Common Reasons for Beneficiary Disputes

Creating a Will involves several key steps that are all aimed at ensuring the testator’s (the testator is the person creating the Will) wishes regarding the distribution of their assets are properly documented. Deciding who will inherit what is one of the most vital decisions a testator has to make when creating a Will. It is crucial for testators to be careful when designating beneficiaries in their Wills. Approaching beneficiary designations cautiously and with attention to detail can minimize the risk of disputes during the probate process, which is the legal process of validating a Will, settling debts, and distributing assets and property after the testator’s death. However, despite how careful a testator is, beneficiary disputes can and do arise during the probate process. Disputes among beneficiaries can cause stress and conflict at a time when the family should be focused on healing. Below, we share some of the common reasons for beneficiary disputes.

1. Vague Language in the Will

One of the most common causes of beneficiary disputes is vague language in the Will. If the Will does not clearly define the beneficiaries or assets, it can lead to disagreements among beneficiaries. For example, when a Will refers to beneficiaries as “my children” without specifying names, it can lead to disagreements. In such a case, disputes may arise over whether adopted or stepchildren are included. Also, disputes may arise if beneficiaries are identified by a nickname that could apply to multiple individuals.

2. Perceived Unfairness of Designations or Distribution

Disputes may arise over designations if beneficiaries believe they were unfairly excluded from the Will. Disputes may also arise if beneficiaries think that assets have been distributed unfairly. This can occur when one beneficiary has been awarded significantly more than the others.

3. Multiple Designations

A testator may designate multiple beneficiaries for the same property or asset without specifying how the asset or property should be divided among the beneficiaries. This can lead to disagreements among the beneficiaries.

3. Questions About the Validity of the Will

Beneficiaries may question the validity of the Will, resulting in disputes. For example, beneficiaries may allege factors like undue influence, lack of testamentary capacity, or coercion by another party. Often, such disputes require legal intervention to resolve. Disputes over the validity of the Will can prolong probate proceedings.

4. Misinterpretation of the Will

Different beneficiaries may interpret the decedent’s intentions and wishes differently, resulting in disputes. This can happen if the Will contains contradictory provisions or if the decedent did not clearly communicate their wishes.

5. Outdated Designations

Another common cause of beneficiary disputes is outdated designations. Life changes such as the death of a beneficiary, divorce, or the birth of children necessitate updating beneficiary designations. Not updating beneficiary designations can result in confusion and disputes over who is entitled to inherit assets or property.

6. Family Tensions or Estrangements

Existing family tensions or estrangements may lead to animosity and resistance, thus leading to disputes.

Contact The Probate Guy

If you’ve lost a loved one and need help with the probate process, contact the dedicated California probate attorney, Robert L. Cohen – The Probate Guy – to schedule a telephonic consultation.

Southern California Probate Lawyer Serving Orange, Riverside, Anaheim, Whittier & Beyond.