Chapter 9: Estate Planning: Wills, Trusts, and Probate

Witnessed

A document is _________ when the witness signs his or her name attesting that he or she observed the execution of a particular document or instrument.

Real Property

Land, including anything affixed to the land or growing upon the land.

Personal Property

Goods and money; in general, property is either real or personal.

Testator/Testatrix

A person who has made a will; a testator is a man and a testatrix is a woman.

Holographic Will

A will written entirely by the testator; the handwritten document is not witnessed. Not all states recognize ___________ _____.

Nuncupative Will

An oral will; not all states recognize ___________ _____.

Subscribe

To sign one's name at the end of a document.

Acknowledge

To affirm that a document is genuine.

Beneficiary

A person named in a will who will benefit from a transfer of specific property.

Exordium Clause

The introductory part of a document.

Revoke

To take back or to make void.

Codicil

An addition or change to a will. A _______ does not contain the entire will; it simply supplements the original document.

Bequest

A gift by will of specific personal property.

Devise

A gift by will of specific real property.

General Legacy

A gift of a specific amount of money.

Demonstrative Legacy

A gift of a specified amount of money in which the testator includes directions as to exactly which fund will be used to fulfill the legacy.

Disinheritance Clause

A clause used to deprive an heir of the right to inherit

Fiduciary

A person whose duties involve trust and good faith.

Executor/Executrix

A person chosen by a testator/ testatrix to carry out the directions in the will; an executor is a man, whereas an executrix is a woman.

Guardian

A person who has the duty of taking care of a person and that person's property.

Trustee

A person who holds property in trust; a trust is created by a grantor for the benefit of specific beneficiaries.

Testimonium clause

A clause that includes the date on which the document was executed and who signed the document.

Attestation Clause

A clause at the end of a will wherein all witnesses declare that the document was executed before them.

Publish

To make something known to people.

Intestate succession

When a person dies without a will, his or her estate will be disposed of under the laws of ___________ __________. The laws of ___________ __________ will dispose of the property under the state laws of descent and distribution.

Decedent

A person who has died; a deceased person

Legal Title

Title that is enforceable in a court of law; legal title involves the full ownership of the trust property.

Equitable Title

A trust beneficiary holds equitable title; the person holding equitable title has the right to benefit from the trust property.

Settlor

The person who creates a trust.

Living Trust

A trust that is operative during the lifetime of the settlor.

Probate Court

A court that has jurisdiction over the probate of a will and the administration of a decedent's estate.

Lestamentary Trust

A trust created by a will.

Constructive Trust

A trust created by law; the court may determine that a person has by actual or constructive fraud or duress obtained a legal right to property that he or she should not in good faith possess.

Probate

The judicial procedure by which a will is proved valid or invalid; includes distributing property to the heirs and paying debts and taxes.