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Is Japan Ready for Enduring Powers? A Comparative Analysis of Enduring Powers Reform

Published online by Cambridge University Press:  29 May 2015

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Abstract

This article seeks to understand why the uptake of “third generation” enduring powers in Japan has been disappointing from the perspective of reformers who introduced the powers in 2000. In addition to questions about optimum design of this particular legal instrument, it is an opportunity to explore deeper questions about regulation and the role of law and the market in ageing, post-industrial societies such as Japan. First, the article explains the form that enduring powers take in Japan. Second, it presents statistics on the uptake of enduring powers. Third, the article presents possible reasons for this low uptake, including unsuitable social norms, a lack of awareness, excessive regulation, unresponsive doctrine, and entrenched judicial values. Finally, the article concludes that while these reasons all have explanatory value and are not easily disaggregated, comparative analysis presents some promising developments in Japan such as the growth in candidates to take on enduring powers who are regulated and organised through legal professions, civil society, local government, and the court system. At a deeper level, the article concludes that the fate of enduring powers turns not only on regulatory and doctrinal levers but also on the relative strengths within Japan’s continuing legal development of divergent views on the imposition of formal legal norms and market mechanisms upon relationships previously regulated by informal social norms or administrative decree.

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Articles
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Copyright © Faculty of Law, National University of Singapore 2014

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References

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3 Eleven percent of Australians according to Victorian Parliament Law Reform Committee, Inquiry into Powers of Attorney (2010) 21, citing the House of Representatives Standing Committee on Legal and Constitutional Affairs, Older People and the Law, The Parliament of the Commonwealth of Australia (2007) 71, citing Office of the Public Advocate, Queensland Government, submission 76 to the House of Representatives Standing Committee on Legal and Constitutional Affairs, Parliament of Australia, Inquiry into older people and the law (2006), 7; New Zealand Law Reform Commission, Misuse of Enduring Powers of Attorney, Report No 71 (2001) 5.

4 45% of persons aged 50 or older: AARP Research Group, Where There Is a Will: Legal Documents among the 50+ Population, Findings from an AARP Survey (2000) <http://assets.aarp.org/rgcenter/econ/will.pdf> 5 (last accessed 4 October 2013).

5 Arai, Makoto, “Reconsidering the Voluntary Guardianship System and its Raison D’être (nin’i kouken seido no sonzaiigi, saikou)” (2013) 45 Jissen Seinenkouken 4 Google Scholar, 8.

6 Ibid.

7 See Breaux, John B. & Hatch, Orrin G., “Confronting Elder Abuse, Neglect, And Exploitation: The Need For Elder Justice Legislation” (2003) 11 Elder L.J. 207 Google Scholar, 263; Hall, Margaret, “Equitable Fraud: Material Exploitation In Domestic Settings” (2006) 7 Elder Law Review 4 Google Scholar; New Zealand Law Reform Commission (2001), supra note 3 at 5.

8 The two main Acts were the Act to Partially Revise the Civil Code (minpou no ichibu o kaisei suru houritsu), Act no. 149 of 1999 and the Act on Voluntary Guardianship Contracts (nini kouken keiyaku ni kansuru houritsu), Act no. 150 of 1999.

9 Civil Code (minpou) Act no. 89 of 1896, s. 7

10 Ibid., s. 25.

11 Ibid., s. 9, s. 120(1), s. 859(1).

12 The term “curator” is derived from the civil law tradition, which has traditionally had a more gradated concept of guardianship: Okamura, Mihoko, “The Adult Guardianship System (seinen kouken seido) ”, in National Diet Library, ed., Declining Fertility, Ageing and Countermeasures (shoushi koureika to sono taisaku) (Tokyo: National Diet Library Publications, 2005) at 198 Google Scholar, 200.

13 Civil Code, s. 11. Note that this translation differs from official version. The same parties may apply for appointment as those who may apply for guardianship.

