The Situation:
Paul and Susan are both in their 60s and married later in life. Each has children from previous marriages. They never reviewed their Wills after remarrying. They bought their property as joint tenants and did not take any legal advice at the time. Paul dies first and the survivorship and intestacy rules determine what happens to his estate, not Paul.
The jointly owned property passed entirely to Susan, along with the majority of Paul’s financial assets. Susan dies 2 months after Paul, and again the intestacy rules apply to her estate.
The Fallout:
- Due to the intestacy rules, only Susan’s children inherited from the property and assets that had passed to Susan from Paul’s estate.
- Paul’s children take legal action against Susan’s estate, which is a complicated and costly process, particularly as they are Susan’s stepchildren.
- This caused a bitter and costly legal dispute between the two sets of families who used to get along well. during a period of time where they were each grieving.
What Would Have Happened:
- Updated Wills could have reflected their blended family.
- A life interest trust would:
-Provide Susan with security – a right to remain living in the property and access to income for life.
-Protected the value of Paul’s interest in the property for his children after her death.
Why this matters:
Blended families need careful planning otherwise, children from a first marriage risk being disinherited.
At Hedges Law, we help families create wills and trusts that balance fairness and preserve harmony.
