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<p class="MsoNormal"><a name="_GoBack"></a><span style="color:#1F497D">Claudia:<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">You could use a springing trust, i.e., basically authorize the PR to create and fund a 3<sup>rd</sup> party testamentary SNT upon the decedent’s death. I am not aware of any challenges to this type direction.
However, I rarely use these if there is clearly a disabled individual because you essentially draft a testamentary SNT by stating the majority if not all of its terms in the Will anyways. As such, I usually recommend the client have mandatory funding of
the testamentary SNT and the trustee of that trust can then decide whether to pass it through to the beneficiary at any time after death, whether that be immediately or 40 years later.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">A good reason why are the following: I have a current case where the disabled beneficiary has a romantic interest. Clients believe the romantic interest is an exploiter/manipulator. As such, placing the funds
into the SNT has nothing to do with the individual’s disability, for government benefits but everything to do with concerns about possible exploitation of the beneficiary. In another situation, it is possible that the person’s disability will lead to long
term care coverage needs and although a SNT may not be needed immediately, it may be best down the road. The key is selecting a good trustee who will take the time to understand the testator’s wishes and objectives.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal" style="text-align:justify"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">Marcus J. Fry<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">Lyon, Weigand & Gustafson, P.S.
<br>
P.O. Box 1689 <br>
Yakima, Washington 98907 <br>
Telephone: (509) 248-7220 <br>
Facsimile: (509) 575-1883 <o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><b><u><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D"><o:p><span style="text-decoration:none"> </span></o:p></span></u></b></p>
<p class="MsoNormal" style="text-align:justify"><b><u><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">NOTICES:<o:p></o:p></span></u></b></p>
<p class="MsoNormal" style="text-align:justify"><b><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">Confidentiality:
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<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif""> wsbapt-bounces@lists.wsbarppt.com [mailto:wsbapt-bounces@lists.wsbarppt.com]
<b>On Behalf Of </b>Claudia A Gowan<br>
<b>Sent:</b> Monday, September 28, 2020 3:13 PM<br>
<b>To:</b> WSBA Probate & Trust Listserv<br>
<b>Subject:</b> [WSBAPT] SNT ?<o:p></o:p></span></p>
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<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span style="color:#1F3864">Colleagues:<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864">I have a question that I sent to a few people that I know practice in the special needs area, but maybe one of you can confirm my thought – or tell me I am all wet.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864">Client is leaving $ for 1 son who is on SSDI.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864">They would rather wait until her death to see if a “trust is really necessary” so want the Will to only direct the PR to set a trust up, if necessary.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864">My concerns are several layers deep, but the reason I am asking for your input:<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864">Under WA law, property vests in a beneficiary immediately upon death (subject only to expenses, etc.).<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><b><span style="color:#1F3864">I’m thinking the 250k would vest in son personally, outright, immediately on Mom’s death.
<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="color:#1F3864"><o:p> </o:p></span></b></p>
<p class="MsoNormal"><b><span style="color:#1F3864">Thus, if there is no trust to receive it, it could disqualify him for SSDI purposes. Is this correct?<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="color:#1F3864"><o:p> </o:p></span></b></p>
<p class="MsoNormal"><b><span style="color:#1F3864">In other words, the trust should be in the Will, ready to receive the bequest and NOT set up after the fact ??<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="color:#1F3864"><o:p> </o:p></span></b></p>
<p class="MsoNormal"><span style="color:#1F3864">I’m concerned that if it is subsequently established – it essentially becomes a self-settled trust because the property vested in him at death. But, as above, perhaps I am off.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864">Thanks for any yea or nay.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864">Best, Claudia<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><b><i><span style="font-size:12.0pt;font-family:ParkAvenue;color:#1F3864">Claudia A. Gowan<o:p></o:p></span></i></b></p>
<p class="MsoNormal"><b><i><span style="color:#1F3864"><o:p> </o:p></span></i></b></p>
<p class="MsoNormal" style="line-height:9.0pt;mso-line-height-rule:exactly"><b><span style="color:#1F497D">Claudia A. Gowan, PLLC<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="color:#1F497D">2212 Queen Anne Avenue No., # 338 (M)<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="color:#1F497D">Seattle, WA 98109<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="color:#1F497D">(206) 443-2733 (T)<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="color:#1F4E79"><a href="mailto:claudia@cagowanlaw.com"><span style="color:#1F4E79">claudia@cagowanlaw.com</span></a>
<o:p></o:p></span></b></p>
<p class="MsoNormal"><span style="color:#1F3864"><o:p> </o:p></span></p>
<p class="MsoNormal"><a href="https://www.bestlawyers.com/lawyers/claudia-a-gowan/141568"><span style="text-decoration:none"><img border="0" width="164" height="55" id="Picture_x0020_1" src="cid:image001.jpg@01D695AD.2A7CC870"></span></a><span style="color:#1F3864"><o:p></o:p></span></p>
<p class="MsoNormal"><b><span style="color:#1F4E79"><o:p> </o:p></span></b></p>
<p class="MsoNormal"><b><u><span style="color:#1F4E79"><a href="http://www.seattletrustsandestates.com/">www.seattletrustsandestates.com</a></span></u></b><span style="color:#1F3864"><o:p></o:p></span></p>
<p class="MsoNormal"><o:p> </o:p></p>
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