Parents often spend a lot of time trying to diffuse sibling rivalries when the children are young. However, those rivalries do not always go away. They often last into adulthood. When a parent passes away, these rivalries may come back up and cause some serious estate planning disputes.
Trusts are often used to hold financial assets. For instance, you may put cash aside so that an heir can use it to pay for college, or you may set up your life insurance policy to pay out into the trust when you pass away.