Amending and Restating Revocable Trusts: Best Practices and Legal Implications
Planning for the future is important, and having a revocable living trust is one of the best ways to protect your assets and ensure your wishes are honored. However, life changes, and so should your estate plan. When thinking of changing your estate plan, you need to understand how to properly amend or restate a revocable trust in Florida.
When Should You Amend a Revocable Trust?
Many life events might require you to make changes to your trust. Some of the most common reasons include:
- Adding or Removing Beneficiaries: You might want to add a new family member or remove someone who is no longer part of your life.
- Changing Your Trustee: If your current trustee can no longer serve, you may need to appoint a new one.
- Updating Distribution Terms: You may want to change how and when beneficiaries receive their inheritance, such as setting age limits or adding conditions.
- Marriage, Divorce, or Loss: Life events like getting married, divorcing, or losing a loved one may also prompt trust updates.
How to Properly Amend a Revocable Trust in Florida
In Florida, amending a revocable trust requires the following specific steps:
- Review the Trust Document: Check the trust for any instructions on how to make changes. If no method is stated, Florida law allows the grantor to make changes through a signed and notarized amendment.
- Draft a Clear Amendment: Write a document titled “Amendment” that clearly states the changes you want to make. Reference the exact sections you are updating.
- Sign the Amendment Correctly: The grantor must sign the amendment in front of two witnesses (who cannot be the trustee) and a notary.
- Provide the Trustee with a Copy: Give the updated trust document to the trustee so they can carry out the changes.
Florida law requires that any amendment to a trust must “substantially comply” with the instructions laid out in the original trust document. Failing to follow these steps could make your changes invalid. For example, in the caseGrassfield v. Grassfield, a man’s trust changes were overturned because he did not deliver the updated document to his co-trustee as required.
Contact Schnauss Naugle Law today to ensure your trust changes are handled correctly and securely.
