Tricks to Protect Your Estate Against Disputes After Your Death

Estate litigation may be unavoidable in certain situations, but far too often, it could be avoided with greater preparation and guidance, saving stress, money, and family strife.

To help you out, here are tips you can use to lower the possibility of a disagreement following your passing:

Have a solid will.

Although it might seem obvious, one of the easiest ways to lessen the likelihood of a legal issue after your death is to have a proper Will.

According to research, around 50% of adults do not own a will. In such a case, your family members will get an inheritance according to the norms of intestacy, which are established by law.

This causes assets to be given to unexpected beneficiaries or leaves some family members in need. Intestacy can have an especially negative effect on blended families.

Some families are forced to file expensive family provision petitions to redistribute assets more fairly or court proceedings to settle disputes about the estate’s administrator due to the rigorous implementation of the norms of intestacy.

A growing number of instances in recent years have involved homemade wills that were neither witnessed nor lawfully signed by the testator. The Will can be accepted by a court as an “informal Will,” but doing so requires further expensive and occasionally contentious court actions. You don’t want this, do you?

One essential first step toward ensuring a smooth administration of your inheritance is leaving a validly signed Will. Sit down with an experienced wills and trust attorney and put together a will that you will protect your loved ones once you are not there.

Deal with your assets.

Finding out that a Will does not handle all of your assets automatically can be shocking.

For many people, superannuation is their most valuable asset; yet, depending on the type of fund and whether a binding death benefit nomination has been made, your superannuation may or may not be governed by the terms of your will.

Insurance policies, assets held in corporations or trusts, and jointly owned property are additional assets that might not be immediately allocated under your will.

You should ensure that all of your assets are handled carefully in an estate plan to make sure they go where you intended. If not, significant assets could be divided unjustly or unexpectedly after your death.

Be clear about gifts and other financial support to your family

More people have been helping their kids and other family members financially in recent years. This might sometimes take the kind of a one-time payment, like a down payment on a house, ongoing support, like helping with grandkids’ tuition, or emergency cash support, like following a breakup.

While some people see financial help as a gift, others choose to provide it in the form of a loan with set repayment terms. Additionally, some want to guarantee equality for all of their kids, while others would rather provide support when it’s needed without making adjustments for individual kids.

Regardless of your perspective, the most important thing is to be transparent about your goals when you give your kids or other family members money.

You should carefully analyze and clarify if your financial aid is a gift or a loan in order to prevent future conflicts. If it’s a loan, it’s critical to have all documentation in order and to maintain track of any repayments.

Consider the risks of family provision.

The most frequent and often misinterpreted challenges to an inheritance are family provision claims.

Someone in your family may file a family provision claim with the court to request an increase in their inheritance if they feel they were left out of a will or if their part of the estate is insufficient.

To avoid this, it’s crucial to get expert counsel regarding the danger if you’re worried that someone could make a family provision claim against your assets.

A good way to go about it is to include a statement in your will that provides pertinent details regarding the past relationship with the potential claimant, including any financial support you may have provided, as well as the reasons you made the decisions you did.

You should also consider arranging your assets in such a way that the amount of the estate that can be contested is decreased.

It’s important to seek personalized guidance from an expert on how a family provision claim can affect your inheritance and what options you have to reduce that risk, since every family provision case is unique.

Choose the right executor.

For you to transfer your estate in accordance with the terms of your Will and the law, the executor of your Will has important obligations to your beneficiaries.

While this is the case, you should note that your executor has a variety of decision-making authorities over how they oversee the estate’s administration as long as they stay within the bounds of their legal responsibilities.

The promptness with which assets are gathered and distributed, the decision of whether to sell or transfer a particular asset to a beneficiary, the procedure for selling assets, and the payment of estate costs are some of the frequent points of contention between executors and beneficiaries.

The benefits of assigning more than one executor include better accountability and the flexibility for executors to divide the workload.

If you designate many executors, they must get along well with one another because if they can’t agree, the estate administration may come to a complete standstill.

Your goals and the conditions of your family will determine the prudent choice of your executor. Selecting executors who have the necessary skill set and who you anticipate will get along with your beneficiaries is, in our opinion, a good decision.

If family conflicts are a concern for you, it may be beneficial to name an independent executor.

Other important positions that can be pertinent to your estate planning are guardians for minor children, trustees of testamentary trusts, and agents under enduring powers of attorney.

If you are confused about the right people to choose, consult your estate planning attorney Largo for guidance.

