Getting Comfortable
with Estate Planning:
Know Your Terminology
by
Judith Sterling and Michelle Tucker
Some people feel uncomfortable meeting with an attorney to discuss their
estate planning needs because of an unfamiliarity with the law. A good lawyer
will discuss your available options in simple terms that a person with no
legal training can comprehend. You can also relieve some of that hesitancy
by familiarizing yourself with legal terminology before meeting with a qualified
estate planning attorney to discuss the appropriate choices for you. The following
is a short list of common legal terms that may come up in an estate planning
meeting:
Attorney-in-Fact
A person who is named under a Power of Attorney to act on behalf of another
person
Beneficiary
A person or entity that receives a benefit from an estate, trust or asset
transfer vehicle
Death Probate
The legal process used to assemble and transfer a decedent’s assets
to the intended beneficiaries and settle a decedent’s outstanding debts
Decedent
A person who has passed away
Donee
A person or entity who receives a gifted asset from a donor
Donor
A person or entity who gifts an asset to another person or entity
Estate
All the assets owned by a decedent upon his or her death
Executor/Personal Representative
The person responsible for settling a decedent’s estate
Grantor
A person who transfers an asset to another person or entity
Guardian of the Person
A court-appointed supervisor in charge of the care of a minor or incompetent
person’s physical well-being
Guardian of the Estate
A court-appointed supervisor in charge of the care of a minor or incompetent
person’s financial well-being
Hui
An informal partnership particular to Hawaii
Irrevocable Trust
A trust in which the trustor has not reserved the right to revoke and cannot
change the wording in the trust
Living Trust
A trust established and operating during the trustor’s lifetime
Revocable Trust
A trust in which the trustor reserves the right to revoke
Testator
The creator of a Will
Trust
A legal arrangement created to facilitate the transfer of property to a trustee
for the benefit of a beneficiary
Trustee
A person or entity named in a trust agreement to be responsible for holding
and administering the trust assets according to the terms of the trust
Trustor
A person who creates a trust sometimes called grantor or settlor
Will
A legal document used to transfer assets upon a decedent’s death
Take just a few minutes to familiarize yourself with this short list of estate planning terms and keep it handy for future reference. Lawyers generally receive four years of undergraduate schooling followed by a minimum of three years in law school in order to learn the law. A good lawyer will be patient with you and explain those terms that are unclear to you. Familiarizing yourself a little bit with the law can make your estate planning experience more comfortable. Be sure to meet with a qualified attorney specializing in estate planning who listens carefully to your particular needs.
Attorneys Judith Sterling and Michelle Tucker are both CPAs and licensed attorneys. They are the first two attorneys in Hawaii to be certified by the American Bar Association (ABA) accredited Estate Law Specialist Board, Inc., as Estate Planning Law Specialists, and are so certified by the Supreme Court of Hawaii. The Supreme Court of Hawaii grants Hawaii certification only to lawyers in good standing who have successfully completed a specialty program accredited by the ABA.
Judith Sterling and Michelle Tucker are partners in the Honolulu Law Firm of Sterling & Tucker, www.sterlingandtucker.com/ For a free copy of “The Trouble with Joint Tenancy” call 531-5391.
Legal Disclaimer
This information has been provided for informational purposes only. It does
not constitute legal advice. The receipt of this information does not establish
an attorney-client privilege. Proper legal advice can only be given upon consideration
of all the relevant facts and laws. Therefore you should not act upon any
of the information contained herein without seeking appropriate legal counsel.
Attorneys Judith Sterling and Michelle Tucker are both CPAs and licensed attorneys. They are the first two attorneys in Hawaii to be certified by the American Bar Association (ABA) accredited Estate Law Specialist Board, Inc., as Estate Planning Law Specialists, and are so certified by the Supreme Court of Hawaii. The Supreme Court of Hawaii grants Hawaii certification only to lawyers in good standing who have successfully completed a specialty program accredited by the ABA.
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