We Were Surfing, Then a Shark Ate Her
What Happens if You Die Without a Will While On Vacation? It was going to be the best honeymoon ever. We met a couple of years post-divorce for both of us, and fell madly in love with each other and each other’s children. We were financially secure and each of us had our own wealth and intended to keep our assets separate. The water was beautiful and blue and the waves were amazing. We went out on our boards and out of nowhere appeared a grey fin, an ugly snout, and then menacing black eyes. She freaked out, fell off, that thing opened its snout, showed teeth, and the center half – 1/3 – of my new wife’s body disappeared. Then all hell broke loose. We had quickly prepared powers of attorney prepared before we left and were planning to have an estate plan prepared by an attorney once we returned. My wife was particular about how she wanted her remains disposed – she wanted to be buried in the most sustainable and economical way. At the hospital, researchers appeared and refused to release her body. Unlike our home state, in this state, doctors were the final decision-makers on dispositions of remains. So I had to leave her remains in a strange place. I’m also going to have to pay thousands of dollars to a healthcare system because we didn’t have traveller’s insurance. When I returned home, I learned that some of her accounts had no designated beneficiaries, so instead of everything going to her children, her children will have to split everything with me. When they found out about that, they began blowing up my cell phone asking me what I intended to do. Of course, I intend to give them the 100% of my share but one of them is a spendthrift – money burns holes through their pockets and my wife was adamant about being careful how much to give to this child on a regular basis. That has caused some friction between all my stepchildren. Also, since my wife had no Will or Trust, her estate must go through probate. In this state, because I’m the surviving spouse, I have preference in acting as an administrator for her estate. This issue also created discord between me and my stepchildren. That frickin’ shark! I think what I’m going to do is use part of my half to create a trust for the spendthrift child to shelter at least part of their share of the estate, and they are not going to like that, but I know it’s what my wife would have wanted. She would have been very upset with the fact that this kid, who she actually suspected as being a functional addict, is going to obtain 1/6 of their share completely outright. I really hope the kids don’t blow through their inheritance; they are still young adults, just a few years out of college. Her estate was rather large, so I also must obtain insurance to cover the value of her estate, which cost the kids thousands of dollars. My wife was also working with a tax professional because she also had a significant tax liability that they were disputing with the IRS. That means I can’t distribute her estate to the kids (or anyone else) until that issue is resolved. How am I going to explain that to the kids? Maybe I can provide a partial distribution, but I still need to have some appraisals done – she owned a couple of rental properties and a small online business. I really miss her – she was fun but brilliant. This is a mess… And a fictional story…kinda
Navigating Florida\’s Perilous Spousal Estate Inheritance
Contributing Author: Nicole Page Florida law provides significant protection to surviving spouses who have been disinherited or left a small share by their deceased spouses. In Florida, a spouse cannot be disinherited by a will or a trust, which is different than Illinois, where a spouse can be disinherited by using a trust. Florida law gives spouses the option to choose to inherit what was left to them according to their deceased spouses will or the choice to elect to receive a percentage of the elective estate. A surviving spouse usually elects to take an elective share in situations where the deceased spouse attempts to disinherit them or leaves them less than they would receive if they took an elective share. The amount of the elective share is a case-by-case analysis, depending on the value of the estate. There is no fixed number, but rather a percentage – up to 30% of the deceased spouse’s estate. It’s also important to note that some assets that aren’t typically a part of an estate are considered to determine the surviving spouse’s elective share. This means that an attempt to circumvent the elective estate statute by distributing assets into a trust may still not be sufficient to disinherit a spouse. Florida does not discriminate by codifying what type of character the spouse had or the nature of the relationship between the spouses. This means that even if the spouses have been living separately for years, it does not infringe on the right to the elective share. As long as the spouse is a Florida resident and still married at the time of the death, they can claim the elective share. Barriers to claiming the elective share are: Executing a valid premarital or postmarital agreement. Required procedural protocols: The surviving spouse must file a written notice that they are invoking the elective share statute with the probate court within 6 months after the date of service of the notice of administration or 2 years after the date of the decedent’s death. Still, if you would prefer to provide for your children because you\’re in a second marriage, beware of what\’s lurking beneath…
A NY Roadmap for Intestate Estate Administration
