Asked by Emily_ nicole on Jun 11, 2024
Verified
Lyle and Susie had three children: Seed,Sierra,and Shasta.All three children are adults.Although Sierra and Shasta each attend college,Seed has not quite found himself.Seed tours with various music bands.He plays guitar,spends most of the year hiking the Cascade Mountains,and plans to live on a commune in Big Sur,California.Lyle and Susie visited their attorney to plan their estates.They wish to leave equal shares of their estates to their children,but they are concerned that Seed will not be able to handle an inheritance.What should they do with respect to Seed's share?
Estate Planning
The process of arranging the management and disposal of a person's estate during their life and after death.
Inheritance Management
The process of handling and distributing the assets of a deceased person's estate according to legal guidelines or their will.
Commune
A community living situation where resources are shared and decisions are made collectively.
- Understand the diversity of trust types and their specific objectives, such as express, spendthrift, and resulting trusts.
- Examine estate planning approaches and legal regulations critically to align with the dynamic legal climate, encompassing modifications to laws or the introduction of will alternatives.
Verified Answer
BA
Brad and Heather WolkersdorferJun 13, 2024
Final Answer :
Lyle and Susie can establish a spendthrift trust for Seed.A spendthrift trust restricts the transfer of benefits to the beneficiary,usually at the discretion of the trustee for purposes of food,clothing,shelter,medical care,and other necessaries.A spendthrift trust may also prevent a creditor from attaching Seed's portion of the benefits,provided that the creditor is not seeking payment for furnishing necessaries to Seed.
Learning Objectives
- Understand the diversity of trust types and their specific objectives, such as express, spendthrift, and resulting trusts.
- Examine estate planning approaches and legal regulations critically to align with the dynamic legal climate, encompassing modifications to laws or the introduction of will alternatives.