How to Apply for Controllership

19 May 2023

This week is Dementia Action Week 2023 – a week aimed at highlighting the ways in which we can all take action to improve the lives of people living with dementia.  For those who have loved ones who are suffering from dementia, it is important to consider how becoming mentally incapacitated with such an illness could affect their ability to manage their financial affairs.

Any one of us can take sensible steps whilst mentally and physically capable of doing so to put in place measures that would reassure us that our financial affairs would be managed by a trusted family member in the event that we lost mental capacity.  We can execute an Enduring Power of Attorney in which we appoint one or more persons who we authorise to manage our property and financial affairs if we ever were to lose capacity in the future.

However, what if a person has already become mentally incapable and an Enduring Power of Attorney has not been executed?  What action could be taken on behalf of this person to manage their property and financial affairs? 

When a person is deemed no longer able to manage their finances and they have put nothing in place to stipulate who can manage their finances on their behalf, the responsibility for the management of their property and affairs is vested in the High Court through what is known as a Controllership 

What is Controllership?

A Controller is a person appointed by the High Court of Justice in Northern Ireland under the Mental Health (NI) Order 1986 to manage the property and finances of an adult who is mentally incapable of doing so themselves.

Who acts as Controller?

Typically, a Controller will be a family member or friend of the Patient but may be Court Officer if circumstances require.

When is a Controller appointed?

If a Court is satisfied based on medical evidence that a Patient is mentally incapable of managing personal property and financial affairs and the Patient has assets or income requiring management, a Controller should be appointed.

Is Controllership a temporary arrangement?

Once appointed, a Controller will remain in charge of a Patient’s affairs unless the Court is satisfied:-

  •          The Patient has recovered.
  •          That such an Order is no longer necessary.
  •          The Controller is replaced by retirement or otherwise.
  •          The Patient dies.

What responsibility does a Controller have and is it a paid role?

A Controller does not receive payment for work undertaken but may recover reasonably incurred expenses to a limited degree. The Controller’s powers are limited to those set out in the Court Order by which the Controller is appointed and will only ever extend to financial and property matters pertaining to the Patient. Under the present law, a  Controller has no authority to manage health, social and welfare matters for the Patient.

What if the Patient disagrees and wants to manage their own affairs?

Once a Controller is appointed the Patient is no longer deemed legally capable of undertaking the management of their financial and property affairs. Before a Controller is appointed,  a Notice is served on the Patient advising that the procedure is underway and allowing the Patient the opportunity to object.

Who is the Controller responsible to?

The Controller is normally required to submit an annual vouched account reflecting all expenditure in relation to the Patient’s funds, to the Office of Care & Protection. The Controller cannot take any significant steps in respect of the Patient’s affairs unless authorised by the Court Order under which the Controller appointment is made, or a subsequent authority is obtained from the Master of the Office of Care & Protection.

A Controller may not incur an expense on behalf of the Patient at a cost of £500 or more without Court authority and should retain receipts for all transactions involving the Patient’s money which exceed a value of £50.00.

How can application be made to be appointed as Controller?

Such an application can be made directly to the Office of Care & Protection or with the assistance of a solicitor experienced in Office of Care & Protection work to guide the applicant through the process.

While it is reassuring to know that there are steps that can be taken to secure and manage a person’s financial affairs in the event that they lose mental capacity, applying for a Controllership can be an onerous process and result in additional expense to the Patient.  An Enduring Power of Attorney is a cost-effective means of putting measures in place to ensure that an application for Controllership can be avoided if you were to lose capacity.

For further advice or assistance on Controllerships or Enduring Power of Attorneys, please contact our Future Planning Solicitor Chloe Emerson on cemerson@fhanna.co.uk or call 028 9023 4901.