The Daily Telegraph - Saturday - Money
‘Lawyers try to discourage clients from including mean-spirited or unusual stipulations in wills’
also see clauses where grown-up children can only inherit if they reach certain life goals such as a university degree, a professional job or are “in a relationship”. But these can be trickier to navigate.
James Antoniou, head of estate planning at Co- op Legal Services, said: “Who is to define what constitutes a relationship? And, with living together, what if the intended beneficiary and their partner only stay over at each other’s homes three nights each week, does this count?”
Lawyers try to discourage clients from including some of the more meanspirited or unusual stipulations in wills. Elisabeth Squires, head of private cli
HOW ELSE CAN YOU CONTROL THE USE OF YOUR ESTATE?
It’s possible to leave assets to someone on the condition they do something within their control, such as reaching a certain age or looking after your pet.
Even adopting a particular surname or coat of arms before receiving the gift can be enforced by the courts, according to Elizabeth Sainsbury, partner in the contentious trusts and estates team at law firm Farrer & Co.
However, what won’t stand up are unfair or onerous conditions. So demands that are impossible to perform, unclear, against public interest or damaging to the beneficiary, may be voided by the courts.
For example, a condition preventing a child from living with their father was considered against the public interest and was unenforceable.
But there isn’t a hard and fast rule. Ms Sainsbury said: “Much will depend on the specific phrasing. Unfortunately for the beneficiary, if the condition is considered ‘ void’, then the gift will likely fail, so it is important to seek professional advice on the drafting of conditional gifts in wills.”
A key way you can control the use of your estate is with a trust, a legal arrangement involving leaving cash, property or investments to trustees to look after on behalf of someone else. This could include money to pay for school fees, university or for the general benefit of the beneficiary.
You can help guide trustees’ decisions by also writing a letter of wishes, including any circumstances for loved ones to inherit.
While this isn’t legally binding, Mr Antoniou said: “It allows for greater flexibility after death if the circumstances of a beneficiary are very different than the will maker might have envisaged when they made their will.”
It’s also a good idea to discuss any conditional provisions with relevant loved ones to help them minimise the risk of any disputes after your death. Amelia Murray