Estate disputes involving aging parents are often about more than money. Concerns about capacity, powers of attorney, caregiver involvement, large gifts, and allegations of undue influence can create significant conflict within families.
A recent Alberta decision, Buye v. Fisher, 2025 ABKB 501, provides valuable insight into how courts evaluate these issues and what families should understand when questions arise about an older adult's decision-making and estate planning.
The Family Conflict
The case involved Joyce Fisher, a widow in her late 80s who had accumulated substantial assets through business interests, farmland, and investments. After selling farmland for approximately $3.5 million, Joyce made a number of estate-planning decisions and financial transactions that were challenged by one of her daughters.
The dispute involved:
- Enduring Powers of Attorney;
- A Personal Directive;
- Significant gifts to family members;
- Loan forgiveness arrangements;
- A residential living agreement;
- Allegations of elder abuse and undue influence; and
- Claims that Joyce lacked mental capacity.
The Court was asked to determine whether these transactions should be upheld or set aside.
Capacity Is Not an All-or-Nothing Question
One of the most important lessons from the decision is that legal capacity is transaction specific.
A person may have the capacity to make certain decisions while lacking the capacity to make others. Courts examine the particular document or transaction involved rather than applying a single blanket of assessment.
The Court emphasized that capacity requirements can differ depending on whether an individual is:
- Making a Power of Attorney;
- Creating a Personal Directive;
- Entering into a contract;
- Making a gift; or
- Executing a will.
This distinction is especially important when dealing with older adults experiencing some degree of cognitive decline.
Powers of Attorney and Personal Directives Remain Powerful Tools
The Court upheld several Powers of Attorney and a Personal Directive executed by Joyce. The evidence showed that she understood the nature and effect of those documents when they were signed.
In reaching that conclusion, the Court relied on evidence from:
- Lawyers who met with Joyce;
- Medical professionals;
- Capacity assessments; and
- Joyce's own explanations of her wishes and decisions.
For Alberta families, the decision reinforces the value of obtaining proper legal advice and documenting a person's understanding when important planning documents are prepared.
Large Gifts May Face Greater Scrutiny
Not all gifts are treated equally.
The Court distinguished between relatively modest gifts and substantially larger gifts made later. In early 2022, Joyce gave gifts of $100,000 to certain family members. The Court found these gifts were valid because the evidence demonstrated that Joyce understood what she was doing and intended to make the gifts.
However, later gifts totaling $2.5 million were treated differently. Joyce gifted:
- $1 million to one child;
- $1 million to another child; and
- $500,000 to a stepdaughter.
The Court concluded that these transactions were significantly more complex and required a higher level of understanding. Ultimately, the Court found that the recipients failed to establish that Joyce had the necessary capacity to make gifts of that magnitude and ordered repayment.
Allegations of Undue Influence Require Evidence
Many estate disputes include accusations that a family member manipulated or pressured an older adult.
The Court emphasized that undue influence cannot be established through suspicion alone. A family disagreement, a close relationship, or an unexpected outcome does not automatically prove wrongdoing.
To succeed, the person making the allegation must present evidence showing that the older adult's free will was overridden by another person's actions.
In this case, the Court found that the allegations were largely speculative and did not establish actual or presumed undue influence.
Family Disagreements Are Not Necessarily Elder Abuse
A particularly important aspect of the decision is the Court's recognition that family conflict alone does not establish incapacity, exploitation, or abuse.
The evidence showed a significant breakdown in the relationship between Joyce and one of her daughters regarding inheritance expectations and financial matters. Multiple healthcare providers documented Joyce's concerns and stress relating to those conflicts.
The Court ultimately accepted that Joyce was capable of making many of her own decisions and that disagreement with those decisions did not make them invalid.
Why Capacity Assessments Matter
One reason this case is particularly significant is the extensive professional evidence that was available.
The Court considered:
- Capacity assessments;
- Medical records;
- Lawyers' observations;
- Written correspondence;
- Financial records; and
- Evidence from family members.
Those assessments played a critical role in helping the Court determine which transactions should be upheld and which should be set aside.
For families concerned about an aging parent's decision-making ability, obtaining early professional advice may help avoid future disputes and provide clarity when important decisions are being made.
Practical Lessons for Alberta Families
The decision offers several valuable lessons:
- Capacity must be evaluated in relation to the specific transaction involved.
- Older adults are presumed to have capacity unless proven otherwise.
- Detailed records and professional advice often become critical evidence later.
- Large gifts may receive greater judicial scrutiny than smaller gifts.
- Allegations of undue influence require evidence, not suspicion.
- Family conflict does not automatically mean elder abuse or incapacity.
- Well-documented Powers of Attorney and Personal Directives can be extremely valuable.
The Bottom Line
Buye v. Fisher is a reminder that courts strive to balance two important principles: protecting vulnerable older adults from exploitation while also respecting their autonomy and right to make their own decisions.
MerGen Law is Here to Help You
At MerGen Law, we assist clients throughout Alberta with estate planning, Powers of Attorney, Personal Directives, adult guardianship and trusteeship matters, estate administration, and estate litigation. Early legal advice can help families navigate difficult situations and reduce the risk of future disputes.
This article is intended for informational purposes only and does not constitute legal advice. Individuals facing concerns about elder abuse should seek professional advice tailored to their specific circumstances.