An unfortunate consequence of the credit crunch has been that we are seeing increasing numbers of clients come to us for advice because families have fallen out about wills, estates and trusts.

 

This was, in fact, a type of work that was on the increase even before the downturn. A recent article in the Observer suggested that such claims had increased threefold since 2004, partly because increasing asset values in recent years have created more wealth for families to argue about. Ironically, even as asset values have fallen, the number of such disputes has continued to rise. When people feel hard pressed financially, it seems, they are increasingly willing to argue over money that might have seemed less important in more affluent times.

 

North Yorkshire was in the news in relation to such disputes in October last year when Dr Christine Gill challenged her mother's will. Dr Gill had expected to be left her parents' farm, Potto Carr Farm near Northallerton, and claimed to have devoted much time over the years to working on the farm in expectation of this, only to discover that her mother had left it to the RSPCA. At the time of writing, the outcome of that case is still awaited but it is similar to many earlier cases.

 

In the case of Moggs v. Commissioners of Inland Revenue (2005), the late Mr Moggs invited his niece to share his house when her marriage failed. The niece provided help and support for her uncle and it was argued that she did so in reliance on the 'promise' that she would receive a share in the house.

 

In another case, an elderly lady was helped with odd jobs by her gardener. Over a period of time as her health failed the gardener did more and more for her to the extent that by the time she died he was sharing her house and caring for her virtually full time. He succeeded in claiming a large share of the estate on the basis that he had only been willing to devote so much time to caring for her without being paid in the expectation that the house would be left to him.

 

The common thread in these cases is that court proceedings arose because someone's expectations of what they would receive from an estate did not match the reality.

 

The clear message is that while family matters can sometimes be awkward to discuss, it is essential that such things are properly recorded to ensure that all concerned have the same expectations if expensive problems are to be avoided later on.

 

It is wise to take advice from a suitably qualified solicitor on any important matters relating to your will, estate or other family issues, to discuss matters with those who might have an expectation of receiving something from you and where appropriate to set things down in writing through your solicitor. This advice is particularly important in difficult economic times such as the present, when financial pressures can add to the likelihood of family disputes that could deplete your estate still further.

 

For advice, contact Mark Jones, contentious probate and trusts partner at Barber Titleys