Why A Second Marriage Could Be A Fast Track to A Lawsuit

Marriage is a celebrated union, but for those entering into a second marriage, it could also be the fast track to a lawsuit. Remarrying creates an extended family in which not everyone may get along. Sometimes a second marriage can be an issue for children of a previous marriage and the new spouse, especially when it comes to an individual’s estate. It is for this reason, and countless others, that proper estate planning is critical to protecting your assets and having them distributed exactly as you wish in the event of your death.

Possible Legal Complications for Second Marriages

While a second marriage can be full of new hope and a growing family unit, there may be some legal complications that can come with them. In the grand scheme of things, it largely boils down to one concept: lack of estate planning.

Proper estate planning is essential for second marriages because without it, the children and the new spouse may:

• Question each other’s motives for their relationships with the asset holder
• Be at odds with one another about the distribution of assets
• Disagree on how to manage family assets
• Argue about how to operate a business after the principal owner has passed
• Resort to contentious legal battles that typically cost hundreds, if not thousands, of dollars

What You Can Do to Reduce Estate Complications of a Second Marriage

While estate issues are often inherent to a second marriage, there are steps that individuals can take to limit those complications:

1. Prenuptial Agreement. Although it may be awkward, it is an excellent idea for those entering a second marriage to have a prenuptial agreement drafted before the marriage takes place. The purpose in doing so is having a legal document drafted by an attorney that discloses both spouses’ liabilities, assets, and income to facilitate assets being distributed specifically as an individual wishes in the event of divorce or death. It is highly recommended that both spouses get legal representation for a prenuptial agreement.
2. With a living trust, a creator of sound mind can designate specific beneficiaries. An attorney proficient in estate planning can assist with the creation or amending of a trust. This strategy can be effective for bequeathing assets and managing estate and inheritance taxes.
3. Proactive Measures. It is beneficial to take proactive measures to review beneficiary designations on important policies, accounts, and documents. This can include retirement accounts, life insurance policies, bank accounts, real estate, and even power of attorney.

Each of these steps should be taken with the following in mind:

• Provision for children from a previous marriage
• Provision for your new spouse
• Provision for children that may result from the second marriage

Special Considerations to Discuss with An Attorney

Particularly during a time of such joy and excitement as that which comes with a new marriage, estate planning can get pushed to the back burner, but doing so is a grave disservice to yourself and your loved ones, so don’t wait.

Some items to discuss with an attorney regarding estate planning for a second marriage include:

• Is it a second (or third) marriage for one or both of you?
• Do one or both of you have children from a previous marriage?
• Have you considered getting a prenuptial agreement?
• Do you already have a will in place?
• If so, have you named an executor of your will and is it still who you want it to be?
• Is there a trust in place, and if not, does there need to be?
• Are you content with named beneficiaries for insurance and retirement plans or do they need changes?
• Will assets designated for children be distributed before or after the new spouse passes away?
• Are you still financially obligated to a previous spouse?
• Have you discussed having separate bank accounts vs. joint banking accounts?

These can be difficult conversations to have, but by putting provisions in place now, it could save those you love additional emotional angst after your passing.

Why You Need an Attorney for Second Marriage Estate Planning

Estate planning for a first marriage can be incredibly complex based on an individual’s wealth and assets, but it becomes substantially more complex for a second marriage. Working with an experienced and reputable estate planning attorney can give an individual more confidence in the process, the validity of documents created, and peace of mind that their assets will be distributed according to their specific wishes.

When searching for legal representation:

• Ensure the individual is licensed to practice in the state.
• Verify their previous representation of similar cases and their outcomes.
• Research the experiences of previous clients.
• Establish how the attorney best communicates with clients.
• Verify the cost of representation and any associated fees.

If you are entering a second (or third or fourth) marriage, it is important to seek counsel from an estate planning attorney to protect your loved ones and help avoid the fast track toward a lawsuit.