Trust Contested in Ohio

What is a Trust?

Before we delve into the grounds for contesting a trust, we must elaborate on what a trust is all about. A trust is a legal document established by a grantor. During the creation process, the grantor is required to name a trustee who’ll manage the trust assets. This trustee could be anyone, including themselves.

The trustee’s primary role is to ensure the guidelines in the trust are followed accordingly and safeguard the rights of the beneficiaries and interests of the trust. When the trust is established, it needs to be financed. Funding a trust means transferring asset ownership to the trust. For instance, the grantor can transfer investments or real estate to the trust.

Trusts can be revocable or irrevocable. A revocable trust allows you to amend the terms of the trust, while an Ohio irrevocable trust does not allow you to make changes to the trust document.

Contesting A Trust – What Does it Mean?

Contesting a trust is a long process involving contesting the terms or validity of a trust document. Therefore, you have to file a lawsuit in court to contest the establishment of the trust, its running, and the terms of the trust. This is not the same as contesting a will, but both procedures require the same grounds. Nonetheless, the timeframe and procedural necessities differ.

Can a Trust Be Contested?

Yes. It is possible to contest a trust, and the first step is going to a probate court to file a case. There are a few reasons why people can opt to contest a trust, and the following are the most common ones:

• Suspicions of forgery or fraud.
• Disputes or problems with the way the trustee is handling the trust assets.
• Unhappy beneficiaries who don’t like the trust terms.
• Suspicions that the grantor was under undue influence or had mental issues when creating the trust.
• People who believe they should have been included in the trust.

Nevertheless, knowing that some of these reasons aren’t legally acceptable is essential. Also, contesting a trust doesn’t guarantee success in changing the trust terms.

How to Contest a Trust

To contest a trust in Ohio, you need to file a case in the court administering it. Your petition will list down the reasons why you’re contesting the trust. Remember that you don’t have much time to file the petition, so if you aren’t sure about it, do your due diligence before time runs out.

Moreover, specific regulations concern the details the trust must include and who you need to notify about contesting the trust. Because challenging a trust can be complicated and involve multiple emotional and legal consequences, it would help if you talked to a trust litigation lawyer to give you a hand. A seasoned lawyer can review your case and advise you on the right way forward.

For instance, if there is a no-contest clause, they’ll explain the implications involved.

When to File the Trust Contest Petition?

As pointed out, it is vital to file your petition on time. Trust contest petitions have to be filed within six months of giving the beneficiaries a proper notice. Also, if your case is based on the trustee’s violation of their fiduciary duty, time extensions might apply. Again, you can petition for an Ohio breach of fiduciary duty damages  in this case.

Legal Grounds for Contesting a Trust

There are numerous reasons why people can try to contest a trust. However, only a few are legally acceptable. They are as follows:

Undue Influence

The beneficiary or trustee could impart unnecessary pressure on the grantor so that they can gain financially. This falls under undue influence, and it is legally acceptable as a reason for contesting a will.

Lack of Mental Capacity

Lack of capacity means the grantor was not in the right mind when creating or amending the trust. A beneficiary, the trustee, or other interested party could have taken advantage of their mental state and lured them into making a trust that could benefit them.

Fraud

Fraud means that the trust was established for self-dealing or illegal purposes. This is legitimate ground for contesting a will, and with the right evidence, you could win.

Error in Execution

Suppose the trust documents do not comply with Ohio state laws regarding how they were executed or created. Sometimes, you only need a particular clause amended instead of the entire trust document. This could be due to a language issue, such that the beneficiaries interpret it differently.

For this reason, if the trust is not cautiously drafted, it could lead to ambiguity about how the division of assets should occur and on what conditions. You can contest a trust to get language clarification. On the other hand, this won’t result in the trust being thrown out, just a few amendments.

Many trust disputes are due to the trustee’s breach of fiduciary duty after the trust is effected. Most of the time, this ends with the appointment of a different trustee and a close assessment by the courts.

How Much to Contest a Trust?

Contesting a trust can be expensive, but there is no specific price; therefore, it depends on the amount paid in Ohio probate and attorney fees. The more time it takes to settle a trust dispute in court, the more expensive it will be.

An estate planning lawyer can charge a fixed amount, contingency fee, or hourly fee. Thus, depending on how complex the case is, it may cost up to $100,000 or more to contest the terms of the trust. For this reason, it’s critical to weigh what you’ll gain vs. what you’ll lose before you begin the trust contest process.

Can You Successfully Contest a Trust?

Your accomplishment of this endeavor will depend a lot on what’s being disputed, the lawyer’s experience, and the validity of your case. If you’re disputing a trust because you suspect the trustee is exploiting it for their personal gains, remember that this will be hard to prove.

As pointed out, it may be challenging to fruitfully dispute a trust if you don’t have the proper evidence. You may suspect that the trustee or a beneficiary is using the trust for personal gain, but without evidence, it would be best not to present the matter in court.

What Happens After Contesting a Will Successfully

After successfully contesting a will, what’s next? If the trust is rendered invalid, the trust assets will be divided according to the guidelines written down in the deceased person’s prior estate planning documents, provided they are valid.

Suppose the deceased person doesn’t have any estate planning documents. In that case, the trust assets become part of their intestate estate and, in the long run, be divided into the deceased person’s heirs through Ohio’s intestate succession. Generally, the people who’ll inherit in such a situation are the children, spouses, and other close relatives.

However, if the trustee is the issue, they could be replaced when the Ohio affidavit of successor trustee-what to know, is presented in court.

Related Questions

When Do Ohio Co-Trustees Have to Act Jointly?

Allowing trustees to act autonomously in Ohio could help accelerate the administration process. Trust law usually dictates that co-trustees act unanimously. Nonetheless, if the trust agreement instructs, they can act independently, and the trust overrides the Ohio laws.

When Is Ohio Probate Required?

A trust dodges probate on its assets that are put under the name of the trust. The trust terms have to be divulged to the beneficiaries when the terms are irrevocable. However, if a trust is contested, the trust has to go through probate.

Ask for Assistance When Contesting a Trust!

From Ohio trust accounting requirements to other trust contest issues, please get in touch with us. At Hess-Verdon & Associates, our estate planning attorneys and probate teams know the challenges and realities surrounding trust contest issues.

We can assist in assessing whether the evidence you have is sufficient to file a petition to contest the trust. Moreover, we could suggest out-of-court solutions that may achieve your objectives. Finally, we will help you ensure your family’s interests are adequately represented and your rights are protected.