Trusts Legal Questions

The cost of an estate plan which would include a revocable trust (also called a living trust), will, power of attorney and health care directive for one individual will likely be around $1,500 - $2,000. It depends on the size of the estate and how many assets need to be re-titled into the trust once it is created. The lawyer should help with this task after the trust is created.  Hope that is helpful. John Sorlie Bryant, Lovlien & Jarvis Bend, Oregon... Read More

It sounds like you have some basic misconceptions about how a trust functions.  When someone sets up a revocable living trust (RLT) the person in charge of the trust (Trustee), is normally you.  The attorney is usually only involved in setting up the trust, or modifying it.  If you would like a professional fiduciary to manage the trust, you are certainly free to do that, but there are ongoing costs.  Additionally, many national companies have a trust department that can handle this.  Overall, you may benefit from an inperson consultation with an estate planning attorney who can clearly explain everything and even discuss if a trust is worth it for you. Best of luck.... Read More

Good Morning: There is a lot of nuance in your question.  Did your mother-in-law establish and document this debt with her son on the one house?  Does he have possession of the property?  Is there any documentation in the Trust that dictates the son must pay for the home or the gift goes to someone else (in this case possibly the other brother)? If there is no language in the Trust or documentation from the mother that the son must purchase the residence from the trust, then he will likely take the property per the terms of the trust.  In short, the terms of the Trust will dictate what happens to the property in it once the grantor (in this case, your mother-in-law) dies.  If the Trust terms require the son(s) to purchase the home or it goes to someone else or the successor trustee has to sell it, then that's what will happen.  If the trust is unclear on this point and it's important to your mother-in-law, I recommend she change the terms of the trust to ensure it includes this stipulation and what will happen should the son not purchase the property from the trust.  This can be accomplished through an amendment (not recommended) or a restatement of the trust (recommended). Best wishes!... Read More

Good Morning: Based on the limited information provided, you can set up a special needs/supplemental needs trust that can pay out limited amounts from an account to your son.  However, you have to make the trust the owner of the account with the bank and name a trustee (not your son) who will control the funds and pay the money out in a way that you specify in the trust when you set it up.  Please bear in mind that you'll need to work with the bank directly to ensure they will allow the trust to own the account and the trustee access to it.  Every bank has its own forms & procedures for account ownership & access.... Read More

Please accept my condolences on the loss of your mother. As for your question, if the life insurance policy had you as the only designated beneficiary, then your mother's husband would not normally have any rights to it. However, if the life insurance is payable to her estate then he may have some rights to the estate and, therefore, to the insurance proceeds, assuming that he survived your mother. If the insurance is payable to your mother's estate, then her Will would control what happens, in general, if she has a Will, but you may still need to address the fact that she was known to have been married at some point prior to her death and may still have a surviving spouse. If she has no Will, and if she has a legal spouse who is still alive and not divorced from her, then her spouse is one of her heirs, along with you and any other children, and those rights will need to be addressed. In short, if you are the only named beneficiary of the life insurance, it's yours. If not, and if her estate is the beneficiary, get a probate consultation with an experienced probate attorney in the state your mother lived in at her death, and find out what you need to do. Best wishes to you.... Read More

Here in Ohio, your father had the option to file his will with the county where he lived.  Additionally, if he ever petitioned the probate court for his county to rule on the validity of his will or trust, a copy may be on file in the Court file.  If you know what attorney drafted his documents, you can check with him or her.  Check safety deposit boxes, safes, or other places where he kept important docs. An old will is likely not going to do anything as each new will typically revokes any prior ones executed.  You may be able to contact the County Bar association where he lived and see if they can inquire. Best of luck.... Read More

It would depend upon whether your sister is currently a trustee or a sucessor trustee, and what the trust language indicates.  If your sister is a successor trustee that moves up to trustee only after your mother is incapacitated, or passes away, then yes, if the trust allows, your mother can amend her trust and then change her successor trustee to remove your sister and add your brother.  If your sister is a current trustee, the trust language should dictate on how to remove a trustee and under which circumstances.  If the trust language does not allow removal of your sister, and you feel that your mother will possibly be victimized by your sister, then you would have to ask a judge to remove your sister as trustee.  Let me know if you have any further questions.   Pamela W. Flores Flores Legal Group, LLC pam@floreslegalgroup.com 262.420.8582... Read More

Yes.  You should always update your estate plan when moving to a new state.  In addition, you would want to transfer any real property to your new trust as well as your other titled accounts.  Last, you would want to update your power of attorney, medical power of attorney as well as any guardianship type documents to be sure your selections are current and the way you would like them.  ... Read More

Hi!  There are generally 2 main options for revising the terms of a trust: an amendment or a restatement (see below).  The restatement is the most complete and secure (i.e., least likely to be successfully contested in court) method of revising a trust to change how beneficiaries can access your things when you're gone.   A Trust Amendment revises the terms and conditions of a trust. Trust Amendments are generally only used if certain provisions of a trust agreement have to be modified, but the rest of the provisions of the trust remain unchanged. Minor changes may include updating a beneficiary’s name, changes due to marriage or divorce, adding or removing simple gifts, or naming a different trustee. A Trust Restatement completely replaces all the provisions of the original revocable living trust  with new provisions that meet the current goals of the creator of the trust. A Trust Restatement is usually recommended if the basic goals of forming the trust have changed, or if all or main provisions of the trust agreement need to be changed. Changes in the number of beneficiaries, changes in the way in which the funds or assets are to be distributed, or compliance with new laws are a few of the significant changes that may require a restatement. A Trust Restatement may also be recommended if the trust has already been amended several times and consolidating all changes in a clear manner will help provide clarity and avoid confusion. A Trust Restatement may also make sense if federal and state estate tax laws change, or new administration laws are enacted. Amendment vs Restatement While an amendment makes sense for minor changes, a restatement may be vital if major changes are made. There is no specific rule regarding when you should use a restatement or how many times a trust can be amended before it needs to be restated. Handwritten changes may not be acceptable in some states or might be considered invalid.... Read More

Hi.  Making a change to your trust to alter the ability of your beneficiaries to withdraw all the money from your bank account in a lump sum is actually more involved than you might think.  The best way to accomplish this goal would be to contact an estate planning attorney and create a "restatement" of your trust.  The restatement is the most complete and secure (i.e., least likely to be successfully contested in court) method of changing how you want your beneficiaries to get access to your things when you're gone.... Read More

The answer to your question ultimately depends on what the deed states for the property. If the property was transferred by deed into the trust, then the property should be able to avoid probate as the property will pass pursuant to the terms of the trust, as the trust has become the "legal owner" of the property. Now, if the property was simply listed as an "asset" in the trust and the deed still has your father's name on it, then the property will have to be probated to remove the property from your father's name.... Read More