When is a Testamentary Trust Right?
A testamentary trust is a trust that is created by a will and that does not take affect until after the death of its' creator, referred to in legal terms as the testator. (Blacks Law Dictionary 5th ed. 1979, 1376). Generally, a testamentary trust is appropriate for someone who wants to create a trust which only takes effect after his or her death.
A testamentary trust may be right for you if you'd like to leave real or personal property for the benefit of another person, however, you do not want that person to have immediate control of that property. For example, some parents chose to create a testamentary trust which holds the family home in trust for their children. Parents may chose to place the home in a trust because they feel that the children are not ready to assume the responsibility of managing the property until after they pass away. Parents generally add a "conditional devise" to a testamentary trust if their children are minors. A conditional device merely states that the property passes to the children only if specified conditions occur. For example, a father may set a condition that the children will receive the property after his spouse dies.
If you have more questions about estate planning or wills drafting and live in the Los Angeles area you should consult with a Los Angeles estate planning lawyer.