QUESTION
What does the trust, estate and the annuity contract mean?
Asked on May 31st, 2013 on Estate Planning - California
More details to this question:
My Dad was a beneficiary of his brother's trust for both the Estate and the Annuity contract which his brother had with a US based insurance company. The Co-Trustee has written to me advising me that unfortunately in my Dad's passing, the Trust and Will for his brother did not provide for a means by which my Dad's estate could continue as a beneficiary. The Trust and the Last Will provide for a re-allocation of the assets to surviving beneficiaries and that also includes the insurance benefits which would have passed to my Dad if he had survived his brother. Can you explain the above to me please as I do not understand the way it is written.
11 ANSWERS
Trusts Attorney serving Sacramento, CA
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Law Office of Victor Waid
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Do yourself a favor and seek the assistance of a estate planning/probate attorney to assist you in the protection of your beneficial interest in your father's trust estate; the question you are asking requires a lawyer to analyze the documents in question.
Answered on Jun 04th, 2013 at 1:22 AM
Corporate/Business Attorney serving Beachwood, OH
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Christine Sabio Socrates Attorney at Law
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Your brother's trust and annuity contract may only state your father a primary beneficiary and may list a contingent beneficiary if your father predeceased his brother. You can request a copy of trust and will from the trustee so you can make sure that it has been interpreted correctly by him.
Answered on Jun 04th, 2013 at 1:22 AM
Business Law Attorney serving Livonia, MI
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Gerald A. Bagazinski
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If the beneficiary is dead, his share gets reallocated among the beneficiaries. I suspect he was the beneficiary of the annuity and the trust or the estate was the alternate annuity. Your father predeceased his brother so he never became the beneficiary. If your dad died after your brother, you should hire an attorney.
Answered on Jun 04th, 2013 at 1:22 AM
Business Planning Attorney serving Livonia, MI
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Frederick & Frederick Attorneys at Law
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You have a complex set of facts and I believe a lawyer is going to need to review all of the documents in question. Are they telling you there is no remaining benefit, or are they telling you that the trust and estate cannot be beneficiaries, but there are individuals who would now be beneficiaries?
Answered on Jun 02nd, 2013 at 11:47 PM
Probate Attorney serving New Orleans, LA
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James G. Maguire
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This is difficult to answer without seeing all of the documents involved. Most likely, your father was a beneficiary during his lifetime, but under the terms of the trust and the annuity, these benefits ceased at his death. Ask to co-trustee for copies of the documents, and read what the have to say about survivorship if one of the beneficiaries predeceases.
Answered on May 31st, 2013 at 11:25 AM
The trust may have provided benefits for your Father, but not for his heirs. It may provide that if Dad predeceased his brother that any rights of Dad lapse and the portion that Dad would have received gets divided among other people, not you. This is not unusual. Your uncle has no duty to leave you anything. He has and had the right to leave his estate to whomever he wants and not to those he did or does not want to receive anything
Answered on May 31st, 2013 at 11:24 AM
Commercial Contracts Attorney serving Boise, ID
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Peters Law, PLLC
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What it means is that, unless you are another beneficiary of the trust or the annuity, you get nothing. Now, if your uncle's estate is the beneficiary and he didn't have any children of his own, you may get something from the estate.
Answered on May 31st, 2013 at 11:24 AM
Generally, a beneficiary's interest requires them to survive the decedent that created the beneficial interest. If the beneficiary does not survive, their interest is handled in accordance with either the trust or the beneficiary designation on the annuity. To know what is happening, you should review the trust and the annuity beneficiary designation.
Answered on May 31st, 2013 at 11:24 AM
Estate Planning Attorney serving Wilmington, DE
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Reger Rizzo & Darnall, LLP
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When someone has a Will or Trust they leave their assets to their beneficiaries. Most people make provisions in their documents, even on insurance policies, for the case where a beneficiary dies before the Trustor or Testator. Some please provide that the gifts would pass to other individuals and not the primary beneficiary's estate. That is what it sounds like happened in this case.
Answered on May 31st, 2013 at 11:23 AM
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It is impossible to explain to you what is going on without seeing the documents. I would certainly sit with an attorney and go over everything. If your father died first, there is a chance the trustee is correct. If you father died after, the trustee is likely not correct but again a review of the documents is necessary to know for sure.
Answered on May 31st, 2013 at 11:23 AM
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I am sorry for your loss. It sounds like your father was only a beneficiary if he survived his brother. That is not an uncommon plan. An example would be I leave my entire estate to my siblings that survive me. That is different from I leave my estate to my sibling and their issue if they fail to survive me. In the second example you would take a partial interest. In the first you do not, unless all of the siblings are deceased, then it is possible that the next level of heirs would take. If you want to confirm that is correct you should have the Will and Trust reviewed by an attorney who can advise you. The Will is a public document. The trust is not, so it may be more difficult to obtain. You may need to petition the court to get an order allowing you to see the terms of trust. Accordingly, it will cost you money to do that unless the Trustee is simply willing to give you a copy. Same goes for the annuity contract. If you are not a beneficiary you are not entitled to see the policy. This information is only intended to give general information in response to an inquiry. It does not establish an attorney client relationship. This response is only based upon the limited facts presented and is merely intended to assist you in determining if you should contact an attorney to provide you with legal advice.
Answered on May 31st, 2013 at 11:23 AM