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Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Estate Law
Satisfied Customers: 118658
Experience:  Experienced in Trust and Succession Law, including Louisiana Laws
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My grandfather died in 2000 he was a business owner and it

Customer Question

my grandfather died in 2000 he was a business owner and it was a sole proprietorship business and after he died in 2006 my aunt and uncle forced upon my grandmother by way of intimidation to backdate documents creating a corporation that they claim opened in 1996 and a lawyer assisted them so now they are saying they own 25% of her business and were fired in 2010 when my grandmother discovered they had been ripping her off for nearly 3 milli dollars in a ten year span and they opend a fraudulent business with her assests and customers and now are suing her saying that my gmas company owes them 18,000.00 I'm trying to help out to get this man and wanted to se e if any lawyer knows of FEDERAL OR CA Case law that shows my grandmother had no legal authority to sign her dead husbands name 6 years after his death to incorporate a business he wanted to stay sole proprietorship for his family.
Submitted: 1 year ago.
Category: Estate Law
Expert:  Law Educator, Esq. replied 1 year ago.

Thank you for your question. I look forward to working with you to provide you the information you are seeking for educational purposes only.

CA Code 4152 states any power of attorney, which includes your grandmother's right to sign for her husband, ends with the death of the principle. So she could not legally sign his name to anything after his death, even the same day of his death. Her signature makes the transfer invalid if she had no authority to sign the agreement. The only way she could sign is if probate was conducted and she was made owner of the sole proprietorship and then she could sign as heir of the sole proprietorship.

So, her signature is invalid and what was perpetrated here was also a fraud, which I would hope be part of the suit that she is pursuing them in court over.

Customer: replied 1 year ago.
Well she had no power of attorney authority and we are currently in arbitration heading the last week and go back Monday the arbitrator wants us to show the law that says that and my gmas attorneys have all taken advantage of the situation cuz here we sit 5 years later and 250k in attorney fees and 6 attorneys later two of which were disbarred and this man is trying to take her company from her and I don't want to see that happen to my 80 year old grandmother who did nothing but trust her son in law that ripped her off
Expert:  Law Educator, Esq. replied 1 year ago.

Thank you for your reply.

Actually, she had a common law power of attorney as his spouse. So the same principles apply. That common law PoA ended at his death. So that is where you need to be arguing, proving the signature was after his death, then the CA code saying she could not sign for him after his death and finally, since she could not sign, her signature did not have any legally binding effect to create anything.