Why You Should Not Rely Solely on a Taiwan Will for Your U.S. Assets
Individuals living in Taiwan often mistakenly assume that a Taiwan will can govern all of their assets worldwide. Although a properly executed Taiwan will may be recognized in the United States, relying on it alone to transfer U.S. assets can create significant practical and legal complications.
When an estate includes California real estate, U.S. bank or brokerage accounts, stocks, employee equity, or business interests, the absence of a properly coordinated U.S. will can make probate more difficult. The family may need to prove the validity of the Taiwan will, obtain certified translations, provide evidence of Taiwan law, and resolve inconsistencies between the foreign document and U.S. probate requirements.
These additional steps can prolong the probate process, increase legal expenses, and delay the beneficiaries' access to the assets.
Can a Taiwan Will Be Recognized in California?
Potentially, yes.
California law generally permits recognition of a written will executed outside California if its execution complies with certain applicable laws. For example, the will may be valid if it was properly executed under the law of the place where it was signed or the law of the place where the person was domiciled, resided, or was a national.
Accordingly, a Taiwan will does not automatically become invalid merely because it was signed outside the United States. However, legal recognition is only the first issue. The family may still need to establish that:
- The document is the decedent's authentic and final will
- The will was properly executed under the applicable law
- The original document has not been revoked
- The submitted English translation is accurate
- The provisions of the will can be applied to the U.S. assets
What may have been a straightforward Taiwan estate document can therefore become a more complicated evidentiary issue in a California probate proceeding.
How Relying on a Taiwan Will Can Prolong California Probate
1. The Will Must Be Translated
A California court will generally require an English translation of a Taiwan will written in Chinese. Depending on the circumstances, the translation may need to be certified and supported by additional declarations.
Translation is not always mechanical. Taiwan and California use different legal terminology and inheritance concepts. If a provision does not have a precise English equivalent, questions may arise regarding its intended meaning or legal effect.
2. The Family May Need to Prove Taiwan Law
A California will is evaluated under requirements familiar to the local court. With a Taiwan will, the court may need additional evidence showing that the will was properly prepared and executed under Taiwan law.
This can require declarations, expert opinions, authenticated records, or other evidence explaining Taiwan's legal requirements. If the execution procedure is unclear or challenged, additional hearings may be necessary.
3. Obtaining the Original Will May Take Time
Probate ordinarily requires the original will. If the Taiwan will is stored with a family member, attorney, notary, court, or other institution in Taiwan, the family must locate it and arrange for its delivery to the United States.
Additional issues may arise if only a copy is available, the original cannot be found, or different versions of the will exist.
4. Taiwan and U.S. Estate Documents May Conflict
A Taiwan will may have been drafted primarily for assets and legal concepts existing under Taiwan law. Its provisions may not clearly identify or address California property, U.S. financial accounts, employee benefits, or ownership interests in an American company.
Problems may also arise if the person later signs a U.S. will without properly coordinating the two documents. Broad language revoking all prior wills could unintentionally revoke the Taiwan will, while inconsistent beneficiary provisions could create uncertainty or litigation.
5. The Executor May Face Difficulty Acting in California
The executor named in the Taiwan will may reside outside the United States and may be unfamiliar with California probate requirements. The proposed representative may encounter legal or practical obstacles involving appointment, bonding, estate bank accounts, court appearances, tax identification numbers, or management of California property.
6. Financial Institutions May Require Additional Documents
U.S. banks, brokerage firms, transfer agents, and employers may not act solely on the basis of a Taiwan will. They may require certified court orders, Letters Testamentary, translated death certificates, tax documents, signature guarantees, and identity verification.
If the beneficiaries reside in Taiwan and do not have U.S. identification or banking information, the transfer process may take even longer.
A Taiwan Will Does Not Avoid California Probate
Even if a Taiwan will is accepted as valid, it generally does not prevent probate. A will determines who should receive probate assets and who should administer the estate. It does not remove assets from the deceased person's individual ownership before death.
For example, California real estate held in the owner's individual name may still require a California probate proceeding. The Taiwan will may tell the court who should inherit the property, but the court may still need to:
- Appoint a personal representative
- Confirm the will's validity
- Notify creditors and interested parties
- Inventory and appraise the assets
- Address expenses and tax obligations
- Approve the final distribution
A U.S. will does not itself avoid probate either. Its principal advantage is that it provides instructions designed for the U.S. assets and the applicable probate system, reducing questions about foreign law, translation, execution, and interpretation.
