Blog Post
Managing Digital Assets and Communications Under Michigan Law
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February 11, 2019
What’s new?
Michigan recently enacted the “Fiduciary Access to Digital Access Act” (the (“Act”). The law specifies rules for disclosure of “digital assets” and “electronic communications”.
What is the purpose of the Act?
The term “digital assets” refers to any electronic record in which a user has a right or interest, which includes most online financial accounts. The Act also covers “electronic communications”, which refers to any writing, data, sounds or images that are transmitted electronically (text, email, Facebook, Twitter, etc.). The purpose of the Act is to prescribe who may have access to digital assets and electronic communications after a person dies or becomes incapacitated.
Why does it matter?
Privacy and access are the main concerns. Most people maintain online accounts for their financial accounts and communications. Account owners may now designate a person to manage those assets on their behalf. With respect to digital assets, that person will be an agent under a power of attorney, executor, or trustee. However, access to the content of electronic communications is restricted unless a person is expressly authorized to receive those records.
What should you do?
If you have not already so, designate an agent, executor, or trustee to handle your affairs upon death or incapacity, and provide them with the location of your digital assets. If you also want to designate a person to manage the content of your electronic communications, then your documents must contain specific authority for that purpose.
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