## Elder financial abuse in Colorado Older adults are disproportionately victimized by financial abuse — losing an estimated $36+ billion/year nationally. Colorado provides multiple legal paths to recover assets and hold abusers accountable. ## Common forms of elder financial abuse **By family / caregivers:** - Stealing money / property from senior - Misuse of POA / financial control - Forging signatures - Using credit cards / accounts without authorization - Forcing wills / trusts in their favor - Manipulating into deeding property - Isolating senior from other family - Charging excessive caregiver fees **By financial professionals:** - Inappropriate investments for age / risk profile - Excessive trading / churning - Variable annuity sales to seniors who don't need them - Reverse mortgage abuse - Fees beyond services rendered - Identity theft by fiduciaries **By strangers / scammers:** - Phone / mail / online scams - Romance scams - Sweepstakes / lottery scams - Tech support scams - IRS / Social Security imposter scams - Grandparent scams - Investment / Ponzi schemes - Home repair scams - Charity fraud **By institutions:** - Nursing-home theft / financial exploitation - Banking errors / fees - Insurance fraud ## Civil legal theories **1. State elder-abuse statute.** Most states have specific elder-abuse civil claims with: - Heightened damages - Attorney's fees recovery - Punitive damages - Reduced procedural barriers **2. Fraud.** Misrepresentations causing financial loss. **3. Undue influence.** Manipulation by trusted person to benefit themselves. **4. Conversion.** Wrongful taking of property. **5. Breach of fiduciary duty.** By POA / trustee / guardian / financial advisor. **6. Constructive trust / equitable lien.** To recover misappropriated assets. **7. Lack of capacity.** When senior lacked mental capacity to enter transaction. **8. Negligence.** Banks / institutions that should have detected abuse. **9. Class actions / mass torts.** For financial scams affecting many victims. ## Strong elder-abuse statutes Particularly powerful state statutes: - **California** — Elder Abuse and Dependent Adult Civil Protection Act (Welf. & Inst. Code § 15600+) — heightened damages, attorney's fees, exception to 1-year SOL for civil torts - **Florida** — § 825.103 + § 825.108 — civil remedy with enhanced damages - **Illinois** — Adult Protective Services Act — civil cause of action - **Texas** — Theft Liability Act applied to elder abuse cases - **New York** — Penal Law + civil remedies ## Criminal options Elder abuse is also typically criminal: - Theft / larceny - Embezzlement (when fiduciary) - Fraud - Identity theft - Most states have **enhanced penalties** for crimes against seniors (typically 60+, 65+, or 70+) Criminal restitution can recover funds, but criminal cases focus on punishment — civil cases focus on recovery. ## Mandatory reporting Most states require reporting suspected elder financial abuse: - **Adult Protective Services (APS)** — every state has one - **Local law enforcement** - **State Attorney General's office** - **Long-Term Care Ombudsman** (for facility residents) - **Bank / brokerage** suspicious activity reports **Mandated reporters** in most states: - Healthcare workers - Bank employees - Financial advisors - Social workers - Clergy (in some states) - Attorneys (varies) Failure to report can be a misdemeanor for mandated reporters. ## Recovering misappropriated assets Common strategies: - **Freeze accounts** with restraining orders / TROs - **Reverse improper transfers** through court order - **Quiet title** to recover property transferred under undue influence - **Will contests** to invalidate suspect testamentary changes - **Surcharge / accounting** against fiduciaries - **Constructive trust** over assets traced from abuse - **Disgorgement** of unjust enrichment - **Civil settlement** with restitution ## Damages typically available - **Actual financial loss** - **Treble damages** (under Theft Liability acts in many states) - **Pain and suffering** for emotional harm - **Punitive damages** for willful conduct - **Attorney's fees** (in elder-abuse-specific statutes) - **Costs** ## Common defenses - **Gift / authorization** — senior consented - **No undue influence** — independent decision - **Capacity** — senior had mental capacity - **Statute of limitations** — claim too old - **Discovery rule** doesn't apply - **Fair-market services** — paid for actual care ## Prevention For families: - Multiple trusted family members involved in finances - Regular account reviews - Transparent caregiver agreements - POA with checks-and-balances - Attorney + CPA reviews - Dual signature requirements - Regular property surveys for seniors with rural land For seniors: - Don't share account info with anyone - Skeptical of phone / email asking for money - Annual credit reports - Trusted advisor relationships - Ask family before making major decisions ## What you should do If you suspect elder financial abuse in Colorado: report to APS immediately, freeze accounts where possible, gather documentation (bank statements, deeds, receipts, communications), and contact an elder-abuse attorney. Most Colorado elder-abuse attorneys offer free initial consultations and many work on contingency. Time is critical — assets dissipate quickly. --- *This guide is general information about Colorado law as of early 2026 and is not legal advice. Elder-abuse cases are fact-intensive and time-sensitive. Talk to a licensed Colorado attorney about your specific case.*