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Q.Can a parent with a child who is an addict use a Special Needs Trust?
A.Parents of addicts may love their child(ren), but realize that it would be a disaster to leave an addict a substantial amount of money or property outright (that they can sell for money). To eliminate this possibility, parents can chose to merely disinherit the child, or they can form a Special Needs Trust.
The Special Needs Trust entrusts the named trustee to make the decisions as to what should, and should not be paid for. The payments are wholly within the discretion of the trustee and the trustee can pay a service provider such as DWP, The Gas Company, a landlord, etc. directly from the trust so the trust assets never get into the hands of the addict. The trust assets may also include a home, or a vehicle, which again would be controlled by the trustee so the addict couldn't just see the property, or the car.
While it can be distressing to admit you are the parent of an addict, you must inform your attorney about these issues when you are preparing a Will, a Trust, or naming beneficiaries on your life insurance policies, or retirement accounts. Your attorney will be better able to advise you of all your options to make sure that both you and your child(ren) are protected.
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