Reading through your Will can be confusing, particularly when trying to navigate the various legal terms included. A lot of legal language is used to summarize a long phrase and make your Will as concise as possible. A Will can be anywhere from about six pages to over twenty pages long depending on the provisions you need included. Everyone’s circumstance is unique, and each Will should be tailored to your specific needs.
Here are some common terms you may find in your Will:
Executor/Trustee: The person or persons appointed by you in your Will to carry out the terms of your Will.
Legacy: An amount of money, personal property, real property, or other asset left to someone of your choice in your Will.
Residue: The remainder of what’s left in your estate after the payment of legacies and bequests to specific individuals or organizations are completed.
Per Stirpes: A legal term used to describe how in the event of the death of a beneficiary named in your Will, their share of your estate will be paid to their surviving issue (i.e., their child or grandchild).
Per Capita: A legal term used to describe how in the event of the death of a beneficiary named in your Will, their share of your estate will revert back to the residue of your estate and be divided equally among the other beneficiaries.
Failure of Gifts: This refers to for an alternate scenario in the unlikely event that all your beneficiaries designated in your Will predecease you. The Failure of Gifts section can provide instructions on who receives your estate should all your designated beneficiaries predecease you. It is also sometimes referred to as a common disaster clause.
Hotchpot: A situation where you would like an amount(s) already gifted to someone during your lifetime to be subtracted from what that beneficiary will receive from your Will. Another scenario where the term hotchpot may be used is when a loved one owes you money during your lifetime and you would like the amount remaining to be subtracted from what they will receive from your Will.
Understanding the terms in your Will can help bring clarity to your estate plan. Your lawyer should always be happy to address any questions you have regarding the terms in your Will so that you have a proper understanding of any terms you have questions about.
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This WARDS LAWYERS PC publication is for general information only. It is not legal advice, nor is it intended to be. Specific or more information may be necessary before advice could be provided for your particular circumstances.
