Administering an estate in a movie is very different than
administration in real life. In films, family members gather in a large room
for the grand unveiling of the decedent’s last will and testament. The
attorney, who apparently has the only copy of the document, dramatically reads
the document out loud, often to everyone’s surprise.
The formal reading of the will only rarely occurs. However,
even without the formality, individuals named (or not named) within the
document still can be surprised when the probate or trust administration
commences. Those unhappy surprises often lead to conflict within the family and
ultimately to difficulties for the person handling the estate.
The best way to prevent future problems is through
transparency during life regarding estate planning. This can be done by
including trusted family members in the planning process and by advising of
choices after the documents are completed.
First, in most cases, trusted family members should be
included in the planning process. Although family members will have a natural
bias, they should be able to set aside their own interests in the estate in
order to consider best options and potential problems.
Especially in planning that involves the ongoing support
needs of beneficiaries, loved ones may be able to offer suggestions on how to
best handle those ongoing needs. Loved ones also may be more aware of tensions
within the family that should be addressed within the planning.
Second, after the estate planning is completed, the
documents should be discussed with trusted family members, including both those
named within the documents and those not named. Loved ones should understand
the individual knew what he or she was signing and created the plan
intentionally.
This also provides a good opportunity for loved ones to ask
questions and for the testator (the person creating the plan) to explain his or
her reasons.
Executors should be given a copy of the documents or at
least shown where the documents are kept within the testator’s home.
Including family members in estate planning requires a
willingness to be transparent with loved ones, as well as an ability to adjust
as necessary. The testator must be able to hear what family members are saying,
understanding that his or her perspective is different from theirs. However,
ultimately the testator alone determines how his or her property will pass to
beneficiaries after death.
If the testator is uncomfortable or unable to discuss the
estate plan with family members, he or she should leave letters of explanation.
Particularly for grieving children who may not be receiving what they expected,
a letter of explanation offers a glimpse into the motive of the testator.
The letter never should be used as a weapon against the
family members, but should be seen as a last chance to both help the child to
understand the testator’s intent and to prevent the child from causing problems
for the estate fiduciary.
In some families, the desire to have candid conversations
about estate planning is not as much of a problem as the logistical ability to
include everyone in the conversation. Thanksgiving and Christmas holidays
usually provide an opportunity for deeper conversation. The whole holiday
should not be consumed with estate planning, but a short time can be set aside
while everyone is available.
The dramatic and shocking reading of the will may make for
an interesting film, but is much less amusing in real life. Prevent potential
courtroom battles by being transparent with family members about estate
planning during life.
Click here for the
original article.