Unit 24 Wills and Inheritance

Learning outcomes of the Unit 24 Students will be able to: explain the legal basis of inheritance describe different provisions for moveable and immovable property describe the distribution of property among closest family members (spouses and children) name preconditions and some recommendations for making a will explain and translate key terms related to the topic give examples of property based on the text in the book explain the provision of the Croatian Inheritance Law for making a will

The legal basis of inheritance A) Law of intestacy / Inheritance law - a person (an intestate) dies without having made a will B) Will made by a testator who leaves his/her property to any chosen beneficiaries HOWEVER, the law provides a framework everyone must adhere to when leaving property and possessions to others in a will.

Inheritance law Inheritance = the passing of wealth from one generation to another  predominately between family members and close friends The transfer of wealth is controlled by: - statute law and - tax law. 

Different inheritance laws in the UK for... A) the inheritance of MOVEABLE PROPERTY governed by the law of the deceased’s domicile (a state where a person resides on a permanent basis) at the time of his/her death the inheritance of IMMOVABLE PROPERTY governed by lex situs (the law applicable at the location of the property) → Thus, for UK property rights, UK law applies even though the deceased may have a foreign domicile.

When the deceased is survived by a spouse and children of the marriage... The surviving SPOUSE receives the first £125,000 of the estate and a right to income for life for one half of the remaining estate The CHILDREN receive the other one half share of the remaining estate If there are no children the surviving spouse receives the first £200,000 of the estate plus the income of one half of the remainder - other relatives receive the other one half of the remainder. If there is no surviving spouse the children receive the whole estate in equal shares.

When the deceased is survived by a spouse and children of the marriage... If there is no surviving spouse the children receive the whole estate in equal shares. A trustee must be appointed to protect the property interests of minors until they attain the age of 18

Making a will... – part I A will of a person domiciled in the UK is valid if... the testator has testamentary capacity (is not under the age of 18) is of sound mind to understand the terms of the will has a genuine intention to have his/her estate devolve in accordance with the will

Making a will… - part II make a will to leave immovable and movable property located in UK to any chosen beneficiaries there is no forced heirship or reserved portion HOWEVER, if a testator domiciled in the United Kingdom dies, dependents who are not adequately provided for under the terms of the will, the dependents may apply to the court to claim reasonable provision for maintenance from the estate. (in the form of income payments for life, or a lump sum payable from the estate).

How to execute a will? Chose 2 witnesses. These witness should be of the legal age. The witnesses should be younger than you. This is helpful in case they are needed later. Using friends and neighbors is most common. DO NOT use anyone mentioned in your will. (Your: Executor, Guardian, spouse, children or Beneficiaries, etc.) Ask them to witness your will. You do not need to tell them the contents of your will. They are only witnessing your signing of your will. Witnessing your will must be done all at one time. No one should leave the table until all have signed in the places provided. Most wills are more than one page. This being the case, it will be necessary to staple your will in the upper right and left corners. DO NOT remove the staples.

Execution of a will – PART 2 Having the witnesses watch you, you will sign first. The witnesses will then sign after you. You also have the option to sign or initial each page. This is acceptable but make sure to do each page. Included in the printing of your will is an Affidavit. It is not required for the execution of your will but does add to the validity. When it comes time to have it notarized, notaries can be found at most banks and post offices. Store your will in a safe place. Most people keep it with their important papers. If you have an Attorney, place a copy with them. Other places are: safe deposit boxes, safes, fire proof-lock boxes…

The final stage... Formalities related to the drafting and execution of the will should comply with the requirements of UK law the law of the testator’s domicile If so the will is admitted to probate and becomes an official document giving full recognition to a will of a deceased person.

Marriage does not result in common ownership of property no automatic common ownership of UK land or property between the parties to the marriage the joint ownership - two types: 1. a “joint tenancy” → the survivor automatically inherits the one half share of the other, 2. “tenancy in common” → no automatic survivorship on the death of one party → instead each share in the property passes under the terms of the will of the deceased or in accordance with the rules of intestacy

Match each legal term with its definition. LEGACY The official right to prove and the fact of proving that a will has been written and signed in accordance with the law. WILL A lawyer who prepares legal documents, but cannot represent in court. SOLICITOR Property which can be turned into cash. DECEASED A legal declaration of a person's wishes as to the disposition of his or her property or estate after death, usually written and signed by the testator and attested by witnesses. BENEFICIARY Dead, late RESIDUE One to whom a legacy is given. PROBATE One who gets a benefit; one who is left something in a will. ASSETS The remainder, what is left eg. of a person’s estate after all claims and debts have been paid. LEGATEE A gift of personal property by will; inheritance

Read the text in the book, p. 114 and explain... Who are the people mentioned in the letter? Mr. Philip Scott Yorke Mr. Paul Yorke-Parker A. R.Browne and J. G. Jones Mr. N. A. Y. Yorke-Modge R. C. Roberts & Russel

Complete the following overview... The estate of the deceased P. S. Yorke consists of: 1._______________________________ 2._______________________________ 3._______________________________ 4._______________________________ 5._______________________________ 6._______________________________

Translate into English. Zakon o nasljeđivanju Nasljeđivanje na temelju oporuke Članak 26 Oporuku može napraviti svaka osoba sposobna za rasuđivanje koja je navršila 16 godina života. Članak 30 Oporuka je valjana ako ju je oporučitelj vlastoručno napisao i ako ju je potpisao. Članak 31 (2) Oporučitelj koji zna i može čitati i pisati može sastaviti oporuku tako što će za ispravu, bez obzira tko ju je sastavio, izjaviti pred dva istodobno nazočna svjedoka da je to njegova oporuka te je pred njima potpisati.