Special Needs Trusts in Hudsonville, MI: Protecting Benefits While Securing Your Loved One’s Future
Families in Hudsonville who care for a child or adult with a disability often face a difficult balance. You want to provide long-term financial security and quality of life without jeopardizing essential government benefits.
A Special Needs Trust allows you to do both.
If you are researching Special Needs Trusts in Hudsonville, MI, this guide explains how they work, when you need one, and how proper planning can protect your loved one while preserving access to Medicaid and Supplemental Security Income (SSI).
If you would like to speak with an attorney about your situation, call 616-984-1606 or reach out through the firm’s Contact Us page to schedule a confidential consultation.
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Trust administration is intended to simplify the transition of assets and provide clarity for families. When a loved one passes away with a trust in place, the responsibility of administering that trust often falls to a trustee who may have never handled legal or financial matters of this scale before.
At Parakletos Law PLLC, we help families across Ottawa County navigate trust administration with confidence, efficiency, and clear guidance. Whether you are serving as a trustee or are a beneficiary seeking answers, our goal is to make the process manageable and transparent from start to finish.
If you have questions about trust administration, you can contact us directly at 616-984-1606 or visit our contact page to get started.
Read the rest of this entry »When Does It Make Sense to Create a Trust?
At Parakletos Law in Ottawa County, MI, our experienced attorneys guide individuals and families through every step of the estate planning process. We’ll help you determine if a trust aligns with your goals, your values, and your financial situation. Whether you’re looking to protect loved ones, manage your assets, or avoid unnecessary court delays, our team is here to help.
If you’re ready to explore your options, call 616-984-1606 or Contact us today to schedule your consultation.
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When a loved one passes away and leaves behind a trust, the responsibility of trust administration can feel overwhelming. Many Michigan families ask the same question: “Do I need a lawyer for trust administration?”
The answer is almost always yes — and here’s why.
At Parakletos Law, we guide Ottawa, MI families through every step of the trust administration process with clarity, compassion, and confidence.
Our team ensures that you meet your legal obligations, avoid costly mistakes, and protect your loved one’s legacy.
If you’re unsure where to begin, Contact us or call 616-984-1606 to schedule a consultation today.
When it comes to estate planning, one of the most common questions we hear is: “What’s the difference between a trust and a will?” It’s a great question—and an important one. Both documents are foundational tools in an estate plan, but they serve different purposes, operate in different ways, and offer different benefits.
In this post, we’ll walk through the key differences between trusts and wills, explain how each one works, and help you begin to discern which might be the right fit for your family’s goals. Whether you’re just starting to think about estate planning or revisiting an old plan, understanding these tools is a powerful step toward peace of mind.
Read the rest of this entry »What Does the Friend of the Court do?
When navigating family matters, specifically when there are minor children involved, the Friend of the Court (FOC) may act as a neutral third-party to help parents draft consent orders, conduct investigations into custody and parenting time matters, and enforce orders related to custody, parenting time, and child support.
What is the Friend of the Court?
The Friend of the Court is a government agency that works within the court system to enforce custody, parenting time, and child support orders. While they don’t represent either parent, the FOC also has the ability to conduct investigative meetings and make recommendations to the court with the intent of their recommendation being in the best interest of the minor children.
The Role of the Friend of the Court
1. Investigating Child Custody and Parenting Time:
The FOC conducts investigations to assess the living arrangements, parenting and transportation abilities, and the over-all best interests of the children. The FOC will also interview parents, children, and may even take third-party information into account for their recommendations.
Although they conduct these investigations, there are limitations because FOC representatives do not leave the office. These investitive meetings are conducted either at the FOC offices or via Zoom. So, despite there being a benefit to helping parents resolve some custody, parenting time, and child support issues, the results are never perfect.
2. Recommending Parenting Time Schedules:
When a case is first filed, the Court has an interest in ensuring a temporary custody, parenting time, and child support order for the minor children. As such, if the parties do not agree to a temporary order prior to filing, then the FOC will conduct an investigative meeting. This meeting is usually a 2–3-hour meeting where they meet with the parents, talk with the children (age dependent), then, based on their findings, make a recommendation to the court. These recommendations may include specific visitation arrangements, holiday plans, and guidelines for decision-making. They could also include temporary orders for custody and child support.
This recommendation is temporary and supposed to only last during the pendency of the proceedings. However, a cautious approach would be to assume the court will make this schedule a final order if the parties are unable to reach an agreement during negotiations.
