In Michigan Estate Planning 2009 Tip #1, I talked about whether you have updated your financial power of attorney.  Michigan Estate Planning 2009 Tip #2 covers reviewing your revocable living trust.

Most of our estate planning clients have executed a Michigan revocable living trust for the usual probate avoidance and greater control benefits versus just executing a Michigan will.  One of the important keys when you execute a Michigan revocable living trust is to make sure the living trust is properly funded.

Any assets that are not funded into the trust will not avoid Michigan probate, which is one of the main reasons for setting up a revocable living trust.

With our clients, we offer an annual program called Foundations, where we meet with clients on an annual basis to ensure that all of their accounts and assets are properly funded into their trusts.  This process makes sure that our clients achieve their goal of avoiding probate.

So, in 2009, have you met with your Michigan estate planning lawyer to review your estate plan and make sure all of your assets that should be funded into the trust have been funded?

-Christopher J. Berry, Esq.
Detroit Estate Planning Lawyer

Have you updated your Michigan financial power of attorney recently?  If your financial power of attorney is more than a few years old there have been problems with banks and other financial institutions accepting the financial power of attorney due to bank policy.

They have no legal ground to stand on, but it is often easier to visit your Michigan estate planning lawyer on an annual basis to review and update your financial power of attorney and other Michigan estate planning documents then to take the bank or financial institution to court to enforce the documents.

-Christopher J. Berry, Esq.
Bloomfield Hills Estate Planning Attorney

When a loved one has recently deceased, it is important to contact your Michigan estate planning lawyer or Michigan probate lawyer before you begin to handle any Michigan estate administration.  Otherwise the creditors of your deceased loved ones can coerce you into paying debts that you or the estate may not be liable for.

There has been an online report of Bank of America deliberately, doing just that. They are misleading individuals to pay the debts of recently deceased parents.  You can read the alleged exchange between Paul Kelleher who had recently lost his mother and a Bank of America rep.

Paul Kelleher: Yes, I’m calling to inform you that my mom died on the 24th of January.Bank of America Estates representative: I’m sorry. Oh, it looks like she never even missed a payment. That’s too bad. Well, how are you planning to take care of her balance?

PK: I’m not going to. She has no estate to speak of, but you should feel free to just go through the standard probate procedure. I’m certainly not legally obligated to pay for her.

BOA: You mean you’re not going to help her out?

PK: I wouldn’t be helping her out — she’s dead. I’d be helping you out.

BOA: Oh, that’s really not the way to look at it. I know that if it were my mother, I’d pay it. That’s why we’re in the banking crisis we’re in: banks having to write off defaulted loans.

Continue reading “Bank of America Deliberately Tricking Children into Paying Parent’s Debts” »

A 93 year old Bay City, Michigan man passed away because he was in arrears on his electric bill and froze to death when the power company shut off his power last month.

It turns out Marvin Schur has left $600,000 to the Bay Regional Medical Center in his will.  While his death happened under odd and unfortunate circumstances his Michigan estate plan makes sense and shows the good a person can do through Michigan estate planning.

Mr. Schur was an Army medic who was saving lives during his service.  His nephew states in the Detroit Free Press article “He led a nice life, except for his tragic ending. With his contribution to the hospital, he’ll still be helping people save lives. He’ll be doing it in death.”

-Christopher J. Berry, Esq.
Michigan Estate Planning Lawyer

When preparing a Michigan special needs trust or Michigan supplemental needs trust for an individual who is receiving governmental benefits, it is important to keep in mind how assets are titled.  A key is to review the beneficiary designations so that the assets that are supposed to be funded into the Michigan special needs trust are properly designated.

It is important to have a Michigan special needs trust lawyer review those designations with you on a regular basis.

Jacksonville estate planning lawyer, David M. Goldman, has prepared a list of common assets that should be reviewed when you have a special needs child.  You can read his post Common Asset to Review With a Florida Special Needs Trust.  While David M. Goldman is an Florida estate planning lawyer, his points remain true in Michigan as well.

-Christopher J. Berry, Esq.
Michigan Special Needs Trust Lawyer

The Michigan Court Rules that apply to Michigan Probate and Estate Planning procedure will be undergoing some minor tweaks effective May, 1 2009.  The amendments will be effecting Michigan Court Rules 5.105, 5.125, 5.206, 5.302, 5.306, 5.307, 5.309, and 5.403 along with a new rule Michigan Court Rule 5.411.

The Michigan Institute of Continued Legal Education has provided the full text to the amendments here.

Briefly, new Michigan Court Rule 5.411 provides that all conservatorships with unrestricted assets may require bond to be set by the court in an amount the court deems necessary to protect the estate or as required by statute.  The new court rule also states that no bond shall be required of trust companies organized under Michigan law or banks with trust powers, unless the court deems otherwise.

Christopher J. Berry, Esq.
Michigan Probate Lawyer

As a Michigan estate planning lawyer, we help our clients plan for their pets through the use of pet trusts.  Especially for our clients that are horse owners.  Many people when the plan their estate do not thing of the ramifications for their pets.  Our clients do not want to see their pets euthanized, therefore they plan for the pets in their estate planning with a Michigan pet trust.

A San Diego estate planning lawyer and colleague of mine, Roy M. Doppelt at Pinkerton, Doppelt, & Associates, LLP wrote a great article about the 7 Reasons to Have a Pet Trust.

His same reasoning applies in Michigan as well.  Especially his point about the necessity for a trust that takes into account horse ownership, known as a pet trust.  Owning a horse can be a complicated, expensive, yet rewarding experience.  That said not everyone has what it takes or the resources to properly care for a horse, if you were unable to.

Read San Diego Estate Planning Lawyer, Roy M. Doppelt‘s entire article on 7 Reasons to Have a Pet Trust for more informaiton on why having a pet trust is important for pet owners.

-Christopher J. Berry, Esq.
Michigan Pet Trust Lawyer