Wisconsin 2023-2024 Regular Session

Wisconsin Senate Bill SB116 Compare Versions

Only one version of the bill is available at this time.

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3	3	2023 - 2024 LEGISLATURE
4	4	2023 SENATE BILL 116
5	5	March 8, 2023 - Introduced by Senators WIRCH, HESSELBEIN, SMITH, SPREITZER and
6	6	TAYLOR, cosponsored by Representatives SUBECK, BALDEH, BEHNKE, DRAKE,
7	7	JOERS, MOORE OMOKUNDE, OHNSTAD, ORTIZ-VELEZ, PALMERI, SINICKI and
8	8	STUBBS. Referred to Committee on Judiciary and Public Safety.
9	9	AN ACT to create 895.033 of the statutes; relating to: civil cause of action for
10	10	financial exploitation.
11	11	Analysis by the Legislative Reference Bureau
12	12	This bill creates a civil cause of action for financial exploitation of a vulnerable
13	13	person. The bill defines the term “vulnerable person" to include persons who are
14	14	elderly, financially incapable, or incapacitated or those with a disability who are
15	15	susceptible to force, threat, duress, coercion, persuasion, or physical or emotional
16	16	injury because of a physical or mental impairment. Under the bill, an action for
17	17	injury or damages suffered by reason of financial exploitation may be brought
18	18	against a person who has caused the financial exploitation or allowed another person
19	19	to engage in the financial exploitation by 1) the vulnerable person who suffered the
20	20	alleged financial exploitation; 2) a guardian or conservator for the vulnerable person;
21	21	3) a personal representative for the estate of a decedent who was the vulnerable
22	22	person when the cause of action arose; or 4) a trustee for a trust on behalf of either
23	23	a trustor who is the vulnerable person or the spouse of a trustor who is the vulnerable
24	24	person.
25	25	The bill provides that an action may be brought if a person wrongfully takes or
26	26	appropriates money or property of a vulnerable person, without regard to whether
27	27	the person taking or appropriating the money or property has a fiduciary
28	28	relationship with the vulnerable person. An action may also be brought under the
29	29	bill in certain circumstances if a vulnerable person requests the transfer of money
30	30	or property that is held in trust and the other person, without good cause, either
31	31	continues to hold the money or property or fails to take reasonable steps to make the
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35	35	SENATE BILL 116
36	36	money or property readily available to the vulnerable person. The bill also allows
37	37	for an action against a person for permitting another person to engage in financial
38	38	exploitation if the person knowingly acts or fails to act under circumstances in which
39	39	a reasonable person should have known of the financial exploitation.
40	40	Under the bill, a court must award a person who brings a successful action
41	41	enhanced damages, attorney fees, and reasonable fees for any necessary services of
42	42	a conservator or guardian ad litem.
43	43	For further information see the state and local fiscal estimate, which will be
44	44	printed as an appendix to this bill.
45	45	The people of the state of Wisconsin, represented in senate and assembly, do
46	46	enact as follows:
47	47	SECTION 1. 895.033 of the statutes is created to read:
48	48	895.033 Financial exploitation of a vulnerable person. (1) In this
49	49	section:
50	50	(a) “Elderly person" means a person 65 years of age or older.
51	51	(b) “Financially incapable person" means a person who is unable to manage his
52	52	or her financial resources effectively for reasons including mental illness,
53	53	intellectual disability, physical illness or disability, chronic use of drugs or controlled
54	54	substances, chronic intoxication, confinement, detention by a foreign power, or
55	55	disappearance.
56	56	(c) “Incapacitated" has the meaning given in s. 701.0103 (12).
57	57	(d) “Noneconomic damages" has the meaning given in s. 893.55 (4) (a).
58	58	(e) “Person with a disability" means a person with a physical or mental
59	59	impairment that has all of the following characteristics:
60	60	1. Is likely to continue without substantial improvement for no fewer than 12
61	61	months or to result in death.
62	62	2. Prevents performance of substantially all of the ordinary duties of
63	63	occupations in which an individual not having the physical or mental impairment is
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83	83	SECTION 1
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85	85	capable of engaging, having due regard for the training, experience, and
86	86	circumstances of the person with the physical or mental impairment.
87	87	(f) “Vulnerable person" means any of the following:
88	88	1. An elderly person.
89	89	2. A financially incapable person.
90	90	3. An incapacitated person.
91	91	4. A person with a disability who is susceptible to force, threat, duress, coercion,
92	92	persuasion, or physical or emotional injury because of the person's physical or mental
93	93	impairment.
94	94	(2) Any of the following persons may, on behalf of a vulnerable person who
95	95	suffers injury or damage by reason of financial exploitation, bring an action under
96	96	this section against a person who has caused the financial exploitation or has
97	97	permitted another person to engage in the financial exploitation:
98	98	(a) The vulnerable person.
99	99	(b) A guardian or conservator for the vulnerable person.
100	100	(c) A personal representative for the estate of a decedent who was the
101	101	vulnerable person at the time the cause of action arose.
102	102	(d) A trustee for a trust on behalf of any of the following:
103	103	1. A trustor who is the vulnerable person.
104	104	2. The spouse of a trustor who is the vulnerable person.
105	105	(3) An action may be brought under this section for financial exploitation of a
106	106	vulnerable person if any of the following circumstances exist:
107	107	(a) A person wrongfully takes or appropriates money or property of a
108	108	vulnerable person, without regard to whether the person taking or appropriating the
109	109	money or property has a fiduciary relationship with the vulnerable person.
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136	136	SECTION 1 SENATE BILL 116
137	137	(b) A vulnerable person requests that another person transfer to the vulnerable
138	138	person any money or property that the other person holds or controls and that
139	139	belongs to or is held in express trust, constructive trust, or resulting trust for the
140	140	vulnerable person, and the other person, without good cause, either continues to hold
141	141	the money or property or fails to take reasonable steps to make the money or property
142	142	readily available to the vulnerable person when all of the following are true:
143	143	1. The other person or someone acting in concert with the other person acquires
144	144	ownership or control of the money or property in whole or in part from the vulnerable
145	145	person.
146	146	2. The other person acts in bad faith, or knew or should have known of the right
147	147	of the vulnerable person to have the money or property transferred as requested or
148	148	otherwise made available to the vulnerable person.
149	149	(4) A person may bring an action under this section against a person for
150	150	permitting another person to engage in financial exploitation of a vulnerable person
151	151	if the person knowingly acts or fails to act under circumstances in which a reasonable
152	152	person should have known of the financial exploitation.
153	153	(5) A transfer of money or property that is made for the purpose of qualifying
154	154	a vulnerable person for Medical Assistance benefits or for any other state or federal
155	155	assistance program, or the holding and exercise of control over money or property
156	156	after such a transfer, does not constitute a wrongful taking or appropriation under
157	157	sub. (3) (a) or the holding of money or property without good cause under sub. (3) (b).
158	158	(6) The court shall award all of the following to a plaintiff who prevails in an
159	159	action under this section:
160	160	(a) An amount equal to 3 times all economic damages resulting from the
161	161	financial exploitation, or $500, whichever amount is greater.
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189	189	SECTION 1
190	190	SENATE BILL 116
191	191	(b) An amount equal to 3 times all noneconomic damages resulting from the
192	192	financial exploitation.
193	193	(c) Notwithstanding s. 814.04 (1), reasonable attorney fees incurred by the
194	194	plaintiff.
195	195	(d) Reasonable fees for the services of any conservator or guardian ad litem
196	196	incurred by reason of the litigation of a claim brought under this section.
197	197	(END)
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