It is the parents, not the FOC, that knows what is in the best interests of their minor children, as such, it is always in both parents and the children’s best interests if the they can negotiate a schedule that will work best in their situation.
3. Mediation and Conflict Resolution:
When a dispute arises between the parents, whether that be in custody, parenting time, or child support, the FOC can provide informal mediation to help them reach agreements on these various issues. Using the FOC can help reduce conflict, promote cooperation, and save parties on attorney’s fees.
Although the end goal of parent cooperation is admirable, informal mediation with the FOC may not be right in every situation. It would be beneficial to talk with an experienced family law attorney. That’s where Parakletos law can help, we can provide sound guidance and practice in the counties of Ottawa, Kent, and Allegan.
4. Enforcing Court Orders:
Beyond conducting investigative meetings, if the parties choose to opt in, the FOC will have the ability to provide enforcement of child support payments, and parenting time and custody violations.
As for child support, the FOC will keep an accounting of all payments paid and distributed. Then, if a payor stops paying child support, the FOC will begin court proceedings to ensure payment starts back up.
Additionally, when there has been an allegation of a parenting time or custody violation, the FOC will begin court proceedings to determine if there has been a valid complaint, determine if there has been a violation, and conduct informal mediation to resolve the dispute. If the dispute remains unresolved, then the FOC will schedule a hearing. At this hearing it will be determined if a violation occurred, and if so, what sanctions, if any are appropriate.
Working with the Friend of the Court
If you are involved in a family law case, it’s important to cooperate with the FOC. Be honest and open with them, as their recommendations can significantly impact the outcome of your case.
Remember, the FOC’s primary goal is to act in the best interests of the child. By working together, parents and the FOC can create a positive and stable environment for children.
If you have minor children and need assistance navigating the FOC, give Parakletos Law a call to see how we can assist you.
Ever wondered how a stepparent can legally adopt their stepchild? When I was working in the Allegan County courts, it was a frequent conversation that I had with parents. Either one parent would be asking about how their new spouse could adopt a child or the other parent was asking how to give up their parental rights. Although the process of a stepparent adoption is fairly straightforward, it is a bit more complex than just signing a piece of paper. Here in Ottawa County, stepparent adoptions are a unique legal process that involves a few key steps.
The first step is obvious, both biological parents must be identified and have notice of the proceedings. In most cases identification is straightforward, but notice can be an issue if the biological parents have no contact with each other, haven’t spoken, kept in contact, or know where the other lives.
Let’s assume though that the biological parents do know each other and know where to find one another. To facilitate a stepparent adoption, the biological noncustodial parent must either voluntarily consent to the stepparent adoption or the custodial parent must file a petition with the courts to terminate the noncustodial parent’s parental rights.
Even if the noncustodial parent does consent to the stepparent adoption, it still is not as simple as ‘signing a piece of paper.’ The noncustodial parent must appear before a judge to execute a consent to adopt. Alternatively, if the noncustodial parent does not consent to the stepparent adoption, then the custodial parent must prove two separate statutory grounds.
First, the custodial parent must prove that the noncustodial parent has the ability to support the child, but has failed to provide regular or substantial support for the child over the prior two years. Secondly, the custodial parent must prove that the noncustodial parent had the ability to visit and communicate with the child, but has regularly and substantially failed to do so over the prior two years. Despite these two statutory grounds, the custodial parent and stepparent are not guaranteed to achieve their desired outcome. This is because the court still has full discretion to deny the stepparent’s petition for adoption if they find that it is in the best interests of the child.
If the petition is successful and the noncustodial parent’s parental rights are terminated at the hearing, then the court will enter an order to that effect. The noncustodial parent will have a period of time to file an appeal. If no appeal is filed or if an appeal is unsuccessful, then the adoption will be ready for finalization and closure. As a part of the final order of adoption, the court may order that the adopted child’s name be changed, and along with that a new birth certificate can be created listing the child’s new name and adoptive parents. This final order of adoption will terminate any inheritance rights of the child from the biological parent, but the child will enjoy all the same rights as a natural born child to the adoptive parent.
If you are wondering about a stepparent adoption and would like to talk further, give us a call to see how Parakletos Law can assist you.
Small business is the heartbeat of the West Michigan economy. A small business is a business that employs fewer than 500 employees, and these small businesses make up 99.6% of all Michigan businesses. Here in Ottawa County, according to the U.S. Small Business Administration[1], small businesses employ close to 55% of all employees – where statewide, small businesses employ only 47.9% of employees – representing about 3.7 million jobs[2]. Meaning that in cities such as Holland, Zeeland, Hudsonville, and Grandville, small businesses have an even greater impact because they employ 7.1% more employees than the statewide average.