Understanding Estate Litigation

Litigation is the process by which parties seek the intervention of a court or other authority to resolve a disagreement they cannot decide on their own.

While the phrase might refer to alternative conflict resolution processes like mediation or arbitration, estate disputes almost usually end up in court.

Whether you are a beneficiary, personal representative, or another interested party, an estate litigation attorney can help you understand your choices and resolve your issue.

Common disagreements that result in estate litigation:

  • Disputes over the legitimacy of the will or trust.
  • Claims that the personal representative or trustee violated their fiduciary duty
  • Disputes over creditors’ claims against the estate.
  • Claims of fraud or undue influence
  • Guardianship concerns.

As previously stated, estate litigation happens when disagreements develop, and the parties cannot settle them. They may be unable to resolve them for various reasons, including personal issues, which are prevalent in estate disputes.

The estate documentation may be vague or inconsistent. An heir could have been suddenly disinherited or mistreated.

Whatever the cause, litigation may be the best way to resolve the conflict. An estate litigation attorney will help you analyze your case and explain the possibilities.

What happens if you can’t resolve a dispute?

If your issue involves a will, you must go through the probate process. The process consists of filing the will and then administering it under the supervision of the probate court.

Because you are already in court, you do not need to file a separate lawsuit, even if the matter might be handled separately. This helps to simplify the lawsuit procedure.

When a trust is involved, the procedure becomes more challenging. Trusts are administered independently of the probate process and without the oversight of a court.

As a result, if you want to attack a specific component of the trust or how it is run, you must launch a separate action.

Is there litigation if there is no will or trust?

If the decedent died without a will or trust, you must still go through probate. The first stage will be to designate a personal representative, which can lead to conflict.

Once the personal representative is selected, intestate succession statutes will disperse the estate’s assets.

As a result, disagreements over who obtains estate assets are highly unusual; nonetheless, litigation might still emerge over many other components of the procedure, such as the following:

  • Whether the personal representative is appropriately carrying out their obligations.
  • If there is proper notification to all heirs and creditors.
  • Identification and valuation of estate assets.
  • The handling of creditor claims

As a result, if there is any dispute, it will most likely occur during the probate process.

Is settlement an option when you opt for litigation?

Yes, you can settle your case. The chance of settlement, however, will be determined by a range of variables. For example, the personal representative or trustee may be unable to approve a settlement if it violates the conditions of the will or trust.

The reality is that resolution in an estate lawsuit might be more complex than in other disputes due to the number of parties involved and the limits of estate planning instruments.

This is one of the reasons you should consult with an estate litigation attorney early in the process; they will help you determine whether settlement is a viable option or if litigation is the only way to resolve the disagreement.

How to navigate estate litigation

Defend the will

You should defend the will if you believe it is just and legal. Estate litigation can take several months or longer. Therefore, it is best to hire an experienced lawyer as early in the process as feasible. The Wills, Estates, and Succession Act (WESA) establishes the requirements for a valid will, which include:

To form a will, you must be at least 19 years old, mentally competent in writing it, and sign it with two or more witnesses.

These requirements should be addressed first when determining the validity of a will, as it may be declared void owing to other conditions.

If a will does not follow the statutory formalities or was prepared while the will-maker was incapacitated or under undue influence, it may damage your entitlements.

Know the wishes of your loved one.

Engage in end-of-life conversations with your loved ones throughout their lives. Accidents and abrupt diseases can occur at any time.

Know where your loved one’s will, trust, and other estate documents are stored. Ensure that he or she engages an expert estate lawyer to write the estate plan and that the plan is updated correctly after significant events, such as a spouse’s death, the sale of a business, or the birth of a child.

Understand the timeframes

There are several time constraints for filing estate-related court actions. Depending on your claim, it could be as little as 180 days after probate is granted.

If you are concerned that a will is invalid or that you have been disinherited, you should contact a lawyer straight away, as courts seldom, if ever, allow for actions filed outside of the appropriate time frame.

If you wait too long, you risk losing your entitlement.

Don’t sign as a witness.

If you or your spouse are being gifted something in a will, you should not sign as a witness. The best approach is for the will-maker to have independent witnesses present to corroborate their signature. If you witness a will in which you also inherit, your gift may be void.

If you need assistance in preparing your estate plan or have questions regarding challenging or defending the validity of a will, contact a reputable wills and trust attorney Upper Marlboro and have them help you.

As a rule of thumb, ensure that the professional you hire is experienced and knows what they are doing. You don’t want someone who causes more chaos than is already there.