Top Legal Myths in Utah That Could Cost You Money
Disclaimer: This blog is for legal informational purposes only. Nothing within this blog should be considered legal advice. Engaging with this article and this website does not create an attorney-client relationship between you and Walker Law Firm of Cache Valley. We are not your attorneys. Consult with a lawyer if you are in need of legal assistance.
The law can feel like a maze. In Utah, many people rely on word-of-mouth advice from friends, family, or internet searches. Unfortunately, this can lead to costly mistakes. Believing a legal myth could mean losing money, property, or even important rights. Let’s break down some of the most common legal myths in Utah and set the record straight.
Myth 1: “If I Don’t Have a Will, the State Gets All My Property”
Many Utahns believe that if they die without a will, the state automatically takes everything. This is false. Utah has “intestate succession” laws that decide who inherits your property if you die without a will. Usually, this means your spouse, children, or other relatives will receive your estate. But here’s the problem: the state decides the order, not you. If you wanted a close friend, a charity, or a specific child to inherit something, that won’t happen without a valid will or estate plan. Failing to plan can cause confusion, fights, and even lawsuits among family members.
Myth 2: “A Handshake Agreement Is Just as Good as a Written Contract”
In Utah, some agreements can be valid even without writing. But relying on a handshake is risky. If a deal falls apart, it can be almost impossible to prove the terms of your agreement without a signed contract. Certain contracts—like real estate sales, agreements lasting more than a year, or promises to pay someone else’s debt—must be in writing under Utah’s “Statute of Frauds.” Skipping the paperwork could leave you with no way to enforce your deal.
Myth 3: “Trusts Are Only for the Rich”
This myth costs Utah families peace of mind and money. Trusts are not only for millionaires. A trust can help protect assets, avoid probate, and provide clear instructions for your loved ones. Without a trust, your estate may go through probate court, which can take months or years and cost thousands of dollars. Everyday families often benefit the most from trusts, since they help avoid unnecessary costs and delays.
Myth 4: “If I’m Hurt in a Car Accident, Insurance Will Cover Everything”
Insurance companies are not in the business of giving away money. In Utah, which is a “no-fault” state, your own insurance pays certain medical costs regardless of who caused the accident. But if your injuries are serious, you may still need to make a claim against the other driver. Even then, insurance companies often try to minimize payouts. Believing the myth that insurance will “take care of it” can leave you stuck with medical bills, lost wages, and long-term financial hardship.
Myth 5: “I Can Avoid Probate by Just Putting My Kids’ Names on My House”
Adding children to your property deed may seem like a simple way to avoid probate, but it creates big risks. Once their names are on the deed, the house legally belongs to them too. This means if they get divorced, go into debt, or face a lawsuit, your home could be at risk. A better approach is often a living trust or a transfer-on-death deed, which can achieve the same goal without the dangers.
Myth 6: “I Don’t Need an Estate Plan Because My Spouse Will Get Everything”
Many married couples believe their spouse will automatically inherit everything. In Utah, that’s not always true. If you have children from a previous relationship, your spouse may have to share with them. This can lead to family conflict and unintended results. An estate plan ensures your wishes—not the state’s default rules—decide who inherits your property.
Myth 7: “I Can Just Use a Template Contract from the Internet”
Online forms can be tempting, but they often leave out critical Utah-specific details. A generic contract may not follow Utah law or may fail to address issues unique to your situation. For example, real estate contracts in Utah have strict requirements. A poorly written or incomplete contract can open the door to expensive disputes.
Myth 8: “Court Battles Are Always the Answer”
People sometimes assume that fighting in court is the best way to settle a dispute. In reality, litigation is expensive, stressful, and time-consuming. Utah courts often encourage mediation or arbitration, which can save money and reach faster solutions. Rushing into court without considering alternatives can drain your finances and damage relationships.
Why Believing Legal Myths Is Dangerous
Legal myths spread because they sound simple and easy. But the truth is often more complicated. Whether it’s estate planning, personal injury claims, or business contracts, taking shortcuts usually costs more in the long run. Clearing up these myths now can save you and your family from financial and emotional headaches later.
How Walker Law Firm of Cache Valley Can Help
At Walker Law Firm of Cache Valley, we know that legal problems don’t come with easy answers. Attorney Matthew A. Walker has years of experience guiding Utah clients through estate planning, personal injury claims, business law, real estate contracts, guardianships, conservatorships, adoptions, and appeals. We focus on clear communication, tailored legal strategies, and protecting your future.
Don’t let legal myths put your finances, your family, or your property at risk. Whether you need help writing a will, forming a business, reviewing a contract, or recovering after an accident, we are here to help. Our firm provides the peace of mind that comes with knowing you have a trusted advocate on your side.
Call Walker Law Firm of Cache Valley today to schedule a consultation and get real answers—not myths—to your legal questions.