According to the National Association of Women Business Owners[3], 21% of small business fail in their first year, nearly 30% in their second year, almost a 50% failure rate by the fifth year, and for businesses that survive ten years have almost a 65% failure rate. These high failure rates are attributable to several factors, top among them are inadequate management and unproductive business planning. This underscores the critical role of effective planning in business success, as it can significantly mitigate risks and drive positive outcomes.
Small businesses have a significant impact on Michigan’s economy and can have a lifelong impact on the families that own them. If you want to leave a legacy for your children and grandchildren, you need to have well-planned business succession documents in place. At Parakletos Law, we work directly with owners to ensure a smooth business transition that maximizes the chances of successful implementation of your succession plan.
To create a solid succession plan, you need a two-pronged approach. First, your business’s legal documents should outline how and when ownership will change. Second, each owner should have personal estate plans in place to facilitate the transfer of business shares.
Within your governing documents, virtually every business with more than one owner should have a buy-sell agreement. There are three primary reasons to have a pre-built buy-sell agreement: (1) withdrawing business owners will guarantee a market for the sale, (2) the buy-sell agreement can help pre-determine value (typically by formula), and (3) remaining owners are guaranteed full control of the business on completion of the sale[4]. In addition to incorporating a buy-sell agreement, owners will need to contemplate what happens if a triggering event such as death, disability, drug/alcohol addiction, or a divorce happens to any owner.
After the governing documents are in place with the appropriate provisions, each owner will need to need to form, or update, their estate planning documents to ensure that their ownership goes to the person or people they desire.
It is common for family businesses to transition ownership to the next generation – which creates an inherent issue when the owner has multiple children. Most parents spend their lives convincing their kids that they are all loved equally, when a family-business owner chooses one child over another to run the family-business, that decision may feel in direct conflict with that effort. The business owner must make difficult decisions about continuing financial support and equitable treatment of passive family members – those that do not work in the business.
Succession planning is a natural breeding ground for uncomfortable conversations. These conversations take time and layering of dialogue; the owner must discuss all the ugly what-if scenarios to make sure the business and family are well provided for in the event any what-if scenario comes to pass. One major what-if question involves choosing a child to be a successor. If one child has been working hard in the business, training to be the successor, while their siblings have pursued different passions, should the passive siblings be entitled to equal ownership shares, income, and control? The successor child certainly will not think so. This is where proper estate planning can provide equality to your children. Even though one child inherits the business, the passive children can receive an inheritance in other forms to help equalize your estate between your children.
Building a business is a great accomplishment, and a successful transition can leave a legacy that extends far beyond the founder’s years. With each successive generation, the new leader will inherit a responsibility to the business. It takes work to build a succession plan, but the incoming generation and your legacy are counting on you to be successful. So, plan for the what-ifs and eventualities, and start building your business succession plan with Parakletos Law today.
[1] https://advocacy.sba.gov/wp-content/uploads/2022/08/Small-Business-Economic-Profile-MI.pdf.
[2] https://www.sbam.org/wp-content/uploads/2024/05/2024-Score-Card.pdf.
[3] NAWBO Expert Reviews. “What Percentage of Businesses are Small Businesses?” NAWBO.org. Feb. 9th, 2024, https://nawbo.org/expert-reviews/small-business-statistics/.
[4] Michigan Business Formbook ch 9 (Mark A. Kleist et al eds, ICLE 3d ed 2011), at https://www.icle.org/modules/books/chapter.aspx?lib=business&book=2011551140&chapter=9 (last updated 07/19/2024).
The prenuptial agreement is a written contract entered into before marriage that establishes the property rights between spouse in the event of death or dissolution of the marriage. Often referred to as “prenups,” these are legal documents that can outline the division of assets, spousal support, and other financial matters. It certainly is not the most romantic aspect of planning for your wedding, but can provide clarity and peace of mind for those entering into marriage.
When entering into these prenuptial agreements, people are looking to modify or extinguish the property rights that are established as a result of the marriage. The statutory rights include a homestead allowance, family allowance, exemption in household furnishings, the right to elect against the spouse’s will, and the right to intestate succession. These property rights, inherent because of the marriage, add up to well over $81,000 and are adjusted annually for cost-of-living. However, there are a number of other reasons people look to enter into a prenuptial agreement, often this includes an expected inheritance, financial clarity and management, and protecting assets for kids.
