Coronavirus and Estate Planning

During the COVID-19 pandemic, it may feel like there are few aspects of your life that you can control, beyond hand washing and social distancing. However, estate planning – which is more vital now than ever – can help you reclaim some control during these uncertain times.

Estate planning with 5 Points Probate involves the creation of three essential documents:

• Power of attorney
• Advanced directive for healthcare
• Will

These documents are crucial if you should fall ill, and they can help ease the burden on your family during the worst-case scenario. This guide will explain why you need estate planning in light of the coronavirus, the benefits of setting up these documents, and how an attorney can help.

 

Estate Planning and COVID-19: What You Need to Know

Estate planning begins with a power of attorney and an advanced directive for healthcare. Together, these documents will serve a crucial role in the event you fall seriously ill. In the worst-case scenarios, a will can outline how your assets are to be distributed after you pass.

Let’s take a look at these documents in more detail:

 

What Is a Power of Attorney?

A power of attorney gives family and/or trusted acquaintances the legal right to make key financial decisions on your behalf. For example, let’s say you’re the head of your household, and your health has taken a turn for the worse. If you’re hospitalized or even put on a ventilator, your physical ability to access your finances and, perhaps, your mental capacity during this time may be severely affected. Meanwhile, the mortgage is still due, your business needs to be managed, and bills must be paid.

While you’re temporarily unavailable and/or incapacitated, who will take care of your business, pay your bills, or handle other financial obligations? With a power of attorney, you can choose a responsible person you trust to handle these affairs on your behalf.

A power of attorney can grant your family member or trusted friend access to your bank accounts to pay bills, manage the day-to-day affairs of your business, and act on your behalf in nearly any fiduciary capacity. This grant of authority is why it’s important to choose someone who you fully trust to make the best decisions on your behalf.

When choosing someone to serve as your power of attorney, they should be:

• Someone with good attention to detail and capable of comprehending legal documents and contracts.
• A person who is financially responsible and has a good understanding of business and finances.
• Someone who is cooperative and willing to listen to the advice of attorneys or accountants, if needed.

 

What Is an Advanced Directive for Healthcare? 

An advanced directive for healthcare is essentially a guide for first responders, healthcare workers and your loved ones regarding the kind of care you want to receive if you cannot make these decisions yourself. It is sometimes referred to as a “Living Will.”

An advanced directive for healthcare can also prevent your loved ones from having to make difficult decisions. For example, if you state that you do not want to receive life sustaining treatment, this personal choice can prevent situations that would otherwise cause undue stress for your family.

During the ongoing COVID-19 pandemic, this document is more important than ever, especially for non-married couples. For instance, let’s say you have told your specific preferences for medical care to your significant other. If you are not legally married, your significant other will not be able to make medical decisions on your behalf. But with an advanced directive for healthcare, you can set out your wishes for medical care to act as a guide for healthcare workers, and specifically appoint your partner as healthcare proxy so that they legally have a say.

An advance healthcare directive may cover the following:

• Whether you’d like to be put on life-support treatment, if needed. And if so, what kind and to what extent.
• Your preference for certain medical treatments, such as ventilators and other devices to aid breathing, use of feeding tubes, dialysis, blood transfusions, surgery, antibiotics, and more.
• Decisions regarding whether you will receive palliative care.
• Whether you want a Do Not Resuscitate (DNR) order.
• If you want any resuscitation efforts to be made in the event you stop breathing or your heart stops.
• Whether you’d like to be an organ donor.

In addition to outlining your wishes for medical care, an advanced directive for healthcare also allows you to name a healthcare proxy to speak for you, if you are unable to communicate your preferences.

 

What Is a Will? Why Do I Need One?

A power of attorney and an advance healthcare directive can help you get the medical care you want, and ensure your financial affairs are in order if you’re incapacitated.

But what if the unthinkable occurs? While it’s difficult to think about, many people find that creating a will actually helps them feel more in control during these difficult times. In the event you pass, a will fully outlines how your assets are to be distributed.

You can also appoint an executor of your will. An executor is the person who oversees the distribution of your assets and any related matters in probate court.

A will can decide:

• Who will be appointed as a guardian to care for your minor children or adult children with special needs. Without a will, the court will decide who will act as guardian.
• The allocation of assets in trusts for minor children, adult children, other loved ones, or even cherished pets.
• How your cash will be distributed, which includes liquid cash, money market accounts, checking accounts, savings accounts, and more.
• How intangible property will be distributed, such as intellectual property, royalties, stocks, bonds, and business ownership.
• The distribution of real estate and valuable objects, such as artwork and jewelry.

An attorney will help facilitate the process of creating your will, and you’ll have the peace of mind of knowing that a plan is in place.

 

Do You Need an Attorney to Help with Estate Planning During COVID-19?

