Choosing a person to care for your children is difficult. In fact, for many families, it’s the hardest part of planning their estate.
It’s not easy to think of anyone else, no matter how loving, raising your child.
The problem only gets harder if your child has a disability.
Yet, you can make a tremendous difference in your child’s life by planning ahead.
With Australians living longer than ever, their physical health is often declining slower than their mental capacity, requiring close family members to assume the role of agents and substitute decision makers for financial and legal matters, generally by way of an enduring power of attorney.
It is not surprising if you have never heard of ‘ademption’. Ademption is a legal term derived from a Latin word meaning ‘a taking away’.
Ademption occurs when property (either personal or real estate) gifted under a Will is no longer in the Will-maker’s (Testator’s) estate when they die.
2022 has been a terrible year for losing heroes of my youth.
Cricketers Rod Marsh and Shane Warne, were followed by singers Judith Durham and Olivia Newton-John.
Now John Farnham has just undergone surgery for throat cancer.
This brought up some recollections about the time when I was young:
You only have to look at the newsfeeds and internet chat forums to see that people are talking about the increasing numbers of challenges to Wills and deceased estates nowadays.
Here are the seven main reasons why:
No Will
Recent research reveals 52 per cent of adult Australians don’t have a Will.
The majority of Australians are letting their families down in one key area — more than half of Australian adults don’t have a Will, even though it could mean their families are left out in the cold in the event of their death.
In my profession we have an expression: “You never know anyone until you share an inheritance with them”.
It is a true revealer of character. In my work as a lawyer specialising in Wills and estates, I am witness to some appalling human behaviour.
Due to the popularity of this series of articles, here are some more examples as cautionary tales:
An old man lies dying in a hospital bed. His Will was made less than a year earlier, leaving everything equally between his 3 kids.
In my work as a lawyer specialising in Wills and estates, I am witness to some appalling human behaviour.
Due to the popularity of this series of articles, here are some more examples as cautionary tales:
In my 35+ year career I have frequently had to try to deal with joint executors in a deceased estate, some of whom could not agree on the colour of an orange.
In my work as a lawyer specialising in Wills and estates, I am witness to some appalling human behaviour.
Due to the popularity of this series of articles, here are some more examples as cautionary tales:
Probate fraud can take many forms and, like many other types of fraud, it has steadily increased in recent years, more so during the COVID-19 pandemic.
Coercive Control, Granny Napping and Predatory Marriages are all occurring with increasing frequency.
There have been 2 Royal Commissions already exploring some of these issues, with more to come. The common theme is the financial exploitation of vulnerable older people in western society.
Financial exploitation disproportionately affects older people in Australia, UK and USA.
More parents are helping their children financially to get ahead.
So what are some of the considerations when gifting or lending money to ensure everyone’s interests are protected?
The ‘Bank of Mum and Dad’ now helps the majority of first home buyers get onto the property ladder.
It’s an act of generosity that can come at a price if it’s not done in the right way.
As a specialist law firm helping multiple generations of Austrlain families protect themselves, their families and their asset, Genders and Partners has taken warning of the potential risks of parents assisting their children with entering the housing market, particularly if the children separate from their spouse.
BOMAD loan arrangements and financial agreements are increasing as the Millennial cohort borrow funds from their parents amid rising property prices.