14 Civil Code, s. 13 (Acts Requiring Consent of Curator) states: (1) A person under curatorship must obtain the consent of his/her curator if he/she intends to perform any of the following acts…: (i) receive or use any [principal fund which can bear dividends or interest], (ii) borrow any money or guarantee any obligation, (iii) perform any act with the purpose of obtaining or relinquishing any right regarding real estate or other valuable property, (iv) take any procedural action, (v) make a gift, make any settlement, or agree to arbitrate…, (vi) accept or renounce any inheritance, or partition any estate, (vii) refuse an offer of a gift, renounce any bequest, accept the offer of gift with burden, or accept any bequest with burden, (viii) effect any new construction, renovation, expansion, or major repairs; or (ix) make any lease agreement…, (2)… the family court may make an order that the person under curatorship must obtain the consent of his/her curator even in cases he/she intends to perform any act other than those set forth in each item of the preceding paragraph; provided, however, that this shall not apply to [any act relating to daily life, such as the purchase of daily household items], (3) [The court may consent to an act in lieu if the curator’s consent], (4) An act which requires the consent of the curator may be rescinded if it was performed without such consent[.]

15 Civil Code, s. 876-4 (Order Granting Power of Representation to Curator), states: (1)… the family court may make an order that grants power of representation to the curator, concerning specified juristic acts for the person under curatorship, (2) An order referred to in the preceding paragraph made upon the application of any person other than the person under curatorship shall require the consent of the person under curatorship, (3) The family court may rescind an order referred to in paragraph 1 in whole or in part[.]

16 Civil Code, s. 15(1). The same parties may apply for appointment as those for guardianship.

17 Ibid., s. 15(2). The person receiving assistance may request the family court to overrule, increase, reduce or remove the assistant’s authority. If an assistant no longer has any agency or revocation right, the order comes to an end ensuring that only people who need legal protection are subject to an order. Civil Code (minpou) s. 17 (Order Requiring Person to Obtain Consent of Assistant) states: (1)… the family court may make the order that the person under assistance must obtain the consent of his/her assistant if he/she intends to perform any particular juristic act; provided, however, that the act for which such consent must be obtained pursuant to such order shall be limited to the acts [a curator is permitted to perform] provided in paragraph 1 of Article 13, (2) The order set forth in the preceding paragraph at the request of any person other than the person in question shall require the consent of the person in question, (3) [The court may consent to an act in lieu of the assistant’s consent], (4) An act which requires the consent of the assistant may be rescinded if it was performed without such consent[.]

18 Ibid., s. 13(1), s. 17(1).

19 Ibid., s. 17(4).

20 With the exception of making a bequest or acknowledging a child. Civil Code, s. 876-9 (Order Granting Power of Representation to Assistant), states: (1)… an assistant, or a supervisor of an assistant, the family court may make an order that grants power of representation to the assistant, concerning specified juristic acts for the person under assistance, (2) The provisions of paragraph 2 [individual’s consent required] and paragraph 3 [court may rescind] of Article 876-4 shall apply[.]

21 The legal status of the contract is regarded as a “contract for mandate” (i’nin keiyaku). In voluntary guardianship, this contract for mandate grants complete or partial agency over activity of a legal nature regarding health, nursing care, and management of property for a person who has insufficient decision-making capacity through a mental cause. Unlike a statutory guardian, the exact content of that agency depends on the individual contract. If the guardian is an attorney, for example, the contract might permit litigation to recover debts etc.

22 Act on Voluntary Guardianship Contracts (nin’i kouken keiyaku ni kansuru houritsu), Act no. 150 of 1999, art. 4(1).

23 Although s. 120 of the Civil Code, providing for revocation rights for “cooling off” periods, may be applicable to voluntary guardians.

24 Japan National Notaries Association website: <http://www.koshonin.gr.jp/nin.html> (last accessed 4 October 2013).

25 Ibid.

26 Ministry of Justice website: <http://houmukyoku.moj.go.jp/yamagata/static/kaitei0401.pdf> (last accessed 4 October 2013).

