Clause held enforceable although purporting to disqualify beneficiary who cooperates or aids in challenge. A father’s lifetime trust and pour over will disinherited his son and contained a no contest clause purporting to apply to contests whether or not taken in good faith or ultimately successful and to anyone cooperating or aiding in any contest. The son settled his claims against his father’s estate, but only after the trial court ruled that the no contest clause was unenforceable because it impeded son’s discovery efforts. On appeal by the personal representative, the Arizona intermediate appellate court reversed, holding that the applicable statute which makes no contest clauses unenforceable if probable cause exists for taking a prohibited action does not conflict with the clause at issue and that the clause’s prohibition on cooperating or aiding does not violate public policy because it should be limited to voluntary cooperation and not apply to testifying in court or answering a subpoena for documents. In re Estate of Stewart, 286 P.3d 1089 (Ariz. Ct. App. 2012).
Special thanks to William LaPiana (Professor of Law, New York Law School) for bringing this case to my attention.
