Inheritance - Will Interpretation

Shivprobate

Registered User
Messages
2
Hi All

Hoping to get some legal advice regarding the execution of a will, text is as follows:

" I [John + standard will wording around being of sound mind etc] hereby nominate, constitute and appoint my lawful son [Paul] to be the executor of this, my last will. I direct my said executor to pay all of my just debts, funeral and testamentary expenses as a first charge out of my estate. In that case also, I will divise and bequeath my dwelling house and all the realty which I own at [location ROI] unto my aforesaid lawful son, and same to be his property absolutely, but charged however with the payment of [200k] unto my estate and same is to be divided equally among [9 people] and same to be divided between them in equal shares and to share and share alike same as tenants in common and not as joint tenants and same to be their property absolutely. As the rest residue and remainder of my estate as whatsoever kind and wheresover situate, seized possessed of or entitled to, I will divise or bequeath equally amongst same persons [9people as above] and same to be divided between them in equal shares and to share and share alike same as tenants in common."

What does this mean? The interpretation is that Paul gets the property and has to pay circa 22k to each of the 9 named people; or could it be (with the tenants in common etc) that we all have a share in the house?

Also the situation has now devolved to the point where Paul (who owns 2 properties, has retired early, is based in a low tax country to avoid paying tax on earnings, and is in the process of buying a house there), is claiming to not have enough money to pay me the 22k which the will states he must. He has not paid anyone else and everyone is too afraid to ask for their share as he is saying he will have to sell the family home in order to pay even one portion of the 22k.

So my first question is (i) is the will saying that Paul absolutely owns the property and must give everyone 22k, or does everyone own the property?

(ii) if paul owns the property, i suppose he is within his rights to threaten to sell same as he 'cannot afford' to pay out 22k? (to avoid dipping into his own pockets)?

(iii) as paul is based somewhere to avoid paying tax, does anyone think that selling the house is an empty threat, because selling the property will cause him to incur even more tax on his assets via capital gains tax?

The house in the will is definitely worth 0.5-1m as it was built in the 1800's, is relatively well maintained and has 7 bedrooms and by the sea with an orchard. Paul's two other properties in a high tax country must be worth .75m put together. The low-tax country property is about 300k. I understand that he may be cash poor, asset rich right now.

My ideal situation is that everyone in the family (the 9 named people and John) have an equal share in the property, as it makes paying for the upkeep of same less painful and means we're not pouring money into something which we don't own but want to keep in repair from the emotional attachment.
 
I presume you're going to get proper legal advice from a lawyer and not some randomer on the Internet. I am definitely not a lawyer. However, the text seems pretty clear.

John's estate, after debts and expenses are paid, is divided into two parts -- the house, and everything else (e.g. bank accounts etc.). The "everything else" part is to be divided nine ways. Paul alone inherits the house. In addition, as a condition of inheriting the house, Paul must contribute €200k to the "everything else" part, to be divided among the nine people.

That means Paul owns the house, to do whatever he wants with. So no, selling the house is not an empty threat. Paul owns it. It is completely immaterial whether he does or doesn't have the €200k in cash. Nobody else owns any share in the house or has any say in what happens to it.
 
I agree with dub_ned - Paul has the house but he must pay the 9 people named their share. Was there no cash assets in the estate. Either way it doesn't matter the 9 people are entitled to their share and he call sell the house or come up with the €200k from another source.
 
It is not his property until he pays out the €200k

He may sell the property and discharge the €200k from sale proceeds.

His current abode, his means etc are not pertinent.

CGT hardly applies until he has the property in his ownership alone.

Press him and he will sell, until this is resolved the house is still in the estate and can be used by any of you, upkeep can be apportioned to allow for you having much smaller shares than John.

Try and negotiate, Solicitors by their nature deal in conflict and in this case that is best avoided.
 
Back
Top