A client was awarded compensation after an RTA. I've been told the client is eligible to claim ESA but the DWP/JobCentre Plus said his compensation award - which is not held in a trust but is looked after by a Court of Protection Deputy - is taken into consideration and therefore, he's not eligible until it's all been spent. Part of this money was used to purchase a property for client. Is this correct?
I suspect it will depend on the terms under which the Court Of Protection was set up.
The key issue is whether the claimant or those acting on their behalf have authority to dispose of any monies without restriction. For a trust, the claimant does not normally have the direct right to dispose of the funds being held and therefore the monies are disregarded.
From what I can see, someone acting as a Court of Protection Deputy assumes the authority to act on behalf of the claimant in full, this would include disposing of any funds as they see fit, however, if the CofP is more restrictive than this and specifically states how the funds may be disposed of then it may still be possible for the funds to be disregarded,
I suspect that you will need the assistance of a solicitor to understand all off the T&C's.
Gordon
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