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My mom fractured her leg bone, went to hospital got it fixed and wanted to come home. My father said she needed to go to rehab, she didn't want to he used the so called power of attorney and put her in. She is in her right mind. Can he do that?

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The hospital has to make sure they are releasing your mother into a safe situation. They are the ones who said she needed rehab, not your father. It's a medical decision. People can't just drop their elderly family members at the door of a rehab or nursing home. The patient needs to qualify medically for care.

Your dad probably decided that he couldn't provide the care she needs at home. That's usually a good decision.

If your mom improves to the point where she will be safe living at home, then she can be discharged home- whether your father agrees with that or not. Once she is safe to discharge, she'll be discharged.

Having POA doesn't automatically give you the right to choose someone's living situation. But the family also can't take the patient home if they won't be safe there unless they sign a paper saying they are doing it against medical advice.
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When my mom fell, the hospital would not let her come home unless I signed off that I would care for her (which was my intention).   If she needs rehab, and your dad cannot manage the situation, she may have to sign that she is not going to rehab AMA, against medical advice.  She may think twice.  I don't think he had the legal power to do what he did, but I think he did the right thing.   While the PT people came to your house 2-3 times a week, and I think they were very good, unless there is someone who can supervise her exercise and care for her, she is likely to be back in the hospital soon.  I assume this is only for 2-3 weeks?
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Unless she can get good rehab at home and will follow through with it a dedicated rehab facility is a wise choice.
If your dad can not care for her safely then a dedicated rehab facility is the best option.
If your mom can not move safely around the house then rehab is the best option.
All this is until it is safe for her to come home.
If your dad works and your mom would be home alone not able to move around safely then rehab is a safer place for her to be
But if she is cognizant he can not decide to place her in rehab.
Once she is able to move around safely I would think she would be discharged as quickly as possible.
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No. A POA does not give a person (the agent, your dad) the right to dictate any action for the person who assigned the POA (the principal, your mom) unless she is deemed incompetent. Even then the POA must state at what point the agent can make decisions for the principal. The only way your dad can dictate what your mom will do is if he were her guardian. A POA is given by the principal and is not to be used OVER a person but for them.
However, having said that, on a practical note, who will care for your mom at home? Usually doctors don’t order rehab unless a person needs it. Perhaps your father knows that he can’t manage her care himself. The rehab won’t be for very long and she will have to participate or she will be discharged. Is she concerned because of the virus? I can understand her concern. Speak to her doctor and try to help your mom make the best decision for her circumstances.
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No, unless POA is immediate, your Dad had no say. Most POAs are only effective if the person who assigned it is not competent to make decisions.

The hospital should have gone with Moms wishes. She could have therapy at home. But because of the Virus, that probably may not happened.

You may want to make Dad aware that Medicare, if Mom is on it, only pays 100% the first 20 days. 21 to 100 is only 50%. He may have to pay $160 a day even after supplemental pays their share.
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