Wills & Trusts
A Quick Overview of the Living Trust Law
The living trust, as it is commonly called is, in fact, an inter vivos trust, which means the trust will exist only during the lifetime of the trust maker (trustor). There is an exception to this lifetime provision when the trust is continued after the death of the trustor for the benefit of one or more beneficiaries (heirs) by reason of age or other conditions. There are two types of living trust, “revocable” and “irrevocable.” A revocable living trust is one that can be revoked at any time by the trustor.
Pour Over
A “pour-over” will is necessary to distribute any property that is acquired in the name of the grantor after the living trust was established, or any property that was not transferred into the trust in the first place.
The use of “pour-over,” together with a living trust ensures that assets not held in trust will be distributed in accordance with the wishes of the deceased, and not by the laws of intestacy.
Durable Power of Attorney
A power of attorney is a document that gives someone else the authority to act on your behalf on matters that you specify.
A power of attorney gives a person the legal authority to act on your behalf in the financial matters of your choice. A power of attorney may be limited to a single purpose such as the sale of a home or may be expanded to include additional matters.
Living Will
As s competent adults, we have the right to make decisions in advance as to whether or not we would like to decline life support when it is clear that death is imminent or a state of coma becomes permanent. Today, life support systems can keep an individual’s body alive for years, even if the brain is no longer functioning or the person is in constant pain.
A living will is a document that lets you decide whether or not to be kept on artificial life support. Often, these documents also appoint someone to make important health care decisions on your behalf in case you are unable to do so.