Mistake in Medicaid Law not Grounds for Termination of Trust

The mistaken beliefs by the settlors that transferring their home to an irrevocable trust would preserve their Medicaid eligibility and protect the home against health care claims were mistakes of law and not “circumstances that were apparently not anticipated” within the meaning of 20 Pa.C.S. § 7740.2(a), and it was within the discretion of the Orphans’ Court, and not an error of law, to deny the settlors’ petition to terminate the trust. The “strained” relationship between the settlors and the trustee (their daughter) was also not grounds to terminate the trust. In the Matter of: Peterson Family Irrevocable Trust, ___ A.4th ___, 2025 PA Super 60 (3/13/2025).

Comments are closed.