It’s not mandatory to hire an attorney for estate planning. However, without legal experience, there are many parts of the estate planning process that you might miss. Proper estate planning with a seasoned local attorney can save your family a significant amount of money and time.

When you choose 5 Points Probate to handle your estate planning, you can expect:

• Thorough Legal Services: It’s important to understand that proper estate planning encompasses more than just filling out forms. You may need help with titling vehicles and other assets, and naming beneficiaries. Our attorneys are Alabama natives licensed to practice law in or great state.  They will ensure all loose ends are tied up, so you and your family don’t have to worry.
• Expertise in Probate Law and Estate Planning: Our law firm has a dedicated Birmingham based legal team that handles estate planning and Alabama probate law. We have in-depth knowledge in these areas, and can navigate complicated probate matters, contested wills, and more. Whether you need help with your initial estate planning or your circumstances have changed since your last estate plan was made, we can help during every step of the process.
• Superior Customer Service: From our support staff to our legal team, you can expect caring, local service customized to your needs. We will always take the time to listen to your concerns, and we will fully explain the estate planning process so you can make the best decisions for your future.
• A Worry-Free Experience: We understand that estate planning can be a stressful process, and we value your time. This is why we’ve updated the process using technology to eliminate your worry and stress. We can use video conferencing and online collaboration if you prefer, so you can sign documents from the comfort of your own home.

 

Get Started With Estate Planning Today

The COVID-19 pandemic has left many of us feeling uncertain about the future. During these uncertain times, estate planning is one of the best ways to reclaim control and protect you and your family.

Estate planning can let healthcare workers know what kind of care you want in the event you are incapacitated. It can also ensure your financial affairs are properly managed, and that your assets are allocated according to your wishes, if needed.

Get started by scheduling a confidential consultation with one of our local attorneys at 5 Points Probate. Contact us today at (205) 235-9658.

We look forward to meeting you in our offices conveniently located in 5 Points South in Birmingham or on the internet.  Stay safe and be well!

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Divorcing for Mental Health Reasons

According to the American Psychological Association (APA), between 40 and 50% of all American marriages end in divorce. This is despite increased awareness of the challenges of divorce, as well as numerous resources available to help couples deal with the mounting pressures of modern life. While financial distress remains one of the leading causes of marital discord, mental health is also becoming a large factor in many divorces.

At Five Points Law Group, we take a compassionate approach to helping couples deal with the breakdown of a marriage. If a partner’s mental health concerns are creating stress in the marriage or have led to a situation in which divorce is the only option, contact us today to schedule a private consultation with an attorney who can provide skillful and empathetic advice and recommendations.

 

How Mental Health Affects a Marriage

Mental health is a much wider issue than many people wish to admit. In fact, the National Institutes of Health (NIH) estimate that approximately 44.7 million Americans (about one in five people) are living with some form of mental health issue. This can range from minor transient depression or post-traumatic stress disorder (PTSD) to serious personality disorders, such as bipolar disorder or affect disorders. Regardless of the specific condition, the challenges that people face can spill over into their relationships and marriages.

The spouse of an individual dealing with serious mental health disorders may end up feeling alone and burdened, as though the relation has morphed from a loving spousal relationship into more of a clinical relationship, where the spouse is constantly trying to “fix” or “counsel” the affected partner. In some situations, behaviors can create fear, panic, or even resentment. These feelings can stir and build for years – even decades – before a person finally decides that they cannot continue to tolerate the situation.

 

Does Leaving Mean You do Not Care?

Not at all. Many spouses who choose to divorce over mental health issues are very loving, and in fact they may care deeply for their spouse. However, there may be a host of reasons why divorce makes sense. Consider these brief scenarios in which despite a loving relationship, a person may decide it is better to divorce:

• Children are being negatively affected
• Family finances are being negatively affected
• The person with a mental health condition needs help that the spouse can not provide
• Institutional care is needed
• The mental health disorder is creating a danger to others
• Behaviors are leading to high-risk conduct, like promiscuity or drug and alcohol dependence

Getting Help Early

Often with the help of a compassionate divorce attorney, you can communicate with the affected spouse and help them see the benefits of divorce. Often, when children are involved, it may make sense to give space and distance to allow the person who is facing mental health challenges time to get the help needed. It also may be necessary to give children a break from the frequent challenges and events that so often accompany mental health disorders.

 

If you are dealing with a partner with mental health challenges in Birmingham, call Five Points Law Group today, and speak with a skilled family law attorney who can review your situation and look for efficient yet practical approaches to helping you resolve your divorce.

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Can My Employer Fire Me for Getting Sick?

This is probably one of the top three most commonly asked questions at employment and labor law offices. The concern is that a person may become ill or have an injury that takes him or her away from work. Maybe you broke your leg at home or came down with the flu three times in one year. It is bad luck, for sure, but most people do not consider these things reasonable grounds for terminating employment. After all, you really cannot help getting sick, and you certainly do not want others contracting your illness. So, what does the law say about this age-old question?