27 Act on Voluntary Guardianship Contracts, s. 4(1).

28 Supreme Court of Japan website: <http://www.courts.go.jp/tokyo-f/saiban/koken/ninigoken_mousitake> (last accessed 4 October 2013).

29 Civil Code (minpou), Act no. 9 of 1898 s. 862.

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32 Supreme Court of Japan, Summary of Adult Guardianship Related Cases (seinen kouken kankei jiken no gaikyou) <http://www.courts.go.jp/about/siryo/kouken.html> (last accessed 4 October 2013). Although the number of applications in 2007 (April 2007–April 2008) dropped by about 23% from the previous year, this aberration can be explained by a national program in 2006 related to the Disability Autonomy Support Act (shougaisha jiritsu shien hou) Act no. 123 of 2005, which caused a spike in the application for persons with severe disabilities.

33 Victorian Parliament Law Reform Committee, supra note 3 at 21; AARP Research Group (2000), supra note 4 at 5.

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58 For example, the influence of the financial world in skewing trust law reform towards commercial, securitisation purposes: ibid., 220.

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63 Starnes (1996), supra note 60 at 220.

64 Ibid., 215.

65 Ryan (2006), supra note 56 at 207; Kobayashi, Toru, “The Potential of the Civil Trust in an Ageing Society (koureishakai to minjishintaku no kanousei)”, in Arai, Makoto, ed., Fundamentals and Practice of Trust Law (shintakuhou no kiso to unyou) (Tokyo: Nihon Hyouronsha, 2007) at 150 Google Scholar, 159.

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67 Karp & Wood (2007), supra note 61 at 184-191; Grabosky (2007), supra note 61 at 544.

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69 Jinno (2011), supra note 34 at 2.

70 Ibid., 3, 6.

71 Doron, Israel, “Elder Guardianship Kaleidoscope: A Comparative Perspective” (2002) 16(3) Int’l J.L. Pol’y & Fam. 368 CrossRefGoogle Scholar, 378.

72 Okamura (2005), supra note 12 at 202.

73 Nakayama (2011), supra note 48 at 401.

74 Arai (2013), supra note 5 at 4.

75 Nakayama (2011), supra note 48 at 401.

76 Akanuma (2013), supra note 68 at 82.

77 Supreme Court of Japan statistics: <http://www.courts.go.jp/about/siryo/kouken> (last accessed 4 October 2013).

78 Onuki (2005), supra note 53 at 22.

79 Ibid, 23. The organisation’s website URL is <http://www.legal-support.or.jp> (last accessed 4 October 2013).

80 Ibid., 23-27.

81 Ibid., 23.

82 Ibid., 23.

83 Ibid., 25.

84 See <http://www.legal-support.or.jp/public> (last accessed 4 October 2013).

85 Unspecified, “Fostering Citizen Guardians and Supporting Their Activities (shimin koukennin no yousei to katsudou shien)” (2012) 9 Kaigo Hoken Jouhou 6, 6-14.

86 Elderly Welfare Act (roujin fukushi hou) Act 133 of 1963, s. 32-2.

87 Supreme Court of Japan statistics.

88 “Property of the Elderly Targetted (rougo no zaisan ga nerawareru)”, NHK Close-up Gendai (22 May 2008).

89 Jinno (2011), supra note 34 at 10.

90 Germany’s BGB s. 1908f states: “(1)An association having legal personality may be recognised as a custodianship association if it guarantees that it 1. has a sufficient number of suitable employees and will supervise and give further education to these and insure them appropriately for damage that they may cause to others in the course of their activity, 2. methodically endeavours to acquire voluntary custodians, introduces them to their tasks, gives them further education and advises them and authorised representatives, 2a. methodically gives information on enduring powers of attorney and custodianship orders, 3. enables an exchange of experience between the employees.”

