“If you leave a child’s share of an inheritance outright (i.e., no trust) and the child is divorced or sued after you pass, that entire inheritance might be lost. Many inheritances have been wiped out by IRS liens, malpractice claims and other risks that all could have been avoided with a simple trust… Using those magical words in a precise manner that the law requires can let the child inherit money in a trust and be the sole trustee but have those assets outside his or her estate and out of the reach of his or her creditors. That is a smart move. Use trusts.” Hedge Life Law
Here is a link to a great article on estate planning from Martin Shenkman, a contributor to Forbes Magazine
