<html xmlns:v="urn:schemas-microsoft-com:vml" xmlns:o="urn:schemas-microsoft-com:office:office" xmlns:w="urn:schemas-microsoft-com:office:word" xmlns:m="http://schemas.microsoft.com/office/2004/12/omml" xmlns="http://www.w3.org/TR/REC-html40">
<head>
<meta http-equiv="Content-Type" content="text/html; charset=us-ascii">
<meta name="Generator" content="Microsoft Word 15 (filtered medium)">
<style><!--
/* Font Definitions */
@font-face
{font-family:"Cambria Math";
panose-1:2 4 5 3 5 4 6 3 2 4;}
@font-face
{font-family:Calibri;
panose-1:2 15 5 2 2 2 4 3 2 4;}
/* Style Definitions */
p.MsoNormal, li.MsoNormal, div.MsoNormal
{margin:0in;
font-size:11.0pt;
font-family:"Calibri",sans-serif;}
span.EmailStyle19
{mso-style-type:personal-reply;
font-family:"Calibri",sans-serif;
color:windowtext;}
.MsoChpDefault
{mso-style-type:export-only;
font-size:10.0pt;}
@page WordSection1
{size:8.5in 11.0in;
margin:1.0in 1.0in 1.0in 1.0in;}
div.WordSection1
{page:WordSection1;}
--></style><!--[if gte mso 9]><xml>
<o:shapedefaults v:ext="edit" spidmax="1026" />
</xml><![endif]--><!--[if gte mso 9]><xml>
<o:shapelayout v:ext="edit">
<o:idmap v:ext="edit" data="1" />
</o:shapelayout></xml><![endif]-->
</head>
<body lang="EN-US" link="#0563C1" vlink="#954F72" style="word-wrap:break-word">
<div class="WordSection1">
<p class="MsoNormal">I litigated this some years back and it can be a nightmare if it’s not set up in great detail. Here is the laundry list of issues I wrote down at the time, to think about in EP in order to minimize potential issues:<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Will provisions for post-death occupant of house:<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"> gift is only a right to occupy and is conditioned on fulfilment of all conditions herein. right to occupy is not assignable and may not be shared except for casual overnight visiting guests.<o:p></o:p></p>
<p class="MsoNormal"> gift includes right to occupy without payment of rent during pendency of probate, but during pendency of probate the beneficiary must cooperate in allowing access to the property to the full extent the PR finds it necessary
or convenient, at any time, upon 12 hours' oral or written notice or no notice in case of emergency.<o:p></o:p></p>
<p class="MsoNormal"> gift is not a life estate. the gift is intended solely as an accommodation to my partner to allow her/him to continue to live at the property where we lived together. my intent is for all value of the real property to pass
to my residue heir subject only to this limited right to occupy which has no market value, for the full value of the property to be preserved for the residue heir, at occupant's expense during occupancy, and without any financial burden on my estate or residue
heir during occupancy.<o:p></o:p></p>
<p class="MsoNormal"> right to occupy is not exclusive as against the estate (not residue heir) retains rights to enter and inspect to the same extent as a tenant-in-common, and estate may store tangible personal property that belonged to decedent
at time of death until probate is closed.<o:p></o:p></p>
<p class="MsoNormal"> right to occupy belongs to partner only and may not be extended to any overnight guests for longer than seven (7) days out of any six (6) week period; provided, partner may have a paid in-home licensed and certified caregiver<o:p></o:p></p>
<p class="MsoNormal"> occupancy defined as: actually occupying the home on an overnight basis for at least five weeks out of every ten weeks [except winter snowbird? except up to 90 days if hospitalized or in convalescent care?].<o:p></o:p></p>
<p class="MsoNormal"> estate has a right to maintain exterior surveillance cameras and other equipment to keep house secure and monitored.<o:p></o:p></p>
<p class="MsoNormal"> must pay for reasonable maintenance and repair. scope of reasonable maintenance and repair includes without limitation maintaining roof secure from leaks; maintenance of exterior envelope against water leaks; repair or replacement
of refrigerator, oven/range, washer/dryer, microwave; regular mowing and trimming of yard and curtilage; [etc.]<o:p></o:p></p>
<p class="MsoNormal"> must pay all property taxes when due.<o:p></o:p></p>
<p class="MsoNormal"> must pay all utilities when due.<o:p></o:p></p>
<p class="MsoNormal"> must pay for and maintain homeowner insurance for full replacement value of the house, naming residue heir as insured; shall cover for fire, and flooding if necessary, but not responsible for earthquake coverage; shall include
inflation rider to maintain full coverage; occupant to select the company with residue heir's approval, which approval shall not be unreasonably withheld.<o:p></o:p></p>
<p class="MsoNormal"> residue heir has right to direct access to and communication with insurer<o:p></o:p></p>
<p class="MsoNormal"> must pay mortgage?<o:p></o:p></p>
<p class="MsoNormal"> if estate has insufficient other assets to pay all costs of administration and lawful claims against the estate, then estate may sell the house and substitute a gift to occupant calculated as $X per year by actuarial table
of occupant's life.<o:p></o:p></p>
<p class="MsoNormal"> residue heir to have right to routinely inspect the property no more often than semi-annually upon 48' hrs notice to occupant, and additional right to enter at any time without notice in emergency to preserve property value<o:p></o:p></p>