One key aspect to keep in mind when looking into a prenuptial agreement is that transparency is preeminent condition. Both parties must provide a complete and accurate financial picture to ensure that the prenuptial agreement is fair and fully informed. Failing to disclose assets or debts may lead to court challenges of the prenuptial agreement in the future, which could put the validity of the prenuptial agreement in jeopardy.
Planning for first marriages.
Prenuptial agreements are uncommon for first marriages. This is because most first marriages are between parties that are younger and have little to no real asset accumulation; and first marriages typically see the prenuptial process as unromantic. Despite the uncommonness of first marriage prenuptial agreements, when one or both parties have substantial assets or anticipate inheriting family wealth, both present a situation where a prenuptial agreement may be appropriate.
Besides having substantial assets or anticipating a family inheritance, parties who are well settled in a career and marrying for the first time may consider a prenuptial agreement to provide a contractual obligation for the sharing of living expenses – which could include costs and expectations for graduate and professional level schooling.
Planning for second (or subsequent) marriages.
Prenuptial agreements are far more common for people entering into a second or subsequent marriage because people have children and have likely already accumulated significant property during their first marriage. A properly negotiated and drafted prenuptial agreement can protect each person’s property that they bring into their subsequent marriage. This practical protection of property can provide that what each party brings into the marriage will pass to their family – and not the step-family, unless specifically provided for otherwise (although it is important to keep in mind that a prenuptial agreement works in tandem with estate planning documents, and does not replace the need for a will or trust). Just like planning for a first marriage, a prenuptial agreement in second and subsequent marriages can plan for how the parties operate their household expenses, taxes, and any other obligations during the marriage.
Prenuptial agreements can be a valuable tool for couples seeking to protect their financial interests and bring clarity to potential future uncertainties. While a prenuptial agreement is not necessary in every situation, having an open, honest, and yes, even unromantic conversations about premarital planning can help contribute to a healthier understanding and expectation of each other’s financial and property interests.
If you are looking to see if a prenuptial agreement is right in your situation, consulting with Parakletos Law will help you determine what your options are and will walk with you every step of the way from the initial conversation through drafting and signing of your prenuptial agreement.
Understanding 4 Key areas of Guardianships
Introduction.
The decision to file for a guardianship is often stressful for both the person who intends to become a guardian and for the person who is has lost their ability to care for their own well-being. But, understanding these 4 key areas will help you make better more well-informed decisions. Once you get a handle on what guardianships are, we are here to help you navigate the complexities of the court processes.
Before jumping in, we should understand a couple terms:
Guardian. A guardian is a person who has the care and control of an incapacitated person. Much like a parent would have the care and control over a child.
Ward. A ward is the person who is incapacitated, in need of a guardian to help take care of them.
#1 Types and Purposes of Guardianships.
Although we will list several types of guardships, they are in no way in order of priority. In fact, determining the appropriate type of guardianship should be done in consultation with your attorney as each person’s situation is unique and there are nuances within these types of guardianships that could cause one type to be more appropriate than another type. Reach out to us today to schedule a consultation if you need assistance with establishing a guardianship.
- Limited Guardianships. Limited guardianships are useful when a person is incapacitated in a specific area in their lives or when the person’s disability is situational. Essentially, the incapacitated person is otherwise mostly capable of handling their lives in a responsible and healthy way, but there could be one to a few areas that they really struggle with, this could be a situation where the limited guardianship is a far more beneficial type than another type as it mostly preserves the ward’s autonomy and ability of self-reliance and independence.
- Temporary Guardianships. There are two types of temporary guardianships. The first is an Emergency Guardian. An Emergency Guardian is set into place by order of the court in an expedited manner. Since there is either no hearing or a hearing with limited available information, the Emergency Guardian may only be appointed up to 28 days. This allows the Emergency Guardian to help the ward through the immediate emergency. However, given the short duration of the appointment, the court will be seeking to replace the Emergency Guardian with a more permanent option if the emergency converts to a long-term detriment that the ward is unable to manage.
- The second type of temporary guardianship is called a Temporary Guardian. Temporary Guardians are appointed up to 6 months and are typically put into place when an existing guardian is not performing their duties. The Court will suspend the current serving guardian’s ability to act and appoint a temporary guardian so as not to jeopardize the wards quality of life any further. Again, this only covers the immediate need and a long-term guardian will need to be put into place. However, the Temporary Guardian may become the full guardian under the court’s approval.
