You want your estate plan to stick when you’re gone. No fighting, drama or squabbles among your loved ones that turn into courtroom drama – just your wishes carried out as intended. Can including a no-contest clause in your will or trust help you achieve this?
First, it helps to understand how a no-contest clause works. This is a provision in your will or trust that says if a beneficiary challenges your estate plan and loses, they forfeit whatever gift or inheritance they were set to receive. The whole idea is to discourage disputes by making the consequences too risky.
Are no-contest clauses enforceable in Minnesota?
Under Minnesota law, no-contest clauses are generally enforceable. However, there is a crucial exception. If someone challenges a will or trust in good faith and with probable cause, the clause may not apply. In short, a no-contest clause won’t stop someone from contesting your will or trust if they have a strong case.
It only affects named beneficiaries
A no-contest clause only works against people who are already set to receive something. If someone is completely disinherited, they have nothing to lose and can challenge your final wishes without such worries.
Strengthen your estate plan beyond a no-contest clause
A no-contest clause can help deter challenges, but it’s not a cure-all. You may want to pair it with other tools like a revocable living trust to avoid probate or medical documentation to prove your sound mind. It can make it hard for anyone to mess with your final wishes down the road.
Getting qualified legal guidance when crafting your estate plan can help you understand your options towards strengthening your plan against future challenges and securing your legacy.