A recent poll by TD Wealth revealed 44 percent of attorneys, accountants and trust officers in Florida indicated family conflicts were the biggest snag when it comes to estate planning. Part of the problem is people have unrealistic expectations. While most expect to inherit more than $100,000, Ameriprise Financial reports most people receive less than that. Almost 7 in 10 of those expecting an inheritence were never told how much they should expect, which led to substantial confusion and conflict.

Another issue is people increasingly have multiple ex-spouses, one or both my have children from prior unions and one spouse may be much younger than the other. These are fact patterns we know have the potential to lead to trouble. Such is the case in probate litigation conflict in Indiana that the state supreme court in Indiana has just agreed to consider. In Gittings v. Deal, an adult woman claims she was removed from her father’s estate by her stepmother, and subsequently her stepbrother raked in more than $3 million in profits on property she claims they should have shared.

Here, the father/ decedent established trusts in 1985, along with his wife (plaintiff’s stepmother), indicating that when they died, a third of each estate would go to plaintiff, her stepbrother and then to any children they had.

The father died 10 years later, and plaintiff says her stepmother eliminated her as a beneficiary and trustee and didn’t tell her. Plaintiff talked to a lawyer and agreed to sign amendments transferring the properties in question to her stepmother’s trust. However, her lawyer was never given a copy of that trust showing plaintiff was removed as a beneficiary. When the stepmother died two years after her father, a second change to her trust left the remainder of what was left only to her son and his children. When plaintiff learned she and her son had been eliminated as beneficiaries, her stepbrother told her there was nothing left of the inheritance after medical bills, nursing home expenses and funeral costs. She believed him. But it wasn’t true. What she didn’t know was her stepbrother deeded several properties from that trust to himself. Within 13 years, he’d raked in more than $3 million in gas and oil royalties, lease payments and rental payments.

Plaintiff was in the dark about all of this until 2011, when an attorney contacted her to tell her.

Plaintiff filed a counterclaim, asserting breach of mutual estate plan/ implied trust, self-dealing, conversion and breach of fiduciary duty. However, the trial court ruled in favor of plaintiff and appellate court affirmed. The primary issue was that the statute of limitations had already passed, despite an additional finding that the conduct underlying her claims was improper and perhaps illegal. The court of appeals noted its reservations, but it felt it had no choice but to rule in stepson’s favor.

It remains to be seen whether that ruling will be upheld, now that the Indiana Supreme Court has granted transfer.

As our Fort Lauderdale probate litigation attorneys know, typically the best way for your relatives to avoid probate is to be meticulous with your estate planning efforts. It’s also important to communicate your plans to family members so there are no surprises upon death, and beneficiaries can understand the how and the why and everyone’s on the same page.

Call Fort Lauderdale Injury Attorney Richard Ansara at (954) 761-4011. Serving Broward, Miami-Dade and Palm Beach counties.

Additional Resources:

Say hello to the No. 1 threat to your $11 million inheritance, April 11, 21018, By Darla Mercado, CNBC

More Blog Entries:

Does Florida Probate Court Require Families to Pay Decedent’s Debts? March 28, 2018, Fort Lauderdale Estate Planning Attorney Blog

One of the primary reasons people avoid estate planning is because they erroneously assume it’s something reserved for the wealthy and maybe the elderly. The fact of the matter is, pretty much everybody has an estate and people tend to underestimate the confusion or even animosity that can arise among surviving loved ones regarding the contents of that estate. That includes the care and well-being of any young children you have, should something happen to you and your spouse.

A review of your estate planning documents may not sound like a particularly festive way to being a brand new year, but it is a smart one. You’ll want to make sure that your will, trust and powers of attorney still comply with your wishes. And if you don’t have these in place, it’s time to make it one of your resolutions to do so.more

Our probate litigation attorneys in Fort Lauderdale know that while you can never predict what the future may hold, there are some common threads we see when disputes arise. We also recognize how they could have been prevented. Some things to consider in reviewing or drafting your estate planning files:

Examine what changes have occurred in your life since you last updated your estate documents. If you have gotten married or divorced, had a child, moved or had some major financial event occur, these changes could have an impact on your estate, and these changes may need to be reflected in your updated documents.

• Look over your will and/ or revocable trust. These are documents that indicate where your assets will go at the time of your death. You need to make sure that the person you have listed as your personal representative and/ or trustee are up-to-date, that the beneficiaries you name reflect who should receive your money and that you have clearly stipulated where certain gifts (i.e., heirlooms or jewelry) should go. Some people even outline where their pets should go. Having all of this up-to-date can help avoid probate litigation among survivors.
• Update your financial power of attorney/ health care power of attorney. These are individuals you name to be in charge of either financial and business matters or decisions pertaining to your health care if you are incapacitated.
• Review your insurance and retirement plans to make certain the beneficiaries listed therein are still accurate. If you have been through a divorce or other major life change, it’s possible you may want to update this information to reflect your wishes.

If a dispute does arise involving an estate, an experienced, compassionate probate litigation attorney can help you navigate the complex and emotional process.

Call Fort Lauderdale Probate Litigation Attorney Richard Ansara at (954) 761-4011. Serving Broward, Miami-Dade and Palm Beach counties.

Additional Resources:

Estate Planning At Any Age: It’s Not Just for the Wealthy, Dec. 20, 2017, Ameritrade