What Happens When a Will Contradicts a Trust?
Wills and trusts are two of the most common tools used in estate planning. Both serve as legal documents that outline a person’s wishes for how their assets should be distributed after their death, but they do so in different ways. Sanders & Sanders, Attorneys at Law is here to help you differentiate between the two and understand what happens if they contradict each other.
Wills are often straightforward and come into play only after a person passes away, while trusts can operate during the person's lifetime and can avoid some of the formalities of probate. Ideally, a will and a trust should work together harmoniously. However, when there’s a conflict between the provisions of a will and a trust, it can lead to legal confusion.
Understanding what happens when a will contradicts a trust is important for anyone who is considering creating either or both documents as part of their planning, and our estate law firm in Upper Marlboro, Maryland, is happy to guide you through this situation.
How Wills and Trusts Work Together
Before exploring the complications that can arise from conflicting wills and trusts, it’s useful to understand how these two documents typically function in estate planning. A will is a document that outlines a person’s wishes regarding the distribution of their property upon their death.
It also appoints guardians for minor children and designates an executor who will carry out the terms of the will. On the other hand, a trust is a legal arrangement in which one party (the trustee) holds property for the benefit of another party (the beneficiary). Trusts can be set up to take effect during the individual's lifetime (a living trust) or after death (a testamentary trust).
The key advantage of a trust is that, when properly set up, it can avoid the probate process, a court-supervised procedure for distributing a deceased person’s estate. A will, by contrast, generally requires probate, unless all assets are placed in a trust.
For this reason, people often use both tools to accomplish different goals. A will can designate the assets that aren’t covered by a trust, while the trust handles the primary assets that are intended to avoid probate.
When a Will Conflicts With a Trust
A situation where a will contradicts a trust typically occurs when the instructions in the will differ from those in the trust regarding the distribution of assets. These contradictions can lead to disputes among beneficiaries, challenges to the validity of either document, or delays in the probate process.
The resolution of such conflicts depends on several factors, including the nature of the documents, the timing of their creation, and the jurisdiction’s laws. There are several common scenarios in which contradictions may arise:
Asset distribution conflicts: The most frequent form of contradiction occurs when the will and trust list different beneficiaries or offer different distributions of the same asset. For example, the trust might name a beneficiary to receive a particular asset, while the will might leave that same asset to a different person.
Revocation or amendment conflicts: A person may amend their will after creating a trust or vice versa. If the amendment to the will contradicts the provisions of an earlier trust, it may create confusion about which document is controlling.
Changes in estate plans: Over time, a person’s financial or family situation may change, prompting updates to a will or trust. If these updates aren’t made consistently, contradictions may arise between the two documents.
Which Document Prevails in the Legal Hierarchy?
When a will contradicts a trust, one of the primary concerns is determining which document takes precedence. The answer depends on the specific situation, but a general rule is that a trust usually prevails over a will in the event of a conflict.
This is because a trust typically represents a person’s intentions while they’re still alive, and the assets placed in a trust are considered to be outside of the will’s purview. Some key points that help explain why a trust might be prioritized over a will include:
Trusts take effect during life: A trust can begin operating during the settlor’s lifetime, meaning it has already established ownership and control over certain assets. As a result, the assets held in the trust aren’t subject to the provisions of the will, even if the will contains conflicting instructions.
Probate avoidance: One of the main purposes of a trust is to avoid probate. Since a will requires probate to be enforced, it’s generally assumed that the provisions of the trust take precedence, as the assets held in the trust bypass the probate process.
Clearer intentions in trusts: Trusts are often more detailed than wills and are designed to manage assets in the long term. Courts tend to favor the document that was designed to have ongoing effects over one that’s more short-term and reactive, like a will.
However, this doesn’t mean a will is entirely irrelevant. If a will explicitly revokes certain provisions of a trust or if a conflict cannot be resolved through the terms of the trust, the will may still have an impact.
Resolving the Conflict Between a Will and a Trust
In many cases, when a will contradicts a trust, it can be resolved through legal proceedings, although these may be time-consuming and costly. The resolution often depends on the specific nature of the contradiction and the intentions behind the documents.
Courts will typically examine the documents carefully to discern the deceased person’s intent. If there’s an ambiguity or inconsistency between the will and the trust, the following approaches may be taken:
Intentions of the testator or settlor: Courts will attempt to honor the intentions of the person who created the documents. If it’s clear that the person intended for the provisions of the trust to control, the will’s conflicting instructions may be disregarded.
Review of document dates: A will created after a trust may supersede the provisions of the trust if it explicitly revokes or alters certain terms. Conversely, a will created before a trust may be overridden by the trust’s provisions if the trust is a later, more comprehensive expression of the person’s wishes.
Clarifying ambiguities: If there’s an unclear or contradictory provision, such as the conflicting distribution of an asset, a court may look for extrinsic evidence (such as communications or actions taken by the decedent) to clarify their intent.
Partial validity: In some cases, the will and trust may be partially valid. For example, certain provisions of the will may conflict with the trust while others don’t. In these cases, the court may honor the valid portions of each document.
What Position Does Probate Court Play?
In the event of a contradiction between a will and a trust, a probate court may become involved in the process. If the matter cannot be resolved through private negotiation or mediation, the probate court will step in to interpret the documents and decide how the assets should be distributed.
This can be a lengthy and costly process, especially if the conflict involves large sums of money or complicated family dynamics. Since a trust typically avoids probate, assets held within the trust won’t be subject to probate proceedings, but the court may still need to address conflicts regarding non-trust assets.
If the will contains instructions for assets that should have been placed in the trust, or if it contradicts the trust’s provisions, the court may need to intervene to resolve the issue. There are ways to avoid this that you should keep in mind when drafting wills and trusts.
Preventing Conflicts Between Wills and Trusts
The best way to prevent conflicts between a will and a trust is to make sure that both documents are drafted with care and consistency. People creating estate plans should consider the following tips:
Consult an estate planning attorney: Even if you intend to create your own will or trust, seeking advice from a professional can help avoid conflicts down the road. A legal professional can help you align both documents and check that your intentions are clearly expressed.
Regularly review and update estate plans: Life changes—such as marriage, divorce, the birth of children, or changes in assets—can affect your estate plan. Make sure both your will and trust are updated regularly to reflect these changes.
Coordinate provisions between the will and trust: Make sure both documents work together seamlessly. For example, if you want certain assets to be distributed by the will, make sure those assets aren’t included in the trust, and vice versa.
Include a “pour-over” will: A pour-over will is a special type of will designed to move any assets not included in the trust into the trust upon your death. This can help resolve discrepancies between the will and trust by seeing that any assets left outside the trust are transferred into it automatically.
Enlist Experienced Legal Support Today
Our family-owned firm serves Upper Marlboro, Maryland, as well as Clinton, Bowie, Fort Washington, Largo, and the Washington D.C. area. Call our experienced estate planning attorneys at Sanders & Sanders, Attorneys at Law today to get connected with passionate and caring legal services.