The Role of Trusts in Divorce
Many people choose to put money and assets into a trust, providing for the distribution of such assets in the event of their eventual death. While a spouse may be entitled to some of the money in a trust should a person die, this is not necessarily the case when a couple gets a divorce.
For spouses who choose to pursue a divorce, even if a provision regarding the distribution of funds from the trust is not made, Texas law grants an automatic revision of the trust, removing the ex-spouse’s right to any money in the trust. However, any person who is stipulated to receive some money from the trust, such as children or stepchildren, will receive the amount assigned to them unless the person who set up the trust changes the conditions prior to their passing.
Going through divorce proceedings can be a distressing experience for you and your partner, especially if you have to deal with extenuating circumstances, such as modifying a trust. Fortunately, our lawyers at Alexander & Associates are here to help you secure the proper arrangements when it comes to settlements and property divisions. Call us at (972) 420-6560 today.