Intestacy rules

Question 1

What is the first job for administrators dealing with an intestate estate?

Answer 1

To pay all of the funerary, testamentary and administration expenses and all other debts from the estate

Question 2

What is the order of entitlement for intestacy rules?

Answer 2

1. spouse (no children)
2. child (no spouse)
3. spouse & children
4. deceased’s parents in equal shares
5. deceased’s full siblings
6. deceased’s half siblings
7. deceased’s grandparents in equal shares
8. deceased’s whole blood aunts and uncles
9. deceased’s half blood aunts and uncles
10. the Crown

Question 3

If there is both a surviving spouse and child/children what happens?

Answer 3

The surviving spouse gets the ‘statutory legacy’ which is the first £322,000 plus all the personal chattels and also 50% of the residue of the estate. The children will split the remaining 50% of the residue

Question 4

Are divorced spouses and cohabitees entitled to anything under the intestacy rules?

Answer 4

No

Question 5

What does the surviving spouse have to do to be entitled?

Answer 5

Survive the deceased by 28 days

Question 6

What happens if the deceased and their spouse have been separated?

Answer 6

If the marriage is still in existence the spouse will still be entitled to the legacy even if they have been separated for many years - exception is a judicial separation as the spouse cannot then claim

Question 7

How are adopted children treated in intestacy?

Answer 7

As if they are the biological child of the adoptive parent

Question 8

Are step children included as an issue?

Answer 8

No

Question 9

If the deceased is married and has no children but their parents are still alive who inherits the estate?

Answer 9

The whole estate goes to the spouse

Question 10

What happens to the estate if there is no spouse but there is children?

Answer 10

The children inherit under the statutory trust and the PRs must follow the terms of the trusts and have no discretion to alter them in any way

Question 11

What are the terms of statutory trusts?

Answer 11

• where there is more than one person, all the persons with a vested interest will receive equal shares of the estate
• if one of the children dies before the testator and has no children their share goes to the surviving children
• if the predeceased child has left children the predeceased’s children will get their share split evenly

Question 12

Aaron has 4 children: Ruth, Max, Jim & Kate. When Aