Stewart Albertson de-mystifies California No-Contest clauses.
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"No Contest Clauses"
No-Contest Clauses Do Not Apply to Challenging a Trustee’s (or Executor’s) Actions
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The omnipresent no-contest clause (originally called in terrorum clauses–as in to terrify one’s beneficiaries) is meant to prevent lawsuits. The idea being that if a beneficiary contests a California Will or Trust containing the clause, then that beneficiary is entirely disinherited and loses his gift under the document (see our previous blog post on how…
The Practical Considerations for Including a No Contest Clause in a Trust or Will
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In an earlier post we discussed the terrorizing effects of no contest clauses. For all the uncertainty the new no contest law has created—and the very real possibility that such clauses are rarely enforceable—many decedent’s doom the effectiveness of their own no contest clause themselves when including a no contest clause in their will or…
The Terrorizing Effects of No Contest Clauses
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No contest clauses were originally referred to as “In Terrorem” clauses. In Terrorem is Latin for “To Scare the Pants off my Beneficiaries”—loosely translated. And that’s what a no contest clause is supposed to do, prevent a trust or will contest by disinheriting a beneficiary who dares to contest the terms of the instrument.
California…