- Full Guardianships. A guardian substantially interferes with the inherent rights of the potential ward and whenever the court appoints a guardian, that guardian has powers and duties over the wards real and personal property, as well as powers over the wards medical and health decisions, and living arrangements.
- Despite Michigan Law preferring a limited guardianship before granting a full guardianship, attorney’s and petitioners routinely seek a full guardianship mostly out of convenience. The process for seeking and obtaining a guardianship is a bit arduous and can be expensive. As such, to avoid filing a new petition and starting back close to the beginning of the process, most people opt to seek the full guardianship from the very beginning. Doing so puts the responsibility on the ward to raise the issue of a limited guardianship.
- Guardianship Purposes. No matter what type of guardianship you are looking to implement, the purpose is always the same; to provide a substitute decision maker for certain day-to-day personal decisions. These decisions vary from consenting to medical or other professional care to arranging for the purchase of food, clothing, or other necessities. Some of these other necessities can include handling money, savings accounts, and checking accounts.
#2 The Legal Standard to Establish a Guardianship.
Before a court appoints a proposed guardian for a ward, the evidence must clearly and convincingly show two things: (1) that the proposed ward is incapacitated; and (2) that the appointment of a guardian is necessary to provide ongoing care and supervision.
Here’s what that means. First, a clear and convincing standard is evidence that must convince a judge that the proposed ward is incapacitated. Secondly, incapacitation is a person who cannot understand or make informed decisions due to mental illness, mental deficiency, physical illness or disability, chronic use of drugs, intoxication, or another cause. Basically, the person lacks the ability to make or communicate informed decisions.
In simple terms, a judge must find it highly credible that the proposed ward must be unable to understand and make informed decisions about their own well-being.
#3 Responsibilities of Guardian.
When considering becoming a guardian, the proposed guardian considering taking on this important role has quite a lot to think about and consider. This role is not something that should be entered into lightly because the weight of responsibility and time that is involved.
When a guardian is appointed, they become a fiduciary for the benefit of the ward. This person stands in a position of trust and confidence and is responsible for arranging for the ward’s care, custody, comfort, and maintenance. The guardian is also tasked with the responsibilities of caring for and making decisions on behalf of the ward for their medical care, training, education, restoration of mental faculties and physical health. The guardian may also be required to care for things like the ward’s clothing, furniture, motor vehicles, and any other personal effects. Furthermore, the guardian may also make decisions on living arrangements for the ward and may even have power to manage the ward’s money and property. As such, it is imperative that the guardian keep detailed records of all expenses and income in case they are later questioned about their duties to the ward. To the extent possible, the guardian must be in consultation with the ward before making any major life decision.
#4 Alternatives to Guardianship.
There are alternatives to guardianships that really should be considered prior to seeking a guardianship. In fact, the courts seem to prefer employing use of these alternatives prior to filing for a guardianship.
The first alternative is a financial power of attorney. A financial power of attorney is when a person (known as the “principal”) voluntarily shares their own decision-making authority with an agent. In a guardianship proceeding the ward loses their authority and autonomy to their own well-being. However, when using a financial power of attorney, the principal retains their own right to make decisions and can revoke and change the agent’s authority at any time. This option is typically far more economical both in the amount of time and money it costs to put into place. A person who may be in need of drafting a power of attorney must keep in mind that this option is only available if the principal is competent at the time of execution.
The second alternative is a patient advocate designation. A Patient Advocate or Healthcare Directives is the document that used to appoint another person to provide the care, custody, and medical and mental health treatment decisions on behalf of the Patient. Just like a financial power of attorney, this is a voluntary sharing of decision-making authority. And similar to a financial power of attorney, the patient must be of sound mind to execute this document. As such, if the patient is no longer of sound mind, then this option will no longer be available.
A third alternative, but one used alongside the above two alternatives, is the formation of a living trust. When used properly a trust may avoid the need for a guardian and conservator because when a Grantor (the person forming the trust) funds their living trust, their property is managed by a trustee. This allows the trustee to handle all financial matters and other necessary services that may help avoid the need for a guardianship if the proposed ward does not overtly disagree, object, or fight with care providers.
Conclusion.
Guardianships play a vital role in ensuring the well-being and protection of individuals who cannot care for themselves. Understanding the types, purposes, responsibilities, and alternatives to guardianships is essential for anyone involved in this significant legal responsibility. If you have questions or need assistance with a guardianship case, we are here to help. Visit our website to learn more about our services and how we can support you through every step of the guardianship process. Your peace of mind is our priority—reach out to us today.
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