Durable Power of Attorney and Bankruptcy Laws
My brother and I would like to file a bankruptcy on behalf of our Dad for whom we have a durable power of attorney. Dad is 87 years old and has been diagnosed with terminal cancer. We are being sued for nursing home fees. Dad owns a property in Massachusetts. Two nursing homes are involved. Neither asked for his pension & social security benefits to contribute to payments. Our choices (as far as we have been told) are to 1. apply for Medicaid. Medicaid would pay the last three months for his care, but we’d be forced to sell his home within 9 months and pay Medicaid almost $200,000 from the proceeds of the house, or 2. take out a loan to cover Medicaid, mortgage, equity loan, and legal fees which rents from the house cannot repay. It seems such ashamed that the house Dad worked so hard for (his pension is about $63 per month; social security approximately $850 per month)is being treated like nothing. If you can give us any advice, we’d be deeply appreciative.