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№ 22 Wills & Estates

How Mental Capacity Is Assessed in Newfoundland and Labrador

See who decides capacity in Newfoundland and Labrador, how the tests differ for health care and property, and what happens after a finding of incapacity.

Wills & Estates5 min readTSLBy the Treadstone Law Team · Newfoundland and LabradorUpdated November 1, 2026
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Key takeaways
  • Capacity is not decided in one place: a doctor, the court or physicians under mental health law may decide depending on the question.
  • For health care decisions, a person 16 or older is presumed competent, and a finding of incompetence can be challenged.
  • An enduring power of attorney is not ended just because the donor later becomes legally incapacitated, though a court can still substitute an attorney or order accounts.

When a parent becomes confused, families often ask who can officially say whether they can still make decisions. In Newfoundland and Labrador there is no single capacity test that applies to everything. Who decides, and by what standard, depends on whether the question is about health care, money and property, or a hospital admission.

This article walks through the main routes in plain language, what happens after a finding, and the practical steps a family can take. It is general information, and a lawyer can help you apply it to your own family.

This article covers the law of Newfoundland and Labrador.

Capacity depends on the question being asked

Capacity is specific to the decision. Someone may be able to choose their own medical treatment but struggle to manage complicated finances, or the other way around. That is why different laws give the decision to different people.

QuestionWho decidesLaw
Health care decisionsThe maker's doctor, with a right to a second opinionAdvance Health Care Directives Act
Managing property and affairsThe courtMentally Disabled Persons' Estates Act
Involuntary hospital admissionPhysicians, nurse practitioners and psychiatrists, with review by a boardMental Health Care and Treatment Act

Capacity to make a will is a separate question from these, and how it applies to a particular will depends on the facts, so it is worth confirming with a lawyer. A person who opposes a grant of probate can enter a caveat in the registry, and the court may require a will to be proved in solemn form.

Health care decisions

Under the Advance Health Care Directives Act, a person 16 or older is presumed competent. Competence means being able to understand information relevant to a health care decision and its foreseeable consequences.

The maker's doctor makes and records a finding of incompetence, and must tell the maker of the right to contest it. If the maker chooses a second doctor who finds them competent, that finding prevails. A challenge goes to the Trial Division within 30 days.

If no substitute has been appointed, the decision maker is chosen from a list that starts with the spouse, then children, parents, siblings and other relatives, ending with the responsible health care professional, and each must be at least 19. A directive must be written, signed and witnessed by at least 2 independent persons.

Money and property: the court's role

Under the Mentally Disabled Persons' Estates Act, the court may declare a person incapable of managing their affairs because of mental infirmity from disease, age, habitual drunkenness, drug use or another cause. The court decides. The applicant can be an interested person, a claimant or the person responsible for the person's care.

The court may then appoint a guardian of the estate. The guardian must file an inventory within 6 months and account to the court, a new guardian may be appointed for good cause, and when the guardian is discharged the property is revested. The Public Trustee manages finances only and does not generally make medical decisions. If the court finds the person has regained capacity, the assets are returned.

For involuntary admission to hospital, the Mental Health Care and Treatment Act requires a first certificate signed by a physician, nurse practitioner or authorized person and a second certificate by a psychiatrist, or another physician if no psychiatrist is readily available. A Mental Health Care and Treatment Review Board hears applications.

Planning ahead with an enduring power of attorney

Signing an enduring power of attorney while still capable is one way to plan ahead, and how it interacts with any court application depends on your situation, so it is worth confirming with a lawyer. It must be signed by the donor, countersigned by a qualifying witness who cannot be the attorney or the attorney's spouse or cohabiting partner, and be exercisable during legal incapacity. The attorney must be 19 or older.

What to do next

If the family disagrees about whether a parent has capacity, getting legal advice early can prevent a dispute from growing.

Frequently asked questions

Who can say that my parent lacks capacity?

It depends on the decision. For health care, the maker's doctor makes and records the finding. For managing property, the court decides.

Can my parent challenge a finding of incompetence?

Yes, for health care decisions. The doctor must tell the maker of the right to contest, and a second doctor chosen by the maker prevails if finding them competent. A challenge goes to the Trial Division within 30 days.

Who looks after my parent's money if they lose capacity?

If they signed an enduring power of attorney, the attorney can continue to act. If not, the court may appoint a guardian of the estate. The Public Trustee manages finances only and does not generally make medical decisions.

Can capacity come back after a guardianship order?

The Public Trustee notes that if the court finds the person has regained capacity, assets are returned. On discharge of a guardian, the property is revested. A lawyer can explain how to apply.

Sources

Links go to official government, court and regulator pages. The law changes — confirm you are reading the current version.

This article is general information, not legal advice. Reading it does not create a lawyer-client relationship. Newfoundland and Labrador laws, tax rates, and government programs change, and how the law applies depends on your specific facts. For advice about your situation, speak with a lawyer who practises in Newfoundland and Labrador. Reach us at 1-844-900-1070 or send our Team a message.

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