Arkansas HVACR NewsMagazine March 2026

HVACR NewsMagazine March 2026

Business & Marketing Tips

Problems with not having a Revocable Trust • Guardian of the Estate o If an individual becomes incapacitated, a court may have to appoint a guardian to manage the assets owned by the individual (guardianship of person may still be needed). • Probate o The probate process must be used to transfer assets owned in the individual ’ s name and this process can be time consuming and expensive • Reduced Planning Opportunities o The probate process does not ensure the individual ’ s assets pass in a manner that is advantageous for estate tax, legacy planning or creditor protection purposes and if no Will may not go to whom you would have chosen. Benefits • The individual ’s wishes control distribution. • Arkansas intestacy law does not apply. • Can create testamentary trust for children. • “Pour -Over ” Will. • Assets owned in the person ’s individual name will be divided and distributed according to the Arkansas intestacy law, which may result in undesired person receiving the individual ’s property. • No legacy or creditor protection planning opportunities. • No trust for children, get at 18. • Personal representative appointed by Probate Court and does not have same potential Last Will and Testament Problems with not having a Last Will and Testament

flexibility as an Executor appointed under a Will.

Arkansas Intestate Succession Often leads to unexpected and unintended results

• Arkansas Tables of Descents – Ark. Code Ann. 28-9-214 • Spouse gets limited inheritance, most going to children • If marriage less than three years, sposal share only 50% if not children. • Passes from class to class of heirs based on their degree of relationship to decendent. • No children, no parents, no distinction for paternal or maternal, one part mother ’s side, 5 on father ’s side, all get 1/6 the same. • Estate can ultimately pass to “strangers” and/or the County. • No control over terms of distribution Benefits • Avoids the need for a Court appointed guardian to make financial and/or legal decisions. • Individual can control the amount of power granted and when the authority is effective. • Individual decides who will make these decisions. Problems with not having a DPOA • Guardian necessary to make financial and/or legal decisions. • Arkansas Law controls the power granted to the guardian. • Guardians are subject to Court supervision. Durable Power of Attorney