If my boss were to die

pollyanna24

I know, very morbid title, but there you go.

I have worked for my boss (a solicitor who is a sole practitioner) for the last 12 years. All normal PAYE employee.

If he were to drop down dead tomorrow, would I get any redundancy money? Who would deal with what happens to his company?

Undervalued

Yes, you would be entitled to redundancy.

As a sole trader the practice is simply part of his estate. Whoever he leaves that to would have to pay any debts (including your redundancy) before inheriting the remainder.

In the unlikely event there wasn't sufficient money you would be able to claim the redundancy money from the government (subject to certain rules).

pollyanna24

Undervalued wrote: »

Yes, you would be entitled to redundancy.

As a sole trader the practice is simply part of his estate. Whoever he leaves that to would have to pay any debts (including your redundancy) before inheriting the remainder.

In the unlikely event there wasn't sufficient money you would be able to claim the redundancy money from the government (subject to certain rules).

How long would it take to receive any money?

I am a beneficiary on his will (as are a couple of other people, i.e. friends) to receive a lump sum. Does this make me liable for any debts if there are any?

I am merely enquiring, but I can see how this is not a nice subject!

Pennywise

He will have a practice continuity agreement with another firm of solicitors who will temporarily take over the practice to provide continuity of service to the clients. They'll almost certainly keep you on to help with the continuity. It's only short term until the executors prove the will and then decide what to do with the practice - they'd usually try to sell it as a going concern, which is usually a fairly quick process to maximise the selling price (quick enough so as not to lose any clients nor goodwill). The buyers will then either make you redundant or keep you on under TUPE. If he's a sole trader and it's not sold, your redundancy money will come out of his estate. If he's a limited company, and it's not sold, your redundancy will come out of the limited company funds. Either way, if there's no money, you can claim the statutory redundancy and unpaid wages from the Govt.

Pennywise

pollyanna24 wrote: »

How long would it take to receive any money?

I am a beneficiary on his will (as are a couple of other people, i.e. friends) to receive a lump sum. Does this make me liable for any debts if there are any?

I am merely enquiring, but I can see how this is not a nice subject!

Timescales vary, but probably not quick - more like several months - as you'll know if your firm deals with wills - they take time to sort out.

Debts are paid out of the estate, and then what's left is paid to the beneficiaries, so you're not liable, but if the estate is insolvent, you may not receive all or any of your lump sum.

Undervalued

pollyanna24 wrote: »

How long would it take to receive any money?

I am a beneficiary on his will (as are a couple of other people, i.e. friends) to receive a lump sum. Does this make me liable for any debts if there are any?

I am merely enquiring, but I can see how this is not a nice subject!

No, you can't inherit a debt but some things have to be paid before the remainder (if any) is used to pay the beneficiaries of the will. So it could in theory reduce your inheritance all the way down to zero if there are not enough assets.

yvonne13_2

pollyanna24 wrote: »

I know, very morbid title, but there you go.

I have worked for my boss (a solicitor who is a sole practitioner) for the last 12 years. All normal PAYE employee.

If he were to drop down dead tomorrow, would I get any redundancy money? Who would deal with what happens to his company?

Why would you be thinking about your boss dropping dead? Has he been ill recently?

Nick_C

yvonne13 wrote: »

Why would you be thinking about your boss dropping dead? Has he been ill recently?

Sounds like very sensible contingency planning to me.

yvonne13_2

Nick_C wrote: »

Sounds like very sensible contingency planning to me.

Then would it not be best if she asks her boss the question? Or maybe look back on her contract to see if the information's in there.

Anyway OP I hope you find the answer to your question to put your mind at ease.

xapprenticex

yvonne13 wrote: »

Why would you be thinking about your boss dropping dead? Has he been ill recently?

You don't have to have been ill recently to drop dead unfortunately.

yvonne13 wrote: »

Then would it not be best if she asks her boss the question? Or maybe look back on her contract to see if the information's in there.

Anyway OP I hope you find the answer to your question to put your mind at ease.

Its not really a question you want to ask your boss, but the OP wants to know what will happen IF it were to happen, boss isnt required for that.

Now the OP knows they will be covered, they can get back to business as usual

robatwork

I would be a bit careful with what you post here.

You may well be identifiable by your boss should he be here - we know the ages of your kids, your house value and pretty specific job details (how many of us are in our boss's will?), and he may not take kindly to your queries.