Estate Planning is Required for Divorced Parents by Joe Hendricks & Cory DeBord
Estate planning is essential for divorced parents. The failure to have an estate plan could lead to your ex-spouse controlling all of your assets. Even a simple will can go a long way to securing your children’s future.
Cory DeBord is an attorney in Canton, Georgia and a former Assistant District Attorney under Joe Hendricks.
Cory DeBord is an attorney in Canton, Georgia and a former Assistant District Attorney under Joe Hendricks.
Five years ago, a marriage ended with a bitter divorce dominated by a brutal and costly custody battle. The custody battle strained whatever civility existed between the parents and instilled a deep hatred between their families. In the end, mom was awarded physical custody of the one year-old child. Dad moved to Ohio. He visited as often as possible. The parents rarely spoke to one another, and, when they did speak, the conversation was about arranging dad’s visitation.
A few months ago, Mom unexpectedly died. The little girl, now six, was sent to live with her dad in Dayton. Such adjustments are very challenging for both the parent and child under ordinary circumstances, but the sudden and tragic death makes the transition especially difficult.
That adjustment is even more complicated because mom did not have a will or any estate plan at all. When a person dies without a will (known as intestacy), her possessions are required to be distributed according to the intestacy statutes. In this situation, the daughter will receive her mother’s property. The father will be tasked with seeking to distribute his ex-wife’s property. He has to account for what property she had (real property, cars, money in bank accounts, jewelry, etc.) He has to dig into her financial background to find life insurance and retirement plans. In the process, he has to interact with her family, which despises him because in the custody battle he alleged her mother had a substance abuse problem.
This situation cannot be what mom wanted. She completely trusted her stepfather, an accountant, with her financial affairs. Unfortunately, he had no legal ground upon which to intervene. Surely she did not want her ex-husband, with whom she had spoken only when necessary, to be digging around in her financial affairs when the stepfather already knew everything. However, the stepfather refuses to speak to the dad because of the substance abuse allegations he made against his wife. Putting these issues aside, she probably did not think that anyone would have to expend time, money, and effort to gather her property for the benefit of her daughter. She did not want what her daughter gets to be reduced by fees paid to accountants and attorneys. Yet, that is exactly what is going to happen.
Regrettably, the situation could have been prevented with a will (and a routine one, at that). With just a little bit more planning, a trust could have been established that would have ensured that her parents would have some input in their granddaughter’s life. As part of our family law practice, we encourage our clients to create wills as part of the transition in their living situation. Changes in life, whether a marriage (or divorce), birth of a child, a higher-paying job, retirement, or selling/buying property, should always prompt a re-evaluation in estate planning. Your will or you living trust should match the changes in your life.
The time and money spent on crafting a will or estate plan tailored to your needs pales in comparison to the terrible situation of having someone you do not trust deciding how to use your property to take care of your child. Most people doubt they will confront this situation. This mother doubted it, too. Yet, it happened. It actually happens more frequently than you would imagine. We can help make sure it does not happen to you.
A few months ago, Mom unexpectedly died. The little girl, now six, was sent to live with her dad in Dayton. Such adjustments are very challenging for both the parent and child under ordinary circumstances, but the sudden and tragic death makes the transition especially difficult.
That adjustment is even more complicated because mom did not have a will or any estate plan at all. When a person dies without a will (known as intestacy), her possessions are required to be distributed according to the intestacy statutes. In this situation, the daughter will receive her mother’s property. The father will be tasked with seeking to distribute his ex-wife’s property. He has to account for what property she had (real property, cars, money in bank accounts, jewelry, etc.) He has to dig into her financial background to find life insurance and retirement plans. In the process, he has to interact with her family, which despises him because in the custody battle he alleged her mother had a substance abuse problem.
This situation cannot be what mom wanted. She completely trusted her stepfather, an accountant, with her financial affairs. Unfortunately, he had no legal ground upon which to intervene. Surely she did not want her ex-husband, with whom she had spoken only when necessary, to be digging around in her financial affairs when the stepfather already knew everything. However, the stepfather refuses to speak to the dad because of the substance abuse allegations he made against his wife. Putting these issues aside, she probably did not think that anyone would have to expend time, money, and effort to gather her property for the benefit of her daughter. She did not want what her daughter gets to be reduced by fees paid to accountants and attorneys. Yet, that is exactly what is going to happen.
Regrettably, the situation could have been prevented with a will (and a routine one, at that). With just a little bit more planning, a trust could have been established that would have ensured that her parents would have some input in their granddaughter’s life. As part of our family law practice, we encourage our clients to create wills as part of the transition in their living situation. Changes in life, whether a marriage (or divorce), birth of a child, a higher-paying job, retirement, or selling/buying property, should always prompt a re-evaluation in estate planning. Your will or you living trust should match the changes in your life.
The time and money spent on crafting a will or estate plan tailored to your needs pales in comparison to the terrible situation of having someone you do not trust deciding how to use your property to take care of your child. Most people doubt they will confront this situation. This mother doubted it, too. Yet, it happened. It actually happens more frequently than you would imagine. We can help make sure it does not happen to you.