Where a person resident in England and Wales dies and is survived by a spouse/civil partner, former spouse/civil partner, child, child of the family, or dependant, that person may apply to court for an order under The Inheritance (Provision for Family and Dependants) Act 1975 (‘the Act’) that the disposition of the deceased’s estate by their Will or the intestacy rules or a combination of the two, fails to make reasonable financial provision for the applicant.
‘Reasonable financial provision’ is the amount of financial support the court considers appropriate for the applicant, based on various factors to ensure they can maintain themselves following the deceased’s death. There is a higher standard for spouses/civil partners, considering the lifestyle during the relationship and what would have been received in divorce. For other applicants, the provision is maintenance, aiming to meet daily costs without being luxurious or causing poverty.
Where there is a valid Will, the deceased will have appointed personal representatives (‘PRs’) to administer their estate, and following receipt of a claim under the Act, it is crucial that the PRs remain neutral. Their role is to distribute the estate to whomever is legally entitled to it. It is not for the PRs to determine the merits of the case or distribute the estate according to that view. Doing so may expose the PRs to personal liability.
PRs must not allow their emotions to undermine their role in remaining neutral and acting in the best interests of the estate. Where PRs are being pressured by beneficiaries to distribute the estate, they should insist that any distributions can only be determined by agreement between the parties or by a court order.
Solicitors can play a vital role in minimising the difficulties that PRs face by providing legal expertise and advice to navigate the complexities of these claims, helping PRs comply with their duties under the Act.
If you wish to discuss this further, please do not hesitate to contact Courtney Magnus by email: chm@cooperburnett.com or tel: 01892 515022
This blog is not intended as legal advice that can be relied upon and CooperBurnett LLP does not accept any responsibility for the accuracy of its contents.
Originally published in the Tunbridge Wells Business Magazine: www.twbusinessmagazine.com
