Baby Boomers with Trusts – what if you’re incapacitated?
Continuing the theme from our earlier newsletter, the baby boom generation is now without question hurtling towards old age.
Not only is significant wealth tied up in this age group, but there are significant potential risks in accessing that wealth, especially if it is in Trusts and in cases where key parties (eg Trustees/Settlors/Appointors) suffer from diminished capacity.
Enduring Powers of Attorney cannot be used in Trust situations. Note that when Trust matters are paralysed because one of the parties is incapacitated, then the only option is an expensive High Court application.
However, it may be possible to avoid this cost with appropriate property planning and preparation. This really is a matter for every person with a Trust to give some thought to and should not be left until it is too late. Remember that for the want of a nail, a kingdom was lost.