Article by Manny Wood published in the Coffs Coast News Of The Area on 15 December 2023.
Helen and her husband separate and they divide their assets amicably. Consent Orders are filed with the effect that Helen receives a substantial lump sum and her husband retains the matrimonial home.
Twelve months after separation, an Application for divorce is filed and granted.
In light of the divorce, Helen is aware that her ex-husband will not receive anything from her estate when she passes-away and she is happy that her two children will receive the whole of her estate “on intestacy”. She sees no reason to make a new will.
Two years later, Helen consults a solicitor in relation to the preparation of a “pre-nup”. She informs her solicitor that she has been cohabitating with her de facto partner for the past two years. She is worried that her new partner may make a claim on “her money” if they split-up.
Helen is advised that a “pre-nup” is a particular type of Binding Financial Agreement (BFA) which allows the parties to make arrangements between themselves in relation to the division of their assets if their relationship breaks-down. The agreement is only binding if each party obtains their own legal advice in relation to the terms of the agreement.
Helen is also advised, to her surprise, that due to her relationship with her partner exceeding two years, that without a will, most of Helen’s estate would be distributed to her new partner and that her two children would almost miss-out entirely.
Helen gives her solicitor instructions to prepare a new will, appointing her adult children as her executors and leaving each of them half of her estate. She also wishes to appoint them as her joint attorneys pursuant to an enduring power of attorney as well as her enduring guardians to make health related decisions on her behalf if necessary.
Helen puts all of these items on the agenda for discussion at the upcoming family Christmas Turkey lunch.
Email Manny Wood, Principal Solicitor and Accredited Specialist in Wills and Estates at TB Law at manny@tblaw.net.au or call him on (02) 66 487 487. This column is only accurate at today’s date and is not legal advice.