U.S. Assets That Should Be Specifically Addressed
California Real Estate
California real estate is governed primarily by California law. A California will can clearly identify the property, intended beneficiaries, and proposed personal representative. However, if the goal is to avoid probate, a will alone is generally insufficient. The owner may need to transfer the property into a properly established and funded living trust or use another appropriate ownership arrangement.
U.S. Bank and Brokerage Accounts
Whether an account passes through probate depends largely on how it is titled and whether it has an effective beneficiary designation. A U.S. will can provide directions for accounts that become part of the estate, but it generally does not override a valid payable-on-death, transfer-on-death, joint-ownership, or beneficiary arrangement.
Stocks and Employee Equity
Publicly traded stocks, restricted stock, stock options, retirement benefits, and other employee equity may each have different transfer rules. Some pass under beneficiary designations or plan documents, while others become probate assets. These arrangements should be reviewed together with the U.S. estate plan rather than addressed only through a general Taiwan will.
LLC and Business Interests
An interest in a U.S. limited liability company may be governed by its operating agreement and applicable state law. The agreement may restrict transfers or separate economic rights from management rights. The estate plan should be coordinated with the operating agreement so the intended beneficiary can receive the appropriate interest without unnecessary disputes or interruption to the business.
Should You Prepare a Separate U.S. Will?
For a person with substantial assets in both Taiwan and the United States, using separate but carefully coordinated estate-planning documents is often more effective than relying exclusively on a Taiwan will.
A coordinated plan may include:
- A Taiwan will governing Taiwan assets
- A U.S. will specifically addressing U.S. assets
- A revocable living trust holding California property
- Updated beneficiary designations for financial accounts and employee benefits
- Transfer-on-death or payable-on-death arrangements where appropriate
- Financial powers of attorney and incapacity-planning documents
The Taiwan and U.S. documents must be drafted to work together. Each should clearly identify its intended scope, and neither should unintentionally revoke or contradict the other.
A U.S. Will Is Helpful, but a Trust May Be Needed to Avoid Probate
A properly drafted U.S. will can reduce uncertainty and simplify the administration of U.S. assets. However, it does not automatically avoid probate.
If avoiding California probate is an important objective, the owner should also consider how each asset is titled. California real estate and other substantial assets may need to be transferred into a revocable living trust during the owner's lifetime.
- A U.S. will can make probate clearer and more efficient.
- A properly funded trust may allow qualifying assets to be administered outside probate.
Having the right documents without properly transferring the assets into the intended ownership structure may leave the estate exposed to the same probate problems the plan was intended to avoid.
Frequently Asked Questions
Is a Taiwan will invalid in California?
Not necessarily. A properly executed Taiwan will may be recognized in California. However, establishing its validity and applying it to California assets may require additional evidence, translations, and court proceedings.
Why prepare a U.S. will if my Taiwan will may be recognized?
A U.S. will can provide clearer instructions for U.S. assets, use terminology familiar to the local court, designate an appropriate personal representative, and reduce disputes regarding foreign law and execution requirements.
Will a U.S. will avoid California probate?
No. A U.S. will governs the distribution of probate assets but does not itself remove those assets from probate.
Can I have both a Taiwan will and a U.S. will?
Yes, but they must be carefully coordinated. Inconsistent provisions or broad revocation language can create uncertainty regarding which document controls.
What if I own California property but only have a Taiwan will?
The Taiwan will may potentially be admitted in California, but the family may need translations and evidence establishing its authenticity and validity. The property may still require California probate before it can be transferred.
Planning for Assets in Both Taiwan and the United States
Relying exclusively on a Taiwan will for U.S. assets may appear convenient, but it can leave the family with additional legal and administrative burdens after death. The need to authenticate and translate the will, establish Taiwan law, obtain a California court appointment, and satisfy U.S. financial institutions can prolong probate and increase costs.
A coordinated Taiwan and U.S. estate plan can provide clearer instructions, reduce avoidable disputes, and give the family a more efficient path for administering assets in both jurisdictions.
Bridge Consulting assists individuals and families across Taiwan and the United States with California trusts, wills, probate administration, and cross-border estate and inheritance planning.