How Do You Actually Revoke a Revocable Trust?
A revocable living trust can be a highly advantageous estate planning tool because it is so flexible. You can easily change it. You can even get rid of it. This raises an important question: How do you actually revoke a revocable trust? The short answer is that you will need to execute a formal document and have all assets transferred back out of the trust. Here, our St. Petersburg revocable living trust attorney explains the key thing to know about the process for revoking it in Florida.
Background: You Can Take Back a Revocable Living Trust
First and foremost, it is important to emphasize that a revocable living trust is an estate planning tool that can be changed. The grantor (person who created the trust) can change it in any manner that they like, including taking back the trust entirely.
An Overview of the Legal Process for Revocation of a Living Trust (Florida Law)
Florida law governs revocation through the terms of the trust first. Under Florida Trust Code, a settlor may revoke a revocable trust by the method stated in the trust instrument. In other words, your trust will clarify how it can be revoked. Notably, most trusts require a written revocation delivered to the trustee. If the document is silent, Florida law permits revocation by a later writing, signed by the settlor, that clearly expresses intent to revoke. In Florida, a will does not revoke a trust unless the trust expressly allows it.
A Standalone Revocation Document is Generally the Best Practice
As a best practice, a revocable living trust in Florida is generally terminated with a stand-alone “Revocation of Trust.” The writing should identify the trust by name and date, declare full revocation, and direct the trustee to wind up administration. Execution formalities depend on the instrument and best practice. Although not always required by statute, signing before a notary and two witnesses reduces later disputes over authenticity and capacity.
Re-Titling of Assets is a Must When Revoking a Living Trust
Revocation is not complete until trust assets move back into the settlor’s individual name or to a new estate plan. Real property requires a recorded deed from the trustee to the settlor or a successor grantee. Financial accounts must be re-titled through the institution’s forms. Securities, closely held business interests, and beneficiary designations demand separate handling. Failure to retitle leaves assets stranded in the trust despite a signed revocation. If you have any questions about how assets should be re-titled, an experienced St. Petersburg trust planning lawyer can help.
Contact Our St. Petersburg, FL Trust Planning Attorney Today
At Fisher & Wilsey, P.A., our St. Petersburg trust planning lawyer is committed to helping clients find solutions that work. If you have any questions about how to revoke a revocable living trust, we can help. Contact us today to set up a completely confidential, no obligation initial consultation. Our firm provides trust planning services in St. Petersburg, Pinellas County, and throughout the region.
