When people think of divorce, whether it is contemplating a premarital agreement in the event of divorce or filing for a dissolution action against their current spouse, many people overlook how a marriage or a divorce can impact their estate. Generally, estate planning is always recommended, at any stage of your adult life. However, it is especially important to consider in family law and how a family law event can impact the passing of your property. The importance is rooted in community property laws, intestate laws (dying without a will), and ultimately, how each individual wishes to pass on their property after death.
Importance of Estate Planning- Intestate Laws & Continuing to Update
Should someone in the State of California pass away without a will, their property will pass by intestate laws. If you have intentions to pass your property after death in a specific manner, to specific people, or under specific conditions, it is extremely important to estate plan accordingly and early on in life. Many people disregard estate planning until they are older; however, given the uncertain nature of life, it is always recommended to think ahead and be prepared.
As you will see below, the creation and responsibility to preserve your estate never ends. It is something that should be considered at every stage of your life to ensure that it continues to reflect your intentions.
Estate Planning & Premarital Agreements
Even before reaching your wedding day, estate planning can be an important factor to consider. Premarital agreements directly alter and change what is considered separate and community property during marriage. It can further waive intestate laws that kick in upon marriage. Although premarital agreements and estate planning instruments act with separate intentions, they should walk hand and hand with each other. Therefore, when contemplating a premarital agreement, ensure that it mirrors the language in your estate planning. Should you wish to alter your estate upon marriage, here arises one of the many times it may be necessary to update your estate plan to reflect your current intentions.
Estate Planning While Married
During marriage, many couples decide to write wills, establish trusts, and utilize an estate planning instrument to ensure that their community estate and separate estates are divided out according to their intentions. Marriage, the act, automatically kicks in property laws and intestate laws if the Parties do not estate plan accordingly. For instance, if someone is married and passes without a will, the surviving spouse generally will receive all community property and some separate property by law. In addition, many spouses elect to estate plan together to create joint wills and a trust to pass their property to their children or close loved ones. For this reason, if one has not already created an estate plan before marriage, it is often an occurrence that arises shortly after the union and marriage of the two Parties.
Altering Estate Matters During the Pendency of a Divorce
Once a divorce matter has commenced and has been properly served, both Parties are bound by Automatic Temporary Restraining Orders (ATROS). These restraining orders prohibit the Parties from altering the status quo without agreement or entry of divorce. This includes restraint from altering your estate plan or joint estate plan. Therefore, it is important to be aware that once a dissolution case has commenced, there his a barrier preventing changes to your estate planning until entry of dissolution- unless the Parties enter into a written agreement.
Altering Estate Matters at the Entry of a Divorce Decree
Once you receive that divorce decree, that should trigger all Parties to review their estate planning to ensure its accuracy. Because many Parties to a marriage alter their estate for their partner to be the recipient and/or beneficiary of their estate, it is important to review and change said beneficiary upon divorce. This is often forgotten about; however, it is arguably the most important and life-changing event that can directly alter the intentions of an estate plan.
At Butler Law PC, we focus exclusively on family law and understand how life changes, like marriage or divorce, can affect your future plans. Our team is committed to guiding you through these transitions with clarity and care, so your agreements and decisions reflect your intentions. Whether you are preparing for marriage or navigating a divorce, we provide the expertise and support you need to protect what matters most.
Do not forget about the Witching Wills; the spooky terms within will return to haunt you!