Latest news with #AlisonParry
Yahoo
17-05-2025
- Business
- Yahoo
Inheritance feuds to rise as warring relatives in line for more rights
Second spouses, divorced partners and stepchildren should be able to challenge binding wills for more money, a landmark report has said. In England and Wales, a person's possessions are left to whomever they choose. However, if a potential heir can prove they were financially dependent on the deceased – even if they were cut out of the will – they can go to court to challenge it, under the Inheritance Act 1975. And a new report by the Law Commission on Friday recommends these dependents are given even greater rights to estates. The guidance states that where a person has a mutual will – where two people make a will that binds both of them when the first dies – potential heirs should be able to make a claim on the property included. Currently, family homes subject to a mutual will are excluded from estates when challenges are considered. The changes have been put forward to the Government who will now consider whether to update the law. If approved, lawyers said it could lead to larger settlements and more claims because it will increase the size of estates being considered. More than 10,000 wills were challenged in 2023, up 43pc since 2019, according to figures from the Ministry of Justice. Alison Parry, of law firm JMW, said that mutual wills can produce 'quite unfair results', especially where a survivor remarries. She told The Telegraph: 'Say one of them dies in their late 40s, and the survivor goes on to have another marriage, potentially more children … Then those extra people in the survivor's life might have a very good claim under the inheritance act. 'They wouldn't be able to get that because the property is tied up in the mutual wills agreement.' Tamasin Perkins, Partner at Charles Russell Speechlys, said: 'For too long, treating mutual wills as unavailable on a 1975 Act claim has created a loophole that has allowed some estates to side step those protections. 'We've seen first-hand how this can lead to unfair outcomes, often for children, stepchildren and financial dependants.' Samara Dutton, partner at Collyer Bristow, said: 'Mutual wills remain relatively uncommon, so the practical impact of this reform will be limited in scope but significant in effect for those it touches.' The Law Commission began looking into wills in 2016, before pausing the research in 2019 to focus on marriages, at the Government's request. It published the results of two public consultations and draft legislation on Friday. The report found that current laws are not doing enough to protect the elderly and vulnerable from financial abuse, amid a rise in so-called 'predatory marriages'. The commission also recommended that electronic wills be considered valid, that marriage should no longer invalidate a will, and that those aged over 16 should be given the right to make a will, rather than just those over 18. It also said that more informal wills should be recognised by courts, and proposed changes to rules about when disabled or mentally incapacitated people can make decisions for themselves. Amanda Collins, of law firm Moore Barlow, said: 'In practice, I've seen a sharp increase in probate disputes, particularly around the validity of a will. 'Disputes can lead to confusion, mistrust and lasting divisions between relatives. This trend points to the inadequacy of the current legal framework and the need for reform to protect families and give them the clarity and protections needed.' Hayley Robinson, of law firm Stevens & Bolton, said: 'We would flag the risk of a large increase in potential litigation. 'More flexibility around testamentary affairs can only be a good thing, but where any recommendation includes giving the Court a jurisdiction to approve formally invalid wills in 'exceptional' circumstances, it must be assumed that litigation will follow around what 'exceptional' really means.' The Ministry of Justice said it 'welcomed' the report and will give it 'detailed consideration.' Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.
Telegraph
17-05-2025
- Business
- Telegraph
Inheritance fueds to rise as warring relatives in line for more rights
Second spouses, divorced partners and stepchildren should be able to challenge binding wills for more money, a landmark report has said. In England and Wales, a person's possessions are left to whomever they choose. However, if a potential heir can prove they were financially dependent on the deceased – even if they were cut out of the will – they can go to court to challenge it, under the Inheritance Act 1975. And a new report by the Law Commission on Friday recommends these dependents are given even greater rights to estates. The guidance states that where a person has a mutual will – where two people make a will that binds both of them when the first dies – potential heirs should be able to make a claim on the property included. Currently, family homes subject to a mutual will are excluded from estates when challenges are considered. The changes have been put forward to the Government who will now consider whether to update the law. If approved, lawyers said it could lead to larger settlements and more claims because it will increase the size of estates being considered. More than 10,000 wills were challenged in 2023, up 43pc since 2019, according to figures from the Ministry of Justice. Alison Parry, of law firm JMW, said that mutual wills can produce 'quite unfair results', especially where a survivor remarries. She told The Telegraph: 'Say one of them dies in their late 40s, and the survivor goes on to have another marriage, potentially more children … Then those extra people in the survivor's life might have a very good claim under the inheritance act. 'They wouldn't be able to get that because the property is tied up in the mutual wills agreement.' Tamasin Perkins, Partner at Charles Russell Speechlys, said: 'For too long, treating mutual wills as unavailable on a 1975 Act claim has created a loophole that has allowed some estates to side step those protections. 'We've seen first-hand how this can lead to unfair outcomes, often for children, stepchildren and financial dependants.' Samara Dutton, partner at Collyer Bristow, said: 'Mutual wills remain relatively uncommon, so the practical impact of this reform will be limited in scope but significant in effect for those it touches.' The Law Commission began looking into wills in 2016, before pausing the research in 2019 to focus on marriages, at the Government's request. It published the results of two public consultations and draft legislation on Friday. The report found that current laws are not doing enough to protect the elderly and vulnerable from financial abuse, amid a rise in so-called 'predatory marriages'. The commission also recommended that electronic wills be considered valid, that marriage should no longer invalidate a will, and that those aged over 16 should be given the right to make a will, rather than just those over 18. It also said that more informal wills should be recognised by courts, and proposed changes to rules about when disabled or mentally incapacitated people can make decisions for themselves. Amanda Collins, of law firm Moore Barlow, said: 'In practice, I've seen a sharp increase in probate disputes, particularly around the validity of a will. 'Disputes can lead to confusion, mistrust and lasting divisions between relatives. This trend points to the inadequacy of the current legal framework and the need for reform to protect families and give them the clarity and protections needed.' Hayley Robinson, of law firm Stevens & Bolton, said: 'We would flag the risk of a large increase in potential litigation. 'More flexibility around testamentary affairs can only be a good thing, but where any recommendation includes giving the Court a jurisdiction to approve formally invalid wills in 'exceptional' circumstances, it must be assumed that litigation will follow around what 'exceptional' really means.' The Ministry of Justice said it 'welcomed' the report and will give it 'detailed consideration.'
