Introduction

The Continuity phase of the EPIC framework addresses one of the most significant challenges in estate planning: plan failure. Despite meticulous drafting and thoughtful implementation, many estate plans fail because future fiduciaries are either unaware of the plan’s existence or do not know how to execute it effectively. Traditional legal plans, written on paper, are static and lack the ability to adapt to real-time changes and events. LegalEdge Innovators seeks to overcome these limitations by transforming estate plans into dynamic, digital documents that ensure continuous engagement and effective execution.

The Problem of Plan Failure

Most estate plans fail due to a lack of awareness and understanding among future fiduciaries. When fiduciaries are not adequately informed about the plan or their responsibilities, they cannot execute the plan as intended. Additionally, traditional paper-based legal documents are inherently “dumb” – they cannot respond to changes in circumstances or alert fiduciaries to required actions. This often leads to missed opportunities, mismanagement, and ultimately, the failure of the estate plan.

The Traditional Business Model of Estate Planning Lawyers

Traditionally, estate planning lawyers have operated on a transactional business model. They draft the necessary legal documents for their clients, and once the documents are finalized, the lawyer’s role typically ends. This approach means that after the initial drafting phase, there is often no ongoing relationship between the attorney and the client. Consequently, the estate plan is left without professional oversight, increasing the risk of failure when circumstances change or when fiduciaries need guidance.

Comparison with the Financial Services Model

In contrast, the financial services industry has adopted a more lucrative model based on assets under management (AUM). Financial advisors are compensated with ongoing fees to manage their clients’ investments. These advisors often provide estate planning advice as part of their services, despite not being licensed attorneys. This model ensures continuous engagement and oversight of the client’s financial affairs, creating a perceived higher value proposition.

The Role of Financial Advisors

Financial advisors are paid to do what estate planning attorneys are licensed to do: advise and counsel clients. They have extended their services to include estate planning advice, earning ongoing fees for managing assets, while estate planning attorneys typically have no ongoing role once the documents are drafted. This disparity highlights a missed opportunity for attorneys to provide continuous value to their clients.

The Opportunity for Estate Planning Attorneys

With the invention of trust advisor rules, estate planning attorneys now have the opportunity to play an ongoing role in monitoring and reporting on the legal plan, including asset performance. Despite this potential, many attorneys are hesitant to adopt this model. They often feel there is no clear value proposition for the client and may lack the ability or confidence to provide continuous financial oversight.

The LegalEdge Solution

LegalEdge Innovators offers a solution to these challenges through its AI-powered software. Our software is fine-tuned to monitor life events and investment performance, engaging with the family and taking approved actions seamlessly and passively for the lawyer. Key features of our solution include:

• Automated Monitoring: The software continuously monitors critical life events and investment performance, as described in the Property phase of the EPIC framework. It ensures that the estate plan remains relevant and actionable.
• Triggering Workflows: Upon detecting specific events, such as poor investment performance or significant life changes (e.g., stroke, death), the software triggers predefined workflows. These workflows guide fiduciaries through the necessary actions, ensuring timely and accurate execution of the plan.
• Ongoing Communication: The software facilitates ongoing communication with the family, keeping all relevant parties informed and engaged. This continuous interaction helps maintain the integrity of the estate plan.
• Low Fee Structure: Our solution provides these services at a low fee, making it an attractive option for clients while generating recurring revenue for attorneys.

The Continuity phase of the EPIC framework revolutionizes traditional estate planning by addressing the critical issue of plan failure and bridging the gap between the transactional nature of legal services and the ongoing engagement model of financial advisors. By converting static paper documents into dynamic, web-based plans, LegalEdge Innovators ensures that estate plans remain relevant, actionable, and effectively executed. Our AI-powered software monitors life events and investment performance, triggers necessary workflows, and maintains continuous communication with the family. This approach not only safeguards the client’s intentions and family legacy but also provides a valuable, ongoing role for estate planning attorneys, enhancing their value proposition and generating sustained revenue. Through this innovative approach, LegalEdge Innovators helps families navigate the complexities of estate planning with confidence and clarity.