Trust /estate question

Bankruptcy and Debt 5 views 4 answers
When my mother in law passed away she had a seperate trust which specified beneficiaries. Somehow my father in law transferred her trust assets into a marital trust, then before he died he set up a charitable trust and transferred all of the trust assets into the charitable trust -the charitable trust eliminated most of the benficiaries of my mother in laws trust.is that legal, or can a challenge be filed?

Attorney Answers

4
Mira Radadia ·
Whether your father-in-law had the right to do so depends on the terms of your mother-in-law's trust. It is possible that the trust authorized your father to transfer the trust property. I suggest asking a local attorney to help you review the trust and explain the provisions.
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Ivette M SantaellaEstate Planning AttorneySan Ramon, CA ·
Hello, Your spouse may want to ask the father about this transaction and if he or she can see a copy of the separate trust if they were beneficiaries. It is better to voice your concerns and find out what happened before escalating and ruining a familial relationship and possibly being excluded from your father-in-law's estate plan.
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Armen Gregorian ·
The answer to your question depends on the terms of the particular trust. The trust may have given authority to your father-in-law to make certain distributions, or it may have given him a limited power of appointment. You should review the trust. Since there may be a lot of nuances in the terms of the trust, I recommend you also consult with an attorney who can review the terms to make sure your father-in-law acted in accordance with the authority in the trust.
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Christine James ·
A complete review of the trust created by your mother-in-law and father-in-law would be necessary to see if he had the right to revoke and/or amend the trust after your mother-in-law passed away. If he did have that right, a challenge would probably not be successful.
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