At Five Points Law Group, our labor law attorneys frequently help clients who have been discriminated against or unlawfully terminated. Give us a call if you need help.

 

How Big is Your Employer?

If your employer has fewer than 50 employees within a 75-mile radius, then you have no protections under FMLA (Family Medical Leave Act). For those with larger employers, FMLA allows them the ability and the right to take off up to 12 weeks of unpaid leave for medical conditions that prevent them from working. Here is how FMLA works:

• You must have been continuously employed by your employer for at least 12 months
• Your employer can require you to use all paid time off (including vacation and sick time) before using unpaid FMLA time OR require to use all paid time off concurrently with your FMLA leave
• You can take time for your own medical conditions or to care for a child, spouse, or other family member who needs your care
• The condition is considered “serious,” as defined by FMLA
• Special rules apply for service members

Sadly, new employees are rarely allowed to take FMLA leave because of the 12-month rule. However, if you are in-demand and your employer would have trouble replacing you, it may be worth negotiating this issue a bit to see if they will be flexible.

 

Do You Suffer from a Recognized Disability?

If you suffer from a diagnosed medical condition that is considered a disability, you may qualify for limited protections under the federal ADA law (Americans with Disabilities Act). Again, however, this only applies to employers with more than 15 employees. Yes, it covers a wider range of employees, but there are a lot of small businesses in Alabama that simply are not required to comply.

If you are covered, your employer must make “reasonable accommodations” for you to be absent in order to seek disability-related medical care. The ADA requires that the employee start the conversation about a request for a reasonable accommodation, which may include questions related to the following:

• Appointments to get prosthetic devices fitted
• Rehabilitation or speech, occupational, or physical therapy appointments
• Medical appointments
• Surgical or outpatient procedures
• Hospitalizations
• Occasional and reasonably anticipated recovery times (chemotherapy, time after a surgery, etc.)

There are complex rules that govern when a condition stops being covered by the ADA and when a procedure or hospitalization may require FMLA protections.

If you suspect that your employer is covered by these laws and is intentionally denying you the right to seek medical care, exercise your rights under federal law, or is refusing to make reasonable accommodations for a disability, call Five Points law Group today.

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Your Obligations as a Personal Representative of a Probate Estate

If you recently discovered that a loved one named you his or her personal representative, you may be dealing with some conflicting emotions. On one hand, it is an honor to know that a parent, spouse, or other close relative trusted you enough to name you as their executor under a will. However, at the same time, you may be feeling a little overwhelmed and worried about what it actually means.

At Five Points Law Group, we work closely with personal representatives, administrators, executors, trustees, and other fiduciaries to make sure that fiduciary obligations are met and estates are properly administered from start to finish. Here are a few quick tips you need to keep in mind about your obligations as a representative for an estate.

 

Action is Voluntary

 

The first thing to remember is that you are in no way forced to act. Just because someone named you as their representative or executor does not mean you have to do the job. You always have the right to decline the job. But beware: If you decline, the next individual named in the will is going to be in a position to make important and critical decisions on behalf of the estate. If you do not like how that person handles things, you might not have the option of changing your mind later.

Fiduciary Obligations

 

Once you do accept the job and decide to act, you are bound by a set of fiduciary obligations. In other words, you must treat the estate’s property as separate and apart from your own. You can not appropriate or use the estate’s property for your own purposes. Examples of inappropriate breaches of fiduciary duties include:

• Commingling your money with the decedent’s money
• Using the decedent’s cars, boats, or other vehicles for your own purposes
• Moving into the decedent’s house without paying a reasonable rent

Accounting

 

Next, under Title 43 of the Alabama Code, you may be required to provide a regular accounting of the estate’s assets and liabilities. This means letting other relatives and heirs know exactly what is available, what debts may apply, and how the funds are being distributed. The more complex the estate, the more difficult this can be.

Opening the Estate and Administering it Properly

You do not want to get into legal trouble for accidentally misappropriating estate funds. If the estate has enough value to require probate, you will need to file the original will with the local court and petition to open an estate. This will give you the legal authority to:

• Collect assets
• Deal with creditors
• Resolve and pay debts and claims
• Defend the estate against lawsuits
• Prosecute lawsuits on behalf of the estate
• Distribute remaining funds to heirs and legatees based on the decedent’s wishes
• File final tax returns
• Sell or auction property
• Transfer real estate ownership
• Close the estate

How a Birmingham Probate Lawyer can Help

 

As you can probably imagine, there are a lot of ways a probate matter can get complicated quickly. In many cases, the surviving heirs all agree and get along. If so, it will go a long way to easing the process. But in other cases, family members fight bitterly over assets and heirlooms.

If you need help administering an estate in the Birmingham area, give Five Points Law Group a call today.

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