QUESTION
Can I use anti-lapse clause to collect on TOD account left to my mother?
Asked on Nov 20th, 2014 on Estate Planning - Illinois
More details to this question:
My aunt passed away leaving a TOD brokerage account to my mother. My mother pre-deceased my aunt. Can we, my mother's 4 children, claim the funds free of probate under the anti-lapse statute? (My mother was also my aunt's beneficiary and executor.) Because this was a TOD account, I would like for it to transfer to us just as if we were the named TOD beneficiary in place of my mother as TOD accounts are non-probate.
1 ANSWER
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Illinois does not have an anti-lapse statute. The Illinois Transfer on Death statute, with anti-lapse provisions, only relates to real estate. The brokerage company that holds the TOD account may have rules that cover this situation. It is likely that the account will be distributed to the contingent beneficiary named on the TOD account, if any, or the aunt's estate. If transferred to your aunt's estate then a probate will be required to effect distribution.
Answered on Nov 21st, 2014 at 1:20 PM