Article 37. Disposal of the Ward's Property

1. The guardian or trustee shall dispose of the ward's incomes, including the incomes which are due to the ward as a result of the disposal of his/her property, except for the income which the ward is entitled to dispose of independently, solely in the ward's interests and by a preliminary approbation of the body responsible for guardianship and trusteeship. The amounts of the alimony, pensions, allowances, compensation for the harm caused to the health thereof and for the harm in connection with the death of breadwinner, as well as other assets paid for the ward's maintenance, except for incomes which the ward is entitled to dispose of independently, are subject to entering onto a separate nominal account to be opened by the guardian or trustee in compliance with Chapter 45 of this Code and shall be spent by the guardian or trustee without a preliminary authorisation of the body responsible for guardianship and trusteeship. The guardian or trustee shall submit a report on spending the amounts entered onto a separate nominal account in the procedure established by the Federal Law on Guardianship and Trusteeship.

2. The guardian shall not have the right to effect, and the trustee - to give his consent to effecting, the deals, involved in the alienation of the ward's property, including in the exchange or making a gift of it, in leasing it out (renting it), in giving it into a gratuitous use or in pawning it, or to effect the deals, entailing the renouncement of the rights possessed by the ward, the division of his property into parts or the apportioning of shares out of it, as well as any other actions which would entail the reduction of the ward's property. 

The procedure for managing the property of a ward is defined by the Federal Law on Custodianship and Guardianship.

3. The guardian, the trustee, their spouses and close relations shall have no right to effect any deals with the ward, with the exception of those involved in giving their own property to the ward as a gift or into a gratuitous use, or to substitute the ward in signing the deals or in conducting the court proceedings between the ward and the guardian's or the trustee's spouse and their close relations.

4. The guardian is entitled to dispose of the property of the citizen declared legally incapable relying on the ward's opinion or, where it is impossible to learn this, subject to the information received from the parents and former guardians thereof, as well as from other persons who have rendered services to him/her and have discharged their duties in good faith.