Sideways disinheritance refers to a situation where one side of a family is entirely excluded from what would have been their inheritance, either intentionally or unintentionally. This often occurs when an individual passes away, leaving their estate to their spouse, who subsequently remarries or alters the terms of their Will to benefit a new partner. Consequently, the inheritance intended for the deceased spouse's children is redirected sideways into a new family rather than progressing down the generational line.
Consider a scenario involving Bob. He marries a lady called Beth and they have two children Bella and Toby. Unfortunately, Bob and Beth’s marriage falls apart whilst their children are still small. Bob leaves the family home but still retains a close relationship with his two children. Bob buys his own property from the proceeds of the divorce settlement and his children often stay here when they come to visit. A few years later, Bob meets Alice and they decide to get married. Alice moves into the Bob’s house with her two children, Thomas and Henry and after their wedding, Alice and Bob make Wills leaving their estates to each other on first death and then onto their four children equally after they have both passed away. Alice and Bob enjoy a happy marriage and maintain close relationships with all their children. Unfortunately, Bob dies unexpectedly several years later and Alice inherits Bob’s estate under the Will he made after they were married, this includes the house Bob purchased before he and Alice met. As time goes on Alice sees her stepchildren less and less and Thomas and Henry persuade their Mum to update her Will. Alice decides that her children should benefit from her estate and does not include her stepchildren in her new Will. On Alice’s death her estate (which includes the house which belonged to Bob) passes to Thomas and Henry and Bob’s children never inherit any share of their Dad’s house. Sideways disinheritance could also have happened in this situation if Alice had gone on to remarry again and leave her estate to her new spouse.
Let's also consider a scenario which includes John and Julie. John and Julie are happily married with two children together. John dies whilst his children are still young and Julie inherits all of John's assets. Julie meets a new partner, Jacob and they marry. When Julia dies, she leaves her estate to Jacob (which includes everything she inherited from John). Jacob later writes a Will leaving his estate (which now includes John and Julie's estates) to his brother and sister meaning that John and Julie's children are inadvertently cut out and will inherit nothing from their parents.
To mitigate this risk, incorporating a trust into your Will can be highly effective. A trust grants your surviving spouse a life interest in the assets, allowing them to benefit from and enjoy them during their lifetime. However, upon their death, the assets are directed to your chosen beneficiaries, ensuring that your children ultimately receive their rightful inheritance.
Furthermore, sideways disinheritance can also occur unintentionally, such as when assets automatically pass to a surviving spouse in the absence of a Will or when a widow remarries, invalidating any previous provisions made for step-children. Including an Asset Protection Trust in your Will offers additional safeguards against potential threats, such as future remarriages, divorces, or bankruptcy orders, by ring-fencing assets in a trust to protect them from creditors and means-tested assessments.
In conclusion, protecting against sideways disinheritance and other unforeseen circumstances requires careful estate planning and the inclusion of appropriate legal instruments, such as trusts. Seeking professional advice ensures that your Will is drafted correctly and tailored to your specific circumstances, providing peace of mind for you and security for your loved ones. If you're considering implementing trusts in your Will to safeguard your estate, don't hesitate to reach out to us for expert guidance tailored to your needs.
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