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7 Planning Opportunities For Domestic Partners

1. Define Ownership of Property. Domestic partners can define who owns the property in their relationship by executing a cohabitation agreement. A cohabitation agreement can encompass both real estate and personal property, and partners can set forth their intentions regarding mortgage payments and the future purchase of home furnishings and fixtures.

2. Determine Responsibility for Debts. If you and your partner live together, you may purchase mutually beneficial things, such as furniture, meals, or home accessories on one party’s credit card, for items that you each benefited from or enjoyed. You can define responsibility for such debts through a cohabitation agreement.

3. Clarify the Roles and Expectations of Your Relationship. If you are living with your partner, you most likely share many household responsibilities. Following a break-up, if you have benefited substantially from the homemaking, housekeeping, or financial contributions of your partner, you may be subject to a claim for compensation. You and your partner can clarify that any companionship, homemaking, or other services provided to each other are gratuitous and avoid a future lawsuit or dispute.

4. Inheritance. In the absence of planning, you will not inherit anything from your partner. You can decide to leave your partner part or all of your assets through a will or living trust.

5. Housing Security. If you are living with your partner, and the deed to the house is in only one person’s name, the surviving partner will have no right to stay in the owner’s home. You can protect the non-owner’s security by providing them with a fixed period of time that they can remain in the home following the death of the owner.

6. Health Care Directives. If you ever become incapacitated, doctors will generally turn to the closest blood relative to make medical decisions. You can appoint your partner, as power of attorney to make health care decisions on your behalf, in the event that you ever become incapacitated.

7. Privacy. You can maintain privacy in your relationship, and assist your partner in avoiding probate court, by utilizing a revocable living trust. You can maintain complete control over your assets during your life, and appoint your partner as trustee upon your death.


Domestic Partners
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