Numerous new laws passed during the 2025 Maryland General Assembly legislative session are taking effect, covering a wide range of legal areas. For our clients and community, it’s important to be aware of the key updates, especially those impacting the planning and administration of estates and trusts. We’ve synthesized the most relevant changes to keep you informed about how these new statutes may affect your existing legal documents or future planning strategies.
Estate Planning and Trusts Law Updates
These changes directly affect the administration of trusts and the handling of decedents’ estates:
- Trustee Resignation Notice (HB146/SB126): This new law streamlines the process for a trustee to resign from their position without requiring court approval. Under the new rules, a trustee may resign simply by providing at least 30 days’ written notice to the qualified beneficiaries, the settlor (if living), any co-trustees, and any person with the right to replace or appoint a successor.
- Trust Decanting Act Clarification (HB88/SB158): This legislation clarifies the specific methods by which notice must be provided when a trustee exercises the "decanting power" under the Maryland Trust Decanting Act. It establishes a requirement that notice and documents be sent in a manner that is reasonably suitable and likely to result in actual receipt by the intended party.
- Priority of Unpaid Child Support in Probate (HB261/SB110): This law significantly alters the priority of claims in a deceased person's estate when assets are insufficient to pay all outstanding debts. Unpaid child support is now elevated to a higher payment class, positioning it ahead of other claims such as taxes and medical expenses.
Staying informed about shifts in Maryland's legal landscape is crucial for maintaining a robust estate plan. We encourage you to review your current estate planning documents to ensure they are current and fully address the intent of your legacy. Contact our team at (301) 468-3220 or altmanassociates.net to schedule a review of your estate plan and discuss how these new laws may affect your existing documents.
