North Shore Law

Trusts

2010-07-22T09:30:00.000-07:00

When discussing Trusts, here are some terms you may come across:

Settlor means the person who establishes the trust
Trustee means the person chosen by the Settlor to manage the assets of trust
Beneficiary means the person for whose benefit trust assets are held

There are also numerous ways to classify trusts, including by how the trust was created, the object of the trust, whether the trust was created during the settlor’s life or upon the death of the settler, or whether the trust is for a charitable or non-charitable purpose. One of the most common ways to classify trusts is by the Trustee’s discretion.

In a non-discretionary trust, the Trustee has no discretion with respect to who is to receive the benefits under the trust and how much they are to receive. For example, the Settlor has created a trust that named specific beneficiaries and the proportions or specific amounts that each beneficiary will receive.
In a discretionary trust, the Trustee is given discretion as to who among a group of people is to receive benefits from the trust or discretion as to the amounts each beneficiary is to receive or both. For example, many parents will specify that the residue of their estate will be held in trust for their children until a specified age but will leave the discretion to the Trustee as to the amounts spent on basic needs, education, for purchase of a home or property, or other expenditure for their benefit.

To find out more about how trusts can fit into your estate plan, call Doug or Elizabeth at (604) 980-8571 to set up an appointment.

When Should I Get a Power of Attorney?

2010-07-08T09:30:00.000-07:00

A Power of Attorney is a powerful legal document that allows you to pick one or a team of people to assist you with your legal affairs in the event that you are unable to attend to your own. You may not be able to manage your legal affairs because of incapacity, but also because you are absent from the city or country for a period of time or because you are physically unable to do so (like breaking both of your wrists in a rollerblading accident). You can only sign a Power of Attorney if you meet the legal, not medical, test for capacity. As I would imagine that none of you are able to schedule even the day or the week that you may lose your capacity, a Power of Attorney is an important part planning at any and all stages of your life.

Without a Power of Attorney, which is effective only while you are alive, you are ensuring that a trusted person or institution in your life has the authority to manage your affairs – pay bills, obtain information, access funds for care, sign on your behalf and all the legal decisions involved in your daily life.

A Power of Attorney is an important and powerful document that is needed before it is needed. Call us at (604) 980-8571 and ask for Doug Crawford or Elizabeth Mah to set up an appointment to have your questions answered or to execute a Power of Attorney.

PS. This blog is NOT meant to frighten – but to enlighten.

When Should I Update My Will?

2010-06-24T10:40:00.000-07:00

Though we all know that as responsible adults it is imperative to have an estate plan in place, it is something we tend to put on the back burner, with optimistic thoughts of longevity. We should all also know by now that the unplanned and the “Unexpected Happens”.

That being the case, if you don’t have an estate plan in place – stop procrastinating!

If you do have an estate plan in place, consider its current relevance:

Has your marital status changed since you wrote your Will? If you have married since you last signed your Will, it has likely become invalid unless a specific clause about your contemplation of marriage has been included in your Will. If you have entered into a common law relationship or become divorced, your Will may have result in unintended distributions of your estate.
Has your family grown? Do you wish to include the new additions to your family as beneficiaries in your Will? Education trusts for your grandchildren?
Do your chosen Executors or Guardians remain willing and able to act in those roles? Are they still the people you want to have named in those roles?
Have any of your beneficiaries suffered accidents or illnesses that may render them unable to manage the financial gifts you have made to them? Have you considered using trusts to ensure that your intentions are carried out as you had planned?
Have there been significant changes to your assets or liabilities since you last signed your Will?
Do your wishes remain the same as at the time you wrote your Will?

We are here to ensure that your estate plan remains relevant and valid. If you are not sure, please feel free to make an appointment for a free initial consultation and we would be pleased to review your current documents to ensure they meet your needs.

You can call (604) 980-8571 and ask for Doug Crawford or Elizabeth Mah.