Fathers Trust

Firstclasslady

Hello, I am new here and I hope I am following correct protocols?
your assistance and advice will be much appreciated please.

My Mother and Father wrote their wills as tenants in common.
When my Father passed away, his 50% share was left in trust and this was to be held for the benefit of my Mother until her passing. The children would receive his trust following Mothers passing.

My Mother purchased a new home with agreement of trustees to a brand new property.

Do I calculate the trust value on the sale of the house when my Mother moved or of the total selling price of the house that is currently being sold?

Firstclasslady

The mother left her share to only one sibling. Therefore 75% to one child, 25% to other child from his father.

Dox

Depends on the exact wording of the will, so it's not possible to give a conclusive answer here. Maybe ask the trustees/executors?

SeniorSam

The 50% value of the property being sold, is in Trust and as such, that value remains part of the original Trust with the original allotted Trustees need then manage. That can be by way of a percentage of the new house, that the proceeds are being used for, being allocated to the Trust.

The mother, having left her share of the 50% she owns, to only one child, means that one child will eventually receive her property value plus half of the Trust property. This may not be what the Father may have wished. Does the Mother fully realise that this is the way her Will eventually will be settled? It may be that she is unsure, but best to clarify that she really wanted to exclude one of the children from her own assets.
Hope this helps
Sam

SeniorSam

Firstclasslady,
Just to clarify again, if your parents wanted their two children to benefit equally from their total assets, including the Trust, then your Mothers Will is not correct. Her Will as you say, leaves her assets to one child only and with the Trust value (half of the new home being purchased), being split equally between both children, there would be an overall 75% - 25% split of all assets.
Sam

Manxman_in_exile

SeniorSam wrote: »

Firstclasslady,
Just to clarify again, if your parents wanted their two children to benefit equally from their total assets, including the Trust, then your Mothers Will is not correct. Her Will as you say, leaves her assets to one child only and with the Trust value (half of the new home being purchased), being split equally between both children, there would be an overall 75% - 25% split of all assets.
Sam

Are you sure the will is not "correct"? The two parents may have intended something different at the time of making the original wills, but can't the mother change her mind?


Apologies if I've missed something obvious!

SeniorSam

Anyone can change their mind and make a new Will. I simply pointed out that it MAY not have been what was intended. Mistakes do happen, even with solicitors drawing up Wills. Best just to check. With Mother still alive, she should know what the wishes were. If two children were to inherit equally, then the present arrangement needs changing. If one child was to get 75% and the other 25%, then its right.
Sam

Manxman_in_exile

SeniorSam wrote: »

Anyone can change their mind and make a new Will. I simply pointed out that it MAY not have been what was intended. Mistakes do happen, even with solicitors drawing up Wills. Best just to check. With Mother still alive, she should know what the wishes were. If two children were to inherit equally, then the present arrangement needs changing. If one child was to get 75% and the other 25%, then its right.
Sam

Sorry for being a PITA but I must be misunderstanding you. As I read it, you seem to be suggesting that mother's new will "needs" to be changed if it doesn't reflect what she and her husband intended in their original wills. But this seems to contradict your opening sentence.


So long as the mother's new will reflects her current intentions (which may be different from the original intent) then there is no "need" for the new will to be changed. (Of course, I'm making the assumption there has been no undue influence and that mother has the capacity to make a will).


I'm just concerned that you may be giving the OP false hope by saying the will "needs" to be changed. Not so clear cut to me.


(PS - after my brother's first wife died and he remarried, he had no compunction about ignoring his and his first wife's original intentions and he effectively disinherited his son, daughter and grandchildren in his new will).

SeniorSam

Your second paragraph is correct. Sorry if what I said was difficult for you to understand.
Sam