Complicated property inheretance question

AdrianC

Quite simply, while she's alive and capable, she can do whatever the hell she wants with her property...

As and when she passes away, THEN you start your role of distributing whatever she's left.

If your question is whether you should advise her to do anything or not do anything, while she's still with you, then that is completely separate.

p00hsticks

G_M wrote: »

Bequeathing land has other disadvantages too. What if there is insufficient loose cash to pay the Inhertance Tax? And the land has to be sold?

Far simpler to either make fixed cash bequests (safely within the Estate's abilities to pay) or divide 'the residue' of the estate amongst named peope, in whatever % is wanted.

Did she get proper advice when drawing up the will?

I'm not an epert, but if the land is in England, I think there may also be a further complication in that possibly a maximum of four people can be named on the land registry, so more than four owners would require some sort of trust to be set up ?

da_rule

Leaving the land to 8 people sounds like a bit of a nightmare (as it will create trusts etc). Your mums Will would be much better off insisting the land is sold and the cash is distributed in even shares. Saves a lot of future arguments. Also, it would mean that you could, as executor, commence eviction proceedings if he refused to leave. This would be harder potentially if he was going to own the land (or a share of it).

The main thing you need to exclude is the grandson claiming a life interest in the land. That is to say that he has permission to stay there for as long as he likes (potentially the rest of his life). This does not change the situation in terms of inheritance that much as the property would still be vested with the 8 beneficiaries but couldn't be disposed of until the grandson moved out or died. Even if you can just get a document signed that says that it is not intended to create a life interest that would be a start.

The fact that there are two separate deeds is good as at least the other property can be disposed of.

As has been said, if you can convince your mum to not leave her property (the 2 parcels of land) to 8 people but instead ask for it to be sold and the proceeds distributed this would probably work out better. It would also probably be easier for you to administer.

If she won't talk about it or change her Will then there isn't a great deal you can do, other than refuse to be executor. At the end of the day she sounds as if she is aware of what she's doing (she just doesn't want to talk about it) and it's her property so she can do as she likes. She could give him the land as a present and there would be nothing that you could do about it. I understand that you feel like you have a duty to protect the inheritances of the beneficiaries but while she's alive and mentally sound, your mum can do as she pleases with her property. If she wanted to sell all her worldly assets and spend it all on a no expense spared round the world cruise she could.

Something that does spring to mind is why do you think he would cause problems?

Is there a risk? Yes, if a life interest is created and the grandson refuses to move out.
Can this be mitigated? Yes, with an agreement or contract.

da_rule

p00hsticks wrote: »

I'm not an epert, but if the land is in England, I think there may also be a further complication in that possibly a maximum of four people can be named on the land registry, so more than four owners would require some sort of trust to be set up ?

That is correct. Only 4 proprietors can be registered. If there are more than 4 people with a proprietary interest in the land the 4 registered proprietors would hold the land on trust for the additional proprietors. There would be Form A restrictions on the title to reflect this (hopefully).

Other trusts could arise if any of the grandchildren are under 18. As such there would need to be two trustees appointed. One of whom would probably be the OP unless trustees are specifically named in the Will.

Things could also get more complicated if any of the grandchildren die before the OP's mum and they have children themselves (so great-grandchildren) as you then have per stirpes inheritance issues as well (assuming this hasn't been excluded by the Will).

AdrianC

da_rule wrote: »

The main thing you need to exclude is the grandson claiming a life interest in the land.

Umm, hold on a mo. What if that's what she actually wants to do? It's her flippin' land, after all...

She could also just simply gift it to him.

da_rule

AdrianC wrote: »

Umm, hold on a mo. What if that's what she actually wants to do? It's her flippin' land, after all...

She could also just simply gift it to him.

Which I said later in the same post. My point was that if it was the OP's intention to get advice on how to stop the grandson making a claim on the land that was a way to go about it. Obviously if the OP's mum wants to create a life interest or, as you (and I) have already said, just give him the land then that is her perogative and she is free to do so.