.S. Insane Persons § 85.
Structure New Mexico Statutes
Chapter 45 - Uniform Probate Code
Article 5 - Protection of Persons Under Disability and Their Property
Part 4 - PROTECTION OF PROPERTY OF PERSONS UNDER DISABILITY AND MINORS
Section 45-5-401 - Conservatorship proceedings.
Section 45-5-402 - Protective proceedings; jurisdiction of affairs of protected persons.
Section 45-5-402.1 - Permissible court orders.
Section 45-5-404 - Original petition for appointment of conservator.
Section 45-5-404.1 - Duties of guardian ad litem.
Section 45-5-405 - Notice in conservatorship proceedings.
Section 45-5-405.1 - Protective arrangements and single transactions authorized.
Section 45-5-406 - Guardianship and protective proceedings; request for notice; interested person.
Section 45-5-407 - Procedure for court appointment of a conservator.
Section 45-5-408 - Temporary conservators.
Section 45-5-409 - Annual report and account; audits.
Section 45-5-409.1 - Repealed.
Section 45-5-410 - Who may be appointed conservator; priorities.
Section 45-5-411 - Bond and terms; requirements of bonds.
Section 45-5-413 - Acceptance of appointment; consent to jurisdiction.
Section 45-5-414 - Compensation and expenses.
Section 45-5-415 - Death, substitution, review and termination of conservatorship.
Section 45-5-416 - Petitions for orders subsequent to appointment.
Section 45-5-417 - General duty of conservator.
Section 45-5-418 - Inventory and records.
Section 45-5-420 - Conservators; title by appointment.
Section 45-5-421 - Recording of conservator's letters.
Section 45-5-421.1 - Letters of conservatorship.
Section 45-5-423 - Persons dealing with conservators; protection.
Section 45-5-424 - Powers of conservator in administration.
Section 45-5-425 - Distributive duties and powers of conservator.
Section 45-5-426 - Consent to conservatorship; applicable laws.
Section 45-5-427 - Preservation of estate plan.
Section 45-5-428 - Claims against protected person; enforcement.
Section 45-5-429 - Individual liability of conservator.
Section 45-5-430 - Termination of proceeding.
Section 45-5-434 - Registration of guardianship orders.