Can a Living Trust Be Challenged?

Understanding Living Trusts

A living trust is a legal arrangement created during a person’s lifetime to hold and manage their assets. The person creating the trust, called the grantor, appoints a trustee to manage the trust assets for the benefit of the beneficiaries named in the trust document.

Revocable vs. Irrevocable Living Trusts

There are two types of living trusts: revocable and irrevocable. A revocable living trust can be altered, amended, or revoked by the grantor during their lifetime. In contrast, an irrevocable living trust cannot be changed or terminated without the consent of the beneficiaries. While challenging a revocable living trust can be difficult, it is not impossible.

Grounds for Challenging a Living Trust

There are several reasons a living trust may be contested:

Lack of Capacity

A living trust can be challenged if the grantor lacked the mental capacity to create or amend the trust. This may occur if the grantor was suffering from dementia, Alzheimer’s, or another condition that impairs their ability to understand the consequences of their actions.

Undue Influence

Undue influence occurs when a person uses manipulation, coercion, or threats to force the grantor into creating or amending a trust. If it can be proven that the trust was created or changed under undue influence, the court may declare the trust invalid.

Fraud or Forgery

If the trust document was forged or created under fraudulent circumstances, it could be contested. This may involve proving that the grantor was tricked or deceived into creating the trust or that their signature was forged.

Improper Trust Formation

A living trust must be created in accordance with specific legal requirements. If the trust document is missing essential elements or was not executed correctly, it may be challenged and deemed invalid.

Hess-Verdon & Associates: Your Trust and Probate Litigation Experts

When you need guidance on challenging a living trust, turn to Hess-Verdon & Associates. With over three decades of experience in estate planning, trust and probate litigation, we offer unparalleled expertise to help you navigate this complex process. Our commitment to delivering comprehensive, results-oriented legal counsel ensures that you receive the best possible representation. Our extensive background in trial preparation, strategy, and presentation makes us the ideal choice for your trust and probate litigation needs. Call us today at 1-888-318-4430 for a consultation.

Conclusion

In conclusion, a living trust can be challenged under specific circumstances, such as lack of capacity, undue influence, fraud, forgery, or improper trust formation. If you believe you have grounds to contest a living trust, it’s essential to seek legal guidance from experienced trust and probate litigation attorneys, like Hess-Verdon & Associates, to ensure you follow the correct procedures and maximize your chances of success.

FAQs

1. How long do I have to contest a living trust?

The time limit for contesting a living trust varies by state. In most states, you must file a trust contest within a specified period after receiving notice of the trust’s existence or the grantor’s death. Consult with a trust and probate litigation attorney to determine the time limit in your jurisdiction.

2. What happens if a living trust is successfully contested?

If a living trust is successfully contested and declared invalid, the assets may be distributed according to the grantor’s previous estate plan or, in the absence of a prior plan, as per the state’s intestacy laws.

3. Can a trustee contest a living trust?

A trustee generally cannot contest the trust they are responsible for managing. However, if the trustee is also a beneficiary of the trust, they may have standing to challenge the trust under specific circumstances.

4. Can I challenge a living trust if I am not a beneficiary?

In most cases, only beneficiaries or those who would have been beneficiaries if the trust were declared invalid have standing to challenge a living trust. If you believe you should have been named as a beneficiary, consult with a trust and probate litigation attorney to determine if you have a valid claim.

5. How much does it cost to contest a living trust?

The cost of contesting a living trust depends on various factors, including the complexity of the case, the attorney’s fees, and the duration of the litigation process. To obtain a better understanding of the potential costs, consult with a trust and probate litigation attorney.