Kentucky Statutes 387.125 – Guardian’s duty as to use of ward’s assets
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(1) A guardian shall apply the income or principal of the ward’s estate to the payment of debts, taxes, claims, charges, and expenses of the guardianship and, in accordance with KRS § 387.065, for the support, care, and education of the ward or the ward’s dependents.
(2) A guardian shall take possession of all of the ward’s real and personal property.
(3) A guardian may sell any of the ward’s personal property without District Court authorization or confirmation. To sell any of the ward’s real property, a guardian shall comply with the provisions of KRS Chapter 389A.
(4) A guardian shall invest any of the ward’s money or property which is not required for the ward’s current support, care and education. The investments made of a ward’s funds shall be investments authorized by KRS § 386.020.
(5) A guardian may expend the ward’s funds to repair and maintain the ward’s personal and real property.
(6) A guardian may institute or defend actions, claims, or proceedings in any jurisdiction for the protection of the ward’s estate. Subject to the approval of the court in which the action, claim, or proceeding has been filed, a guardian may settle or compromise the action, claim, or proceeding on behalf of the ward. If the action, claim, or proceeding has not been filed in any court, the District Court of the county where a guardian qualified shall approve the settlement or compromise. Upon approval of a settlement or compromise, a guardian may execute a release on behalf of the ward. A guardian shall receive any proceeds from a settlement for management in accordance with the provisions of this statute.
(7) A guardian may lease any real property of the ward until the ward reaches majority, but no lease shall be made for a term longer than seven (7) years unless otherwise approved by the District Court.
(8) A guardian shall obtain approval from the District Court of the county where the guardian qualified for any of the following made on behalf of the ward:
(a) Any lease of mineral rights;
(b) Any lease of oil and gas rights;
(c) Any sale of timber owned by the ward; or
(d) Any consolidation agreement, as defined by KRS § 353.220.
To aid it in making the decision on a proposed sale, lease, or consolidation agreement, the court shall appoint a guardian ad litem for the ward. The guardian ad litem shall report to the court on the suitability of the transaction.
(9) A guardian shall comply with the reporting requirements specified in KRS § 387.175.
Effective: July 13, 1990
History: Created 1990 Ky. Acts ch. 487, sec. 8, effective July 13, 1990.
(2) A guardian shall take possession of all of the ward’s real and personal property.
Terms Used In Kentucky Statutes 387.125
- Action: includes all proceedings in any court of this state. See Kentucky Statutes 446.010
- Guardian: A person legally empowered and charged with the duty of taking care of and managing the property of another person who because of age, intellect, or health, is incapable of managing his (her) own affairs.
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Personal property: All property that is not real property.
- Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
- Statute: A law passed by a legislature.
(3) A guardian may sell any of the ward’s personal property without District Court authorization or confirmation. To sell any of the ward’s real property, a guardian shall comply with the provisions of KRS Chapter 389A.
(4) A guardian shall invest any of the ward’s money or property which is not required for the ward’s current support, care and education. The investments made of a ward’s funds shall be investments authorized by KRS § 386.020.
(5) A guardian may expend the ward’s funds to repair and maintain the ward’s personal and real property.
(6) A guardian may institute or defend actions, claims, or proceedings in any jurisdiction for the protection of the ward’s estate. Subject to the approval of the court in which the action, claim, or proceeding has been filed, a guardian may settle or compromise the action, claim, or proceeding on behalf of the ward. If the action, claim, or proceeding has not been filed in any court, the District Court of the county where a guardian qualified shall approve the settlement or compromise. Upon approval of a settlement or compromise, a guardian may execute a release on behalf of the ward. A guardian shall receive any proceeds from a settlement for management in accordance with the provisions of this statute.
(7) A guardian may lease any real property of the ward until the ward reaches majority, but no lease shall be made for a term longer than seven (7) years unless otherwise approved by the District Court.
(8) A guardian shall obtain approval from the District Court of the county where the guardian qualified for any of the following made on behalf of the ward:
(a) Any lease of mineral rights;
(b) Any lease of oil and gas rights;
(c) Any sale of timber owned by the ward; or
(d) Any consolidation agreement, as defined by KRS § 353.220.
To aid it in making the decision on a proposed sale, lease, or consolidation agreement, the court shall appoint a guardian ad litem for the ward. The guardian ad litem shall report to the court on the suitability of the transaction.
(9) A guardian shall comply with the reporting requirements specified in KRS § 387.175.
Effective: July 13, 1990
History: Created 1990 Ky. Acts ch. 487, sec. 8, effective July 13, 1990.