Legal Question in Wills and Trusts in Maryland
irrevocable trust.....can judgments or liens be placed?
I have irrevocable trusts for my children. Upon my death my children will inherit. Should my children pre-decease THEIR children, my grandchildren will inherit what would have gone to their parents. My question is this: is is possible to get a judgment, or lien, against an inheritance when the inheritance is part of an irrevocable trust? Thanks in advance to all serious responses.
1 Answer from Attorneys
Re: irrevocable trust.....can judgments or liens be placed?
The question of whether judgments or liens can be placed on a trust has recently been addressed by the Court of Appeals in the case of Duvall v. McGee (2003). The court reviewed the previous case of Smith v. Towers (1888), in which it set the general rule that protection of assets from the rights of creditors was not repugnant because creditors can learn assets are protected before deciding to extend credit. The court provided a few exceptions where judgments could attach to a trust, such as in the case of an alimony arrearage or child support.
Ms. D'Souza understands this information is dessimated to the general public. Please note these statements are offered for informational purposes only; they are not offered as and do not constitute legal advice. Any reviewer of this information should seek professional counsel. Any application of the information provided is dependent upon specific facts and circumstances of individual situations.
Transmission of information is not intended to create, and its receipt does not constitute an attorney-client relationship. If you would like to discuss an issue about irrevocable trusts, please contact Ms. D'Souza directly so that an attorney-client relationship may be properly established.