When a parent needs help due to dementia or vulnerability, it is very common for one child to take care of “the finances.” This is often done on the basis of a general (notarial) power of attorney. This can go well, but in practice, questions often arise after death: where did the money go, and does the attorney-in-fact have to explain this to the other heirs?

A fairly recent ruling by the Court of Appeal in 's-Hertogenbosch on September 9, 2025 (ECLI:NL:GHSHE:2025:2457) shows that judges are cautious in family relationships, but that this caution also has clear limits.

What is accountability?

Accountability means providing insight into the financial management (what has been paid, why, with what evidence) so that the entitled party, or after death the (co-)heirs, can assess whether the management was proper.

With a general power of attorney, the attorney-in-fact may act on behalf of the principal. But a power of attorney is not a carte blanche. Certainly not if the attorney-in-fact also makes payments to himself or his family. This quickly leads to the prohibition of “Selbsteintritt”: acting as a representative and at the same time as the other party. In principle, this is not permitted, unless the power of attorney expressly allows it or the content of the legal act is such that a conflict of interest is ruled out (Article 3:68 of the Dutch Civil Code).

The law and management based on power of attorney in relation to an estate.

The duty of accountability may arise from the law, from agreements, or from unwritten law. In 2014, the Supreme Court explained that this depends heavily on the circumstances, such as: why the administration was carried out, the relationship between the parties, what was customary, how much freedom the administrator had, and whether the entitled party was still able to supervise the administration.

In inheritance matters, tort (Article 6:162 of the Dutch Civil Code) often plays a role if funds have been withdrawn without justification or in the event of a settlement/liquidation in the distribution of the estate, for example if an heir has to repay the estate on balance instead of receiving anything.

Case law: the ruling of September 9, 2025

In this case, one son had had a general notarial power of attorney since 1994. From 2012 onwards, the mother stayed in a closed ward with intensive dementia care. The CIZ indication decision showed that she was no longer able to manage her money and administration independently. The court concluded from this that she was also no longer able to oversee her financial situation.

It is important to note that the court expressly states that legal incapacity does not automatically mean that there is always a full duty of accountability. According to the court, restraint is appropriate due to the family relationship, the long-term power of attorney, and the informal care provided.

According to the court, this restraint ceases when: .

• the proxy performs financial transactions for the benefit of himself or his family, or
• the nature/scope of the transactions do not fit in with the normal spending pattern of the principal.

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This case involved large transfers, frequent (high) ATM withdrawals, and expenses that far exceeded the monthly income. The proceeds from the sale of the house (more than €83,000) also evaporated within approximately 20 months. The court found this so exceptional that the son had to account for (almost) the entire amount.

The son refused to provide the requested explanation, citing privacy. The court did not agree with this. With such amounts and such a pattern, it would have been appropriate to substantiate what had happened to the money with verifiable records (receipts, statements, explanations). In the absence of such records, the court ruled that there had been unlawful withdrawals (and, in the case of transactions in violation of Article 3:68 of the Dutch Civil Code, nullity).

Comparison: when no obligation is assumed

In contrast, on May 30, 2023 (ECLI:NL:GHAMS:2023:1215), the Amsterdam Court of Appeal ruled that in that case there was no obligation to render account, because there was insufficient evidence of expenditure outside the normal pattern and/or circumstances that justified an accountability obligation.

The bottom line is that not every power of attorney in the family ends in an accountability procedure. The tipping point is often found in unusual, large, or cash flows and the lack of proper administration.

Practical advice for heirs and proxies

• Clearly define the power of attorney: ensure that there is a written, preferably notarized power of attorney stating what the proxy is and is not allowed to do, and how he must document expenses.
• Keep clear records: keep bank statements, invoices, and receipts, and make periodic overviews of income and expenses for the principal. Use cash as little as possible; it is almost impossible to check afterwards.
• Make written agreements about expense allowances (what, how often, with what justification).
• Be extremely cautious with expenses that (also) affect your own interests; check Article 3:68 of the Dutch Civil Code (no conflict of interest) and, if necessary, have the power of attorney/living will amended accordingly.
• Inform co-heirs in good time: it is advisable to keep brothers and sisters broadly informed of the financial situation while the parent is still alive in order to prevent mistrust.
• Make agreements about accountability: stipulate that the proxy, for example, must provide an annual financial overview and that the accounts must be made available for inspection on request.
• Be cautious with gifts: as a proxy, do not simply make gifts from your parent's assets unless there is a clear, documented wish and legal basis for doing so.
• Act quickly after death: as a co-heir, it is wise to ask for clarity about the management of the estate at an early stage, so that information is still available and discussions do not become unnecessarily heated.
• Seek legal assistance in good time: in the event of unclear or missing accountability, it may be necessary to seek accountability or recover damages through the courts.
• Consider timely measures such as administration/mentorship or an amended living will, so that supervision is better organized.

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Conclusion

The ruling of September 9, 2025 confirms a nuanced line: judges are cautious about imposing accountability within families, especially in the case of informal care. However, as soon as cash flows deviate from the normal spending pattern or (the appearance of) self-favoritism arises, transparency is enforced—and this can lead to repayment obligations to the estate.

Contact

Anyone who, as an heir, has doubts about the management of the estate or who, as an attorney-in-fact, wants to properly assess their position and risks, would be wise to seek expert advice in good time. For questions about powers of attorney, estates, accountability, and procedures between heirs, please contact Angelique van den Eshoff, who specializes in personal and family law and inheritance law, via SPEE advocaten & mediation in Maastricht. She will be happy to work with you to find a suitable and, if possible, solution-oriented approach.