Here’s a question I often hear: “I’m concerned that, when I die, my beneficiaries will ask my trustee for more than I intended to leave them. Is there a way to protect the terms of the trust?”
What’s the answer? Place an “In Terrorem” clause into your trust. This clause should substantially state the following: “The distributions, allocations and appointments contained in the Trust are intended to be in lieu of any other claims of whatsoever nature and whether arising by statute or otherwise by any taker hereunder, and any taker who asserts such claim or contests this Trust shall forfeit all distributions, allocations and appointments to him or her herein and shall be treated as if that person were deceased. This section shall not be construed to limit the appearance by any taker as a witness in any proceeding for the probate of either Settlor's will or for the construction or interpretation of this Trust.”
The addition of this clause should keep any beneficiary from contesting the terms of your Trust.
Grayson P. Van Horn is an attorney at law serving Oklahoma residents and property owners.
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