California Probate Code 850 is infamously known throughout the state as the basis for a Heggstad Petition, named after the landmark case, Estate of Heggstad. In this case, the Grantor of a revocable living trust had transferred trust property back into his personal name for refinancing purposes. The grantor died before he could transfer the property back into the trust. The court applied Section 850 and allowed a post-humous transfer of the real property back into the revocable trust.

Carol and Richard were married for 14 years but separated in 1989. As part of their separation agreement, they each agreed to execute irrevocable wills that named only their two children as beneficiaries of their respective estates. Each party agreed to give a copy of their new will to the other.

Many years thereafter, Carol and Richard both remarried other individuals, and each executed new wills. Carol’s new will left her personal effects to her new husband. If he were to predecease Carol, then her personal effects would be divided between her kids and her new husband’s kids. The residue of Carol’s estate was devised to a revocable trust; Carol and her new husband were grantors of the trust and each retained a general power of appointment to change the beneficial interests of the trust.

Back to school is a busy and emotional time for parents and their children, especially if the child will be going off to college or moving away. Parents may not realize, however, that turning eighteen is even more life-changing for their child than moving into a dorm room or registering for college classes. This milestone is the ideal time for you to reach out to clients, leads, and referral sources to help parents and their children adapt to the legal realities of adulthood. Read on to learn more about how estate planning for young adults can give the entire family peace of mind.