91 See Fukui, Kouta, “Can Commercial Guardianship and Asset Management Suffice? A Report on Victoria, Australia’s State Trustees Company (seinen kouken zaisan kanri wa eiri jigyou tariuruka? Ousutoraria bikutoria shuu no State Trustees sha no chousa houkoku)” (2007) 28 Shintaku kenkyuu shoureikin ronshuu 110.Google Scholar

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98 Bueno, Julia Calvo, “Reforming Durable Power of Attorney Statutes to Combat Financial Exploitation of the Elderly” (2003) 16 National Academy of Elder Law Attorneys Quarterly 20 Google Scholar, 21; Smith, Robert, “Evaluating the Donor’s Competence to Sign an Enduring Power of Attorney” (1996) 4 Journal of Law and Medicine 82 Google Scholar, 82-83.

99 Akanuma (2013), supra note 68 at 80.

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101 Civil Code (minpou) Act no. 89 of 1896, s. 653.

102 Arai (2005), supra note 100 at 7.

103 Nakayama (2011), supra note 48 at 403.

104 Akanuma (2013), supra note 68; Arai (2005), supra note 100 at 7.

105 Nakayama (2011), supra note 48 at 43.

106 See O’Neill, Nick and Peisah, Carmelle, Capacity and the Law (Sydney: Sydney University Press, 2012)Google Scholar, <http://www.worldlii.org/au/journals/SydUPLawBk/2011/12.html> (last accessed 4 October 2013) 10.3, 10.4.

107 Ibid.

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110 Ryan (2006), supra note 56 at 225.

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114 Arai (2013), supra note 5 at 11.

115 Alexander (1998), supra note 93 at 656. Terry R. Carney & David Tait, The Adult Guardianship Experiment: Tribunals and Popular Justice (Leichhardt: Federation Press, 1997) at 197.

116 Arai (2013), supra note 5 at 9.

117 Ibid.

118 Ibid.

119 Ibid, 10.

120 Supreme Court of Japan statistics.

121 Act on Voluntary Guardianship Contracts (nini kouken keiyaku ni kansuru houritsu), Act no. 150 of 1999, s. 10.

122 Nakayama (2011), supra note 48 at 404.

123 Akanuma (2005), supra note 53 at 20.

124 Kobayashi & Otaka (2000), supra note 30 at 74.

125 Nakayama (2011), supra note 48 at 404.

126 Ibid.

127 Dworkin, Ronald, Life’s Dominion: An Argument about Abortion, Euthanasia and Individual Freedom (New York: Alfred A. Knopf, 1993) at 221229.Google Scholar

128 Dworkin, Ronald, Law’s Empire (Cambridge, MA: Belknap Press, 1986)Google Scholar, chapter 7.

129 Dworkin (1993), supra note 127 at 221-229.

130 See for example, Channick, Susan Adler, “The Myth of Autonomy at The End-of-Life: Questioning The Paradigm of Rights” (1999) 44 Villanova Law Review 577 Google Scholar; Walker, Sarah, “Autonomy or Preservation of Life? Advance Directives and Patients with Dementia” (2011) 17 University College London Jurisprudence Review 100 Google Scholar; Dresser, Rebecca, “Dworkin on Dementia: Elegant Theory; Questionable Practice” (1995) 25 Hastings Centre Report 32 CrossRefGoogle Scholar; Donnelly, Mary, “Best Interests, Patient Participation and The Mental Capacity Act 2005” (2009) 17 Medical Law Review 25.Google ScholarPubMed

131 Channick (1999), supra note 130 at 631; Walker (2011), supra note 130 at 115.

132 Channick (1999), supra note 130 at 624.

133 Ibid., 631.

134 For a useful explanation of supported decision-making, see Dinerstein (2012), supra note 2.

135 Foote (1996), supra note 109 at 638; Hiroshi Oda, Japanese Law, 2nd ed. (Oxford: Oxford University Press, 1999) at 9-11.

136 Uchida & Taylor (2007), supra note 41 at 474.