<p class="MsoNormal"> residue heir right to receive annual accounting relating to payments, maintenance and repair<o:p></o:p></p>
<p class="MsoNormal"> notice of default and opportunity to cure, residue heir to have right to issue<o:p></o:p></p>
<p class="MsoNormal"> residue heir to have right to use unlawful detainer procedure for failure to meet requirements, award of atty fees to prevailing party<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<div>
<p class="MsoNormal">Sincerely,<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Eric<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Eric C. Nelsen<o:p></o:p></p>
<p class="MsoNormal">Sayre Law Offices, PLLC<o:p></o:p></p>
<p class="MsoNormal">1417 31st Ave South<o:p></o:p></p>
<p class="MsoNormal">Seattle WA 98144-3909<o:p></o:p></p>
<p class="MsoNormal">206-625-0092<o:p></o:p></p>
<p class="MsoNormal"><a href="mailto:eric@sayrelawoffices.com"><span style="color:#0563C1">eric@sayrelawoffices.com</span></a><o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><b><span style="background:aqua;mso-highlight:aqua">Covid-19 Update -
</span></b>All attorneys are working remotely during regular business hours and are available via email and by phone. Videoconferencing also is available. Signing of estate planning documents can be completed and will be handled on a case-by-case basis. Please
direct mail and deliveries to the Seattle office.<o:p></o:p></p>
</div>
<p class="MsoNormal"><o:p> </o:p></p>
<div>
<div style="border:none;border-top:solid #E1E1E1 1.0pt;padding:3.0pt 0in 0in 0in">
<p class="MsoNormal"><b>From:</b> wsbapt-bounces@lists.wsbarppt.com <wsbapt-bounces@lists.wsbarppt.com>
<b>On Behalf Of </b>Mike Zeno<br>
<b>Sent:</b> Thursday, August 26, 2021 2:02 PM<br>
<b>To:</b> wsbapt@lists.wsbarppt.com<br>
<b>Subject:</b> [WSBAPT] giving surviving spouse in 2nd marriage right to live in house for life<o:p></o:p></p>
</div>
</div>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060">Dear all:<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060">I have a situation which I’m sure is pretty common, but which I have never had to deal with Second marriage. Wife wants husband to be able to stay in her
house after she dies, with her son (from prior marriage) to receive the property after surviving husband’s interest terminates. Marriage is solid, everyone gets along great.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060">Let’s assume the wife intends for the surviving husband’s interest to terminate if he moves out or sells the property, and that upon sale she would want her
son to receive all the proceeds. Maybe there would be other conditions—such as that the husband’s interest would terminate if he remarries…<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060">I ’m inclined to avoid giving the husband any interest in the property before wife’s death, because that’s not really how the parties conceive their interests.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060">What is the best way to structure this? The wife’s Will could create a conditional life estate in the husband (ie, conditioned on his continued residence
there, etc.) but I’m wary of creating estates in real property that are defeasible and atypical. It may be that some sort of trust would be better—but what would its features be? Would capital gains exclusion for residence sales apply if surviving spouse
sold the house? Other tax issues? <o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060">Any help would be much appreciated.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060">Mike
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#002060"><o:p> </o:p></span></p>
<p class="MsoNormal"><b><span style="color:#1F497D">The Law Office of G. Michael Zeno, Jr., P.S.<o:p></o:p></span></b></p>
<p class="MsoNormal"><span style="color:#1F497D">T: (425) 947-8050 F: (425) 947-8052<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">135 Lake Street S., Suite 257<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Kirkland, WA 98033<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><b><span style="color:#C00000">Confidential/Privileged Communication:</span></b><span style="color:gray"> This email and any attachments are confidential, privileged and intended
only for the intended recipient(s). Unauthorized disclosure, copying, distribution or use of this email is prohibited. If you received this email in error, please notify me immediately so we can arrange for the message and documents to be returned and deleted.
Thank you.<o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><b><span style="color:#C00000">IRS Circular 230 Disclaimer:</span></b><span style="color:gray"> Any tax advice provided in this communication (including attachments) is not intended
or written to be used, and it cannot be used, by the recipient or any other taxpayer (i) for the purpose of avoiding penalties that may be imposed on the recipient or any other taxpayer, or (ii) in promoting, marketing or recommending to another party a partnership
or other entity, investment plan, arrangement or other transaction. You should seek advice based on your particular circumstances from an independent tax advisor.<o:p></o:p></span></p>
<p class="MsoNormal"><o:p> </o:p></p>
</div>
</body>
</html>