Wills

Are You Too Young to Have an Estate Plan?

Published on: March 4, 2014 | by Ettinger Law Firm

A quick Google search reveals about 10,000 articles providing 5, 10, 15, or more reasons why everyone needs an estate plan. While that makes a catchy headline, it may not be technically correct. After all, in most instances, it is impossible for minors under 18 years old to enter into legal agreements. It is not reasonable for your five year old (or even high school student) to have a will drafted or a trust created for assets.

But realistically, when at what point is it prudent for New York resident to draft at least a minimal estate plan, including a Last Will and Testament? Perhaps more importantly, at what point does it make sense for one to invest some money in having a professional create an estate plan?

Not Age But Life Circumstances

Marriage Matters – A Reminder of the Tax Benefit

Published on: February 28, 2014 | by Ettinger Law Firm

Earlier this week we discussed the tragic death of New York actor Philip Seymour Hoffman. There are many estate planning lessons to take away for Hoffman’s situation, including the need to update a will after every life event. Hoffman unintentionally left out two of his children by not updating his will to include them specifically–his oldest son is named directly as a beneficiary of a trust.

Yet another lesson that fellow New Yorkers can take from the case is the role that marriage can play in these matters.

Companions vs. Spouses

Last Minute Gift? Cashing A $100,000 Check

Published on: January 8, 2014 | by Ettinger Law Firm

Estate planning disputes can arise in any situation and based on any number of facts. However, one situation where disagreement is far more likely to arise is when planning steps are taken, gifts are made, or other actions pursued while an individual is on their death-bed or known to be very sick. Naturally, observers are skeptical of these actions, because they are more likely to involve fraud, mistake, coercion or other means.

That does not mean that all death-bed actions are unenforceable. On the contrary, many Wills are and signed and trusts created at just this time specifically because one wishes to get their affairs in order near the end. However, because of the potential for abuse and the natural skepticism, estate cases frequently involve last minute actions.

Was It a Legitimate Gift?

Clarity in Estate Planning – Who Owns Fawcett’s Warhol Painting?

Published on: December 23, 2013 | by Ettinger Law Firm

Unintended consequences are rampant in do-it-yourself Will creation and other estate planning. Even arrangements that seem simple at first blush may prove to have hidden ambiguities or uncertainties that only come to light during probate–when it is too late to fix.

Partner vs. University

To get an idea of how ambiguity in estate planning can lead to controversy, consider the brewing legal battle between actor Ryan O’Neal and the University of Texas at Austin. The dispute centers on an Andy Warhol painting of actress Farrah Fawcett.

Does Dementia Affect the Validity of a Will?

Published on: November 14, 2013 | by Ettinger Law Firm

If a family is dragged into a drawn-out court battle over an estate planning issue, chances are it is a “will contest.” This phrase refers colloquially to cases where one party claims that something is wrong with a will and that the legal document should be thrown out. It goes without saying that preventing this very scenario is exactly why you should talk with planning professionals as early as possible. An attorney can explain how alternative tools–like trusts–can be used to almost eliminate the risk of a will contest entirely. Alternatively, the lawyer can explain the common challenges to a will and the way to guard against them.

Guarding Against A Will Contest

Essentially, there are four main ways that a will may be rejected by a court following a challenge:

What Matters When Choosing an Executor?

Published on: November 1, 2013 | by Ettinger Law Firm

Understanding the specifics of the law is just one aspect of successful estate planning. Obviously it is critical that a will is created in a such a way that it will be upheld or that a trust will have legal effect (or that you take advantage of all available trust options to begin with).

But that legal knowledge is not enough to best prepare for the future. In addition, it is critical to understand the social, emotional, and practical considerations that affect these issues. Are certain family members more likely to feel jilted by a specific arrangement? Is there a financial danger that should be guarded against? These and hundreds of other questions must be considered when planning. Memorizing statutes and legal books will only provide so much guidance–experience on these issues fills in the gaps.

Advice for Executor Selection

Deathbed Planning: In the Face of Serious Illness

Published on: October 25, 2013 | by Ettinger Law Firm

Most estate planning advice stories include one theme over and over–plan early and update consistently. Because no one know what the future holds and life changes occur frequently, it is critical to ensure your legal planning will work as you want it to when you need it.

However, that does not mean that there is ever a point when it is too late and not worth crafting a plan. Taking the time to put affairs in order even in the midst of serious illness or terminal conditions can make a world of difference for a family. A recent article provides a helpful discussion that touches on some of the key issues with regard to “deathbed planning.”

Late Estate Planning

Criminal Charges for New York Estate Executor

Published on: October 16, 2013 | by Ettinger Law Firm

You have probably heard the term “Executor.” Under New York law, this is the name given to the person (or trust company or bank) that is named in a Will and instructed to carry out the decedent’s wishes as outlined in a Will. Executors are entitled to a fee for their work, and it is usually paid out of the estate itself.

While friends and family members are often named as executors, the required duties can be complex. They include collecting assets and paying debts, expenses, and taxes. The process usually takes months (if not longer) and involves tricky procedural chores. Making mistakes can result in significant personal liability to the Executor, and so it is important that no party is surprised by their duties or uncomfortable with the work.

Make a Careful Choice

Issues with Family Vacation Homes

Published on: August 19, 2013 | by Ettinger Law Firm

Many New York families have vacation homes. While the reference often conjures up images of the super-wealthy wintering in palacial estates, the truth is that owning a second piece of real estate in a favorite location is not only for the elite. Middle class families who prudently save often decide to purchase a second home for investment purposes.

Considering the frequency of these homes, it is important for families to be aware of some financial and estate planning issues that they may create. A Forbes story from last week provides a helpful introduction into the topic.

Unfortunately, the use and future ownership of these homes is often cause for confusion, misunderstanding , and argument. For one thing, parents and children often have different ideas about the property. Is it meant to be a family keepsake that is passed down through the generations as a meeting place and memory maker? Or is it simply an investment item that can be sold if necessary without much thought? Often different family members have different levels of attached to these homes. One sibling may hold the location dear and never dream of getting rid of it while another may have few memories of the home and not wish to hold onto the property if it does not make financial sense.

Children on Famed Football Coach Challenge Will

Published on: August 12, 2013 | by Ettinger Law Firm

The State recently reported on another “will contest” involving a well-known South Carolina family. The story is an example of a very common estate planning problem, disagreement between adult children and a second (or third) spouse.

The basics of the family situation are well known. The patriarch, former University of South Carolina football coach Jim Carlen, had three children with his first wife, Sharon. In the early 1980s, Carlen divorced Sharon and married his second wife, Meredith. Carlen and Meredith had one child together. While specific details are sparse, it seems that Meredith and the Carlen children from the first marriage may not have had the best relationship. Tension of this sort is quite common among all families with parents who re-marry following divorce or death.

In Carlen’s case, the children are claiming that the man’s second wife exercised undue influence on him in his waning years, taking advantage of his dementia. Carlen apparently wrote a series of wills (among other estate planning documents). The first, in 1970, left his assets to his wife and children. All subsequent wills were similar, with the children left substantial property.