What is a Pet Trust and Should You Consider Having One?

By Olivia Wann

Introduction:

This article examines the benefits and legal framework for establishing a pet trust under Tennessee law. Pet trusts provide a legally recognized mechanism for ensuring the continued care of beloved animals after their owner’s death or incapacity. Tennessee’s comprehensive statutory framework offers pet owners significant advantages and protections when establishing these specialized trusts.

Why Should You Consider a Pet Trust?

When clients consult with me about planning their estate, whether using a Last Will and Testament or a Trust, the goal is to control what happens to their assets including the care of their children after death such as ensuring property is distributed to specific people, guardians for minor children are named and a personal representative, also known as an executor, is selected to manage the estate. But what about your dog or other pets who have become like family members to you? Should you make preparations for them?

Unintentionally omitting a plan for a pet’s future after our death means that we do not have a complete estate plan in place. If your pet is a beloved family member, it is critical to make provisions for them.  When a plan is not in place, what can happen? I have personally seen dogs and cats randomly placed with people who have not been screened, sent to shelters and worse, abandoned at the home they once lived in. In one case, the dog was euthanized. Horses can especially present a challenge if the family of the deceased is not interested in livestock. I personally own a rescue quarter horse who landed in an auction house where many senior and unwanted horses end up slaughter bound. Luckily this amazing horse was rescued, and I was able to purchase him  He continues to amaze me with his gentle demeanor and his skill set. With that said, he is on a special diet and likely his previous owner or successor owner could not meet those demands and sent him to an auction barn.

In addition to having 2 horses, I have 5 ponies, 3 dogs, 2 cats, 6 pigs and 6 goats. Not making provisions for them in my estate plan could result in my beloved animals ending up in bad conditions. Like you, my pets are an important part of my family and my estate plan.

I have drafted several revocable living trusts with a sub trust for their pets. I have build in a special section of their trust that outlines who the designated caregiver is, where animals will be placed and any special instructions are listed. Funds are also allocated for the animal’s care.

Legal Framework for Pet Trusts in Tennessee

I am glad I practice in Tennessee where our laws explicitly authorize the creation of trusts for animal care. A trust may be created to provide for the care of an animal alive during the person’s lifetime. Tenn. Code Ann. § 35-15-408. This statutory recognition provides legal certainty and enforceability that informal arrangements cannot match.

The state’s approach reflects Tennessee’s broader commitment to honoring person’s intent. Tennessee courts give maximum effect to the principle of freedom of disposition and to the enforceability of trust instruments

Duration and Termination Provisions

Tennessee law provides clear guidelines for pet trust duration. The trust terminates upon the death of the animal or, if the trust was created to provide for the care of more than one animal alive during the settlor’s lifetime, upon the death of the last surviving animal. Tenn. Code Ann. § 35-15-408. However, the trust may not be enforced for more than ninety years. Tenn. Code Ann. § 35-15-408.

This 90-year limitation provides a reasonable outer boundary while accommodating the natural lifespans of various animals. The automatic termination upon the death of the designated animals ensures that trust assets do not remain tied up indefinitely.

Protection Against Misuse of Trust Assets

Tennessee law includes important safeguards to prevent misuse of trust property. Property of a trust authorized by this section may be applied only to its intended use, except to the extent the court determines that the value of the trust property exceeds the amount required for the intended use. Tenn. Code Ann. § 35-15-408. This restriction ensures that trust assets are used solely for the animal’s benefit.

The statute also addresses excess funding situations. Except as otherwise provided in the terms of the trust, property not required for the intended use must be distributed to the settlor, if then living, otherwise to the settlor’s successors in interest. Tenn. Code Ann. § 35-15-408. This provision prevents excessive funding while ensuring any surplus returns to the appropriate parties.

Flexibility in Trust Design

Tennessee’s pet trust statute works within the state’s broader trust framework, which emphasizes flexibility and settlor autonomy. The terms of a trust may expand, restrict, eliminate, or otherwise vary the duties and powers of a trustee, relations among trustees, and the rights and interests of beneficiaries, subject to certain mandatory provisions. Tenn. Code Ann. § 35-15-105.

This flexibility allows pet owners to customize their trusts to address specific animal care needs, designate preferred caregivers, and establish detailed care instructions. The statutory framework provides the foundation while allowing for individualized arrangements.

Conclusion

Tennessee’s pet trust statute offers compelling advantages for animal owners seeking to ensure their pets’ future welfare. The combination of explicit legal recognition, comprehensive enforcement mechanisms, protection against asset misuse, and flexibility in trust design makes Tennessee an attractive jurisdiction for pet trust creation. Pet owners should strongly consider establishing a pet trust under Tennessee law to provide legal certainty and comprehensive protection for their beloved animals.

If you want a plan in place for your beloved pets, give me a call.  (931) 232-4529.