Advice regarding Succession: Scottish Prior and Legal rights

Trout69

I was hoping someone may have some experience with the Scottish Law below.

https://www.gov.uk/hmrc-internal-manuals/inheritance-tax-manual/ihtm12226

We have received a letter requesting a Bond of Caution in relation to a 50% share of a house left in the will of someone who passed away in 1999. Could this claim still be valid even though it was more than 20 Years ago? I've included the text from the government website below.

IHTM12226 - Succession: Scottish Prior and Legal rights: Legal rights: Time limit for claim

Legal rights (IHTM12221) must be claimed within 20 years of the date on which they first became enforceable. If they are not claimed within this period they are lost completely. (They ‘prescribe’ under the Scottish 20 year negative prescription period.) This also means that, under the general law, the potential claimant has 20 years in which to decide whether to claim or discharge (IHTM12229) their legal rights. Normally the starting date will be the date of the death that gave rise to these rights. But, in the case of potential claimants under the age of 16 at that date, it seems that the 20 year period will run from the date on which these claimants attain age 16, Age of Legal Capacity (Scotland) Act 1991. Although there may be some doubt about this point.

I'm also trying to see if the title deed can be updated following this 20 year expiration. Any feedback and experience would be most appreciated.

Thank you in advance.

buddy9

Could you give a bit more information.

Who owned the house? Who inherited the house in 1999? 
Is the letter in respect of someone who now claims they should have inherited? If so what is their relationship and what is the suggested rationale?

It is strange to request a Bond of Caution - is this what the letter actually says?

Trout69

Edit: My Grandads Aunty not sister who left her half to her Nephew

Yes of course. The house was purchased in 1992 by my Grandad from Lanarkshire council, He had a loan for £9600 in his name. His Aunty and Mother were residing there. The title deed has both my Grandad and his sister on it.

His Aunty passed away in 1999, leaving her share of the house to a family member (Nephew). The family member has since passed away also. We only learned of this on my Grandads passing during covid when we were looking at his estate.

We've recently received a letter from the solicitor from the wife of the deceased Nephew requesting a Bond of Caution so that when the property is sold they can receive their share of the sale cost.

It seems that the claim period is 20 years : https://www.gov.uk/hmrc-internal-manuals/inheritance-tax-manual/ihtm12226

Trout69

buddy9 said:

Could you give a bit more information.

Who owned the house? Who inherited the house in 1999? 
Is the letter in respect of someone who now claims they should have inherited? If so what is their relationship and what is the suggested rationale?

It is strange to request a Bond of Caution - is this what the letter actually says?

I've attached a redacted version of the letter we received. 

Keep_pedalling

It seems clear that your GF only owned half the house, the other being the beneficiary of his late sister. As this person has died then their share formed part of her estate so now belongs to the beneficiaries of that estate. I am pretty sure this is not a legal rights claim the house was willed to someone it is not someone who was excluded from a will trying to make a claim.

You should take legal advice on how to handle this.

theoretica

The thing you attach about legal rights seems irrelevant - legal rights are not when something is left in a will, but is a child or spouse has not been included in the will and wishes to claim.

According to the title deeds, it seems Grandad only ever owned half the property. 

Trout69

Keep_pedalling said:

It seems clear that your GF only owned half the house, the other being the beneficiary of his late sister. As this person has died then their share formed part of her estate so now belongs to the beneficiaries of that estate. I am pretty sure this is not a legal rights claim the house was willed to someone it is not someone who was excluded from a will trying to make a claim.

You should take legal advice on how to handle this.

However, there has not been a claim made by the beneficiary for over 20 years which is why I'm questioning it.

Sarahspangles

Is there a reason that your GF's sister's Will wasn't executed when she passed away?  Surely they don't 'time out'?

justwhat

Trout69 said:

His Sister passed away in 1999, leaving her share of the house to a family member. The family member has since passed away also. We only learned of this on my Grandads passing during covid when we were looking at his estate.

We've recently received a letter from the solicitor from the wife of the deceased beneficiary requesting a Bond of Caution so that when the property is sold they can receive their share of the sale cost.

It seems that the claim period is 20 years : https://www.gov.uk/hmrc-internal-manuals/inheritance-tax-manual/ihtm12226

Was the sisters will executed in favour of the "family member" ? (but the deed  not changed for the house)

Also is  the "Family members" wife claiming part of the estate?

Sarahspangles

So the "Family members" wife is claiming part of the estate?

The way that I read this is that the GF's sister's beneficiary's wife is claiming against the GF's sister's beneficiary's estate.

GF must have lived to a grand old age for things to become this complicated!

Keep_pedalling

Trout69 said:

Keep_pedalling said:

It seems clear that your GF only owned half the house, the other being the beneficiary of his late sister. As this person has died then their share formed part of her estate so now belongs to the beneficiaries of that estate. I am pretty sure this is not a legal rights claim the house was willed to someone it is not someone who was excluded from a will trying to make a claim.

You should take legal advice on how to handle this.

However, there has not been a claim made by the beneficiary for over 20 years which is why I'm questioning it.

No claim is required, ownership passed with the sisters will, your GF never owned the house outright so his late sister’s share does not form part of his estate. The beneficiary may have been happy just to let GF carry on living there but obviously they had kept records and now that GF has died they are making sure that his sister’s bequest is going to the rightful owner.