Contributor: Gabby Wasenius Dealing with the loss of a loved one is never easy, and the legal process that follows can be daunting, especially if your loved one passes away intestate, i.e., without a Last Will and Testament (Will). In New York, when someone passes away without a will, their heirs must go to the Surrogate\’s Court to petition for something called \”Letters of Administration.\” These Letters grant a person, usually a close family member, the power to collect and distribute the deceased person\’s belongings. Before you can ask for Letters of Administration, you need to make sure there really is no Will. To do this, check with the Surrogate’s Court to see if a Will was filed for safekeeping, look through the deceased person\’s papers, and contact any lawyers they may have worked with. Once you are sure there is no will, you can petition the Court for Letters of Administration. Usually, the people who have the right to inherit the assets are the same people who can request to be the Administrator. The Administrator is the person who will be in charge of the estate and receive the Letters of Administration. However, not just any relative can become the Administrator. The Administrator has to be a close family member, an honest person who is not a convicted felon, bondable (someone who is insurable with decent credit), unlikely to face objections, and a U.S. citizen or a legal resident. The Court needs specific forms, details, and documents before they issue Letters of Administration. You will need an original death certificate, a paid funeral bill, and names and contact information for all potential distributees. A distributee is a person who will inherit without a Will. It is also important that you notify the Court of any special circumstances regarding the distributees (like if someone is in jail, a minor, or disabled) or if there are unknown distributees. All potential distributees must consent to the Letters of Administration and the potential Administrator or be officially notified. So, along with the petition, you must submit their agreement on a form called a Waiver. If they cannot or will not agree, you must provide a Citation for the court to issue. Additionally, any special circumstances of the distributees will require more forms and documentation and may require additional proceedings. Once the Court gives you Letters of Administration, you must collect the decedent\’s assets and belongings, pay off debts and taxes, and only then can you distribute what remains to the distributees according to New York law. While you can find the basic forms you need on the New York Office of Court Administration’s website, having an expert by your side is incredibly valuable as you deal with the complex world of New York’s Surrogate’s Court. Unexpected problems can cause delays in your request for Letters of Administration, and the points above are just the main points on the New York estate administration roadmap.
The Illinois 10-Step Probate Program
[vc_row type=\”in_container\” full_screen_row_position=\”middle\” column_margin=\”default\” column_direction=\”default\” column_direction_tablet=\”default\” column_direction_phone=\”default\” scene_position=\”center\” text_color=\”dark\” text_align=\”left\” row_border_radius=\”none\” row_border_radius_applies=\”bg\” overflow=\”visible\” overlay_strength=\”0.3\” gradient_direction=\”left_to_right\” shape_divider_position=\”bottom\” bg_image_animation=\”none\”][vc_column column_padding=\”no-extra-padding\” column_padding_tablet=\”inherit\” column_padding_phone=\”inherit\” column_padding_position=\”all\” column_element_direction_desktop=\”default\” column_element_spacing=\”default\” desktop_text_alignment=\”default\” tablet_text_alignment=\”default\” phone_text_alignment=\”default\” background_color_opacity=\”1\” background_hover_color_opacity=\”1\” column_backdrop_filter=\”none\” column_shadow=\”none\” column_border_radius=\”none\” column_link_target=\”_self\” column_position=\”default\” gradient_direction=\”left_to_right\” overlay_strength=\”0.3\” width=\”1/1\” tablet_width_inherit=\”default\” animation_type=\”default\” bg_image_animation=\”none\” border_type=\”simple\” column_border_width=\”none\” column_border_style=\”solid\”][vc_column_text text_direction=\”default\”]In Illinois, if a loved one passes away without a will or a trust in place, he or she has died “intestate.” Depending on the size and assets of the estate, probate may or may not be needed. Probate is a court proceeding where the judge appoints an “administrator” to the estate. If a will did exist and was appropriately filed, then the judge would probably appoint the will’s “executor.” The only difference between an administrator and an executor is that one is appointed intestate and the other is designated by a will. The administrator is responsible for paying all just debts and taxes, responding to claims on the estate, and concluding the final affairs of the deceased that includes distributing the assets of the estate. Sounds simple, right? Well, in today’s world, probate can be anything but simple. And unlike New Jersey, where it’s quick and cheap, in Illinois probate is long and costly. For example, the first thing one has to do is to get into court, which requires completing a petition that nominates one person as the administrator. What if Jack’s evil twin, Jill, wants to b administrator, too? Hopefully, Jill knows the slayer statute would keep her from collecting if Jack were to meet an untimely demise. The next to do is provide a list of all the heirs to the judge and