Father Undergoing Mental Health Crisis, Bought Truck And Totaled It A Week Later. Accounts Are Locked. Does He Have Any Options?

Location: Oregon, USA

My father is diagnosed bi-polar and is currently in the midst of a manic episode. His family and psychiatrist have been trying to get him into in-patient treatment for weeks, but he is not willing to get that kind of help.

After losing his car downtown, he decided to buy "the truck of his dreams." He "purchased" a used truck for >$80k from a dealer intending to pay cash. They let him take the vehicle before securing payment.

A week after taking possession of the truck, he has totaled it in a 2-vehicle collision in which he was certainly at fault. It is currently impounded at a police station. I don't believe the truck was on his insurance policy yet, but he has "the next step above basic liability coverage" on his other vehicle. I don't expect this will help cover any costs.

My father is retired. His only income is from a Fidelity IRA that pays out monthly. He does technically have enough in his account to pay for it, but it is not realistically within his means. Because of his current mental state and several requests to withdraw hundreds of thousands and dollars from his retirement account, Fidelity has restricted his accounts so no money can come out without approval from someone appointed as power of attorney. He's asking my brother to be in that role, and to sign off on a $100k withdrawal to pay for the truck. For now my brother is refusing to agree to release the money if given power of attorney.

My brother and I were trying to talk to my father and the dealer to undue the deal. It is obvious that my father is not acting rationally. I was a bit shocked that they sold him a vehicle after some of the things he said to them, let alone let him take it before receiving payment or securing financing. I called the dealer and spoke with a sales manager to let them know of my father's mental health situation and that the promised cash to pay for the truck was restricted and not available, and they brushed me off. And now that the truck is totalled, I'm not sure what can be done.

Is there any liability from the dealer side for their part in this deal? Would they have insurance that could help with any of this? What happens if whomever has power of attorney refuses to release funds?