Understanding Legal Terms, Part Five

If you’re looking to learn more about legal terms and how to understand them, you’ve come to the right place. Our estate attorney in Cary NC is here to give you more information about these confusing terms.

  • Property – Anything subject to ownership.
  • Probate Tax – A tax imposed on property passed to someone else per instructions outlined in the deceased’s will.
  • Probate – A court-supervised process of proving that a will is valid and then distributing the assets under the terms outlined in it in accordance with the state laws.
  • Private Trust Company – Also known as a family trust company, this entity is formed by a family to serve as a trust for the estates and trusts of extended family members.
  • Principal – The property in a trust that generates income and is used to benefit the trust’s beneficiaries according to the terms of the trust.
  • Power of Attorney – A document that gives a person the authority to act on the behalf of another person, making legal and financial decisions for them. It terminates when the person dies unless it is noted as “durable.”
  • Power of Appointment – Power given to a beneficiary under the terms of a trust that allows him or her to make decisions about the property.
  • Heir – The person entitled to the assets of the deceased under the state law when a will is not available. It is not the same as a beneficiary, but they can refer to the same person.
  • Health Care Power of Attorney – A document that names an individual to oversee the medical decisions of an individual who is incapacitated. Also known as a “health care proxy.”

Klish and Eldreth | Estate Planning Attorney Cary NC

Need help with estate planning? Contact us. An estate planning attorney in Cary NC will be able to review your situation and provide the best solutions that will meet your needs and will also be legally sound. We may also suggest other things that you may not have considered before. This might include creating a durable power of attorney or a healthcare directive. These documents can give guidance in situations where you may not be able to make decisions on your own anymore. There are many facets to an estate plan. Klish and Eldreth can talk with you about your situation and help guide you in creating a plan that meets your needs. Contact us, today.

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