In Terrorem Clause Legal Meaning and Definition

Here is a simplified definition of the legal term In Terrorem Clause.

In Terrorem Clause (noun):

An 'In Terrorem Clause', also known as a 'no-contest clause', is a provision in a will that aims to discourage beneficiaries from challenging the validity of the will in court. If a beneficiary does decide to dispute the will and ends up losing the case, this clause stipulates that the person loses any inheritance they were supposed to receive outlined in the will. This clause is typically included by the person writing the will to prevent potential legal disputes over the estate after their death.