prove – with birth and death certificates, and divorce decrees – where the heirship line has been broken. What if Thelma’s mom had 2 husbands and 2 children, Thelma and Louise, but Thelma could only find one set of divorce papers – the set involving the divorce from Louise’s father? And that’s all she’s going to find because Thelma’s mom and her dad were in a common law marriage in Kansas before she moved to Illinois. Let’s say the heir hurdles have been successfully jumped and you’ve been named administrator of grandma’s estate. Next we must notify any heirs and creditors, whether known or unknown, that the estate has been opened. What if Grandma forgot to mention that she borrowed $10000 from Uncle Charlie last Christmas to pay for everyone’s gifts and Uncle Charlie accepted a promissory note with the house as collateral? What if there’s no house but you find that Grandma had 12 different accounts in 12 different financial institutions totaling more than $100,000? Get the petition ready and btw – Illinois does not allow pro se appearances in probate. It is because our families are different, mobile, and complex that trusts are often recommended for individuals in Illinois. However, so we have it on record, the following are steps for opening probate in Illinois: Petition the court Notify eligible potential administrators and obtain consent or waivers from them Pay an oath and bond on the estate\’s personal property Prove heirship Appear in court and receive letters of office Notify known and unknown heirs and creditors Take an inventory of the estate assets File the inventory with surety company and heirs’ fiduciaries, e.g., guardians or conservators Respond to creditor claims Distribute assets after 6 month creditor claim period has ended The entire process from opening to closing probate can take anywhere from 9-14 months and perhaps why the steps involved in establishing a trust should be considered the \”probate-anonymous\” program. [/vc_column_text][/vc_column][/vc_row]
Why There\’s a \”Trust\” in Trustee, Part 2
In Part 1 of this series, I discussed why one should be careful in selecting a trustee. Family members are often considered the most trustworthy with respect to family matters, so people typically select them as trustees. However, this endearing gesture can cause serious problems later: Trust assets could be inadvertently wiped out. A trustee is usually responsible for managing the trust assets. If the trust is significant, the trustee should either have the required financial investment background or the ability to wisely choose someone with the needed background to act as the trust investment advisor. If the trustee is not well informed about investment matters relevant to the trust assets and does not employ someone who is, then the trust funds could dissipate leaving the terms of the trust unfulfilled, and probably one or more displeased beneficiaries. This last point is particularly important if the trust isn’t large, but the beneficiaries depend on its income for health and educational support, for example. Valid claims could go unanswered; or a trust claim could be ignored. The trustee is responsible for responding to or initiating litigation on behalf of the trust. So if a long lost family member who would have been provided for had their whereabouts been known, emerges claiming they should receive under the trust, the trustee should properly address that claim. If the trustee is a family member, however, the problem becomes one of bias against that claim because a valid claim could dilute the current beneficiaries’ shares, possibly including the trustee’s share. Another problem is that it takes time to respond to these claims, time that a family member may not have. Equally important is a trust may have a claim that needs to be litigated. But, if the trustee does not recognize the claim issue, a potential financial award for the beneficiaries may go unnoticed. Co-trustees don’t always agree. While the grantor may have gotten along well with both individuals, when it comes time to make a distribution decision or another decision involving the trust, the co-trustees may not see eye-to-eye and both could have valid perspectives. This type of disagreement starts many long-term family arguments resulting in costly court battles. If nothing else, by choosing a corporate fiduciary, the family will be at peace with each other and at war with someone else. Trust administration responsibilities are time consuming and numerous. The following is an incomplete list of trustee duties: Distributing beneficiary shares Providing a regular accounting to beneficiaries Paying debts, taxes, fees and expenses associated with the trust administration Giving notice to guardians or legal representatives of beneficiaries who are minors or incapacitated Executing documents required for trust administration Settling claims against the trust, not just from possible beneficiaries but from estate creditors Buying insurance for trust assets Perhaps now you’re thinking that a Last Will and Testament may circumvent this “trustee” matter, but that\’s not necessarily true. A Will’s executor or “personal representative” often has the same responsibilities as a trustee. So, establishing a Will not only requires delegation to the executor some of the responsibilities above, but in Illinois, it also entails more costs and more time because of probate. Therefore, it is critical to resist the urge to select a family member as a trustee – or executor – without first giving the decision the thought and discussion it deserves.