Do you know what happens if a person designates someone as a beneficiary in their will, or a trust, and that beneficiary dies before the owner of the will/trustmaker does? Those of you familiar with this blog know that I always encourage my readers, and my clients, to bring all their estate planning questions, worries and concerns to me so that we may work together to resolve any and all issues.  It is a sad and unfortunate fact of life that people do pass away unexpectedly. When these people are named as beneficiaries in a will or trust, upon death they are referred to as “failed” or “lapsed” beneficiaries. This is not referring to the people in a negative way; the term refers to the fact that the bequest cannot now take place. It’s the bequest that has “failed” – not the person. So now what happens to that bequest – who will receive it? So consider: if  your beneficiary is not around, who then would you name in their place? It’s something to think about, and it is very important. Because if you do not name another person in your will as “next in line”, it’s possible that the law will make that determination for you.  The issue can be a complex one. For example, certain trusts are revocable and may be changed; others may not. For certain types of financial and insurance instruments, the naming of a contingent beneficiary (the next in line to receive benefits) is required. Let’s focus on an estate in probate that does not name an alternate beneficiary. In those instances, the way the will is written, as well as the California Probate Code “anti-lapse” statutes, will determine where the assets go. Most U.S. states have an “anti-lapse” law, which generally assigns assets to blood relatives of the deceased beneficiary or the testator (person making the bequest). This helps to eliminate any guessing regarding who should inherit.  The language of the will is also tremendously important in determining the disposition of any asset. If you need help changing or updating the list of beneficiaries in your will or trust, feel free to call our office for help at 818.956.9200. Glendale Location 616 E. Glenoaks Boulevard, Suite 203 Glendale, CA 91207 Sherman Oaks Location 15303 Ventura Boulevard, Suite 900 Sherman Oaks, CA 91403