The main objective when drafting an estate plan is usually to provide guidance for loved ones. Testators can ensure the right people receive their property and even maximize what those beneficiaries inherit by creating clear instructions before their death.
Unfortunately, family members and other people who expect to inherit from an estate are not always happy about the terms the testator included. In some cases, they may even take action to contest the will in court.
People hoping to prevent will contests that can damage family relationships and reduce the value of an estate can speak about that intention with their lawyer. One of the three tactics explained below or a combination of them could help limit the likelihood of probate litigation after their passing.
Including a no-contest clause
Individuals drafting wills can add a penalty or no-contest clause. Essentially, they add language to the documents that authorizes the probate courts to eliminate the inheritance of any beneficiary who unnecessarily challenges the will. No-contest clauses can have a chilling effect on probate litigation and prevent people from pursuing frivolous lawsuits.
Funding a trust
Wills are relatively easy to challenge in family court, but challenging a trust is far more complex. Trusts also provide greater long-term control over the structure of an estate and the use of inherited property. In cases where people worry about their loved ones fighting over their property or misusing an inheritance, funding a trust can be a wise decision.
Speaking openly about personal wishes
The last strategy has less to do with documentation and more to do with personal relationships. Testators may want to sit down with their beneficiaries to talk about their documents. They may also need to talk to anyone who might assume they have a right to inherit, including romantic partners and children. When people know ahead of time what terms a testator included in their estate plan, they are less likely to pursue litigation out of disappointment.
Identifying personal estate planning goals and learning about the tools necessary to achieve them can help those crafting or updating estate plans. Testators who employ the right approach can prevent their loved ones from undermining their legacy or ruining their relationships with one another.