In today’s world, more and more people have mixed families: a “half-this or a step-that.” As the complexity of modern family dynamics increases, so does the need for a comprehensive estate plan. Yet, in 2024, only 32% of Americans have an estate plan. Moreover, 40% of these people claim it is because of a lack of assets. The issue with this position is that without an estate plan, a person gives up control over what happens to their assets when they die. 

Intestate

Dying without a will or dying “intestate” in North Dakota means your estate will be distributed according to the rules of intestate succession.  Most people would presume this means your estate will be distributed to your spouse or, if you have no spouse, to your children. This is not necessarily true, especially if you belong to one of the growing number of families that includes a half-this or a step-that.

Surviving Spouse

Under the rules of intestate succession, your entire estate will go to your surviving spouse as long as (1) you don’t also have a surviving parent; (2) your spouse is the parent of all of your surviving children; and (3) you are the parent to all of your spouse’s surviving children. If any one of those three conditions is not met, your spouse will only inherit as follows:

1. If you have a surviving parent, but no surviving children, your spouse will inherit the first $300,000.00 of your estate, plus three-fourths of the balance.

2. If your spouse is the parent of all of your surviving children, but also has surviving children of whom you are not the parent, your spouse will inherit the first $225,000.00  of your estate, plus one-half of the balance.

3. If you have at least one surviving child of whom your spouse is not the parent, your spouse will inherit the first $150,000.00 of your estate, plus one-half of the balance.

Remainder Of Family

After your surviving spouse has taken their share of your estate, the remainder will be distributed to your other family members in the order of priority established by state law. In North Dakota, the order of priority has been established as follows:

1. Your children, in equal shares.  If any of your children predecease you, their share will pass to their children.

2. Your surviving parent(s), in equal shares.

3. Your siblings, in equal shares.  If any of your siblings predecease you, their share will pass to their children.

4. Your grandparents. Half will be distributed to your surviving paternal grandparent(s) and half will be distributed to your surviving maternal grandparent(s). If both grandparents on one side of your family predecease you, the share for that side of the family will pass to the children of either or both of the predeceased grandparents. For example, if your only surviving grandparent is your paternal grandfather, he will inherit one-half of your estate. The other half will be distributed in equal shares to the children of either or both of your maternal grandparents (i.e. your mother’s siblings and half-siblings).

5. Your aunts and uncles, in equal shares. If any of your aunts or uncles predecease you, their share will pass to their children, including any who are not directly related to you.

6. The surviving children of your predeceased spouse(s), in equal shares.

This order of priority applies equally to both half blood and whole blood relatives because, under North Dakota law, half blood relatives inherit the same as if they were whole blood.

Will Construction

Even if you have a will, the rules of intestate succession will apply to any portion of your estate not addressed by the will. However, even a will that does not effectively distribute your entire estate, perhaps because it is out of date, may provide some control over who inherits that portion not addressed. For instance, a will that expressly limits the definition of sibling to exclude half-siblings ensures that half-siblings do not inherit at all. The same type of provision may be used to ensure that half-siblings inherit only half as much as whole siblings or to disinherit a child.

As you can see, even this simplified version of North Dakota’s rules for intestate succession can quickly become complicated when applied to the complex family dynamics of the modern world. To ensure that your assets are distributed the way you want and to ensure peace among your family members, it is best to set up an estate plan sooner rather than later.

If you have any questions regarding estate plans in North Dakota, please contact us!

This article is for informational purposes only and is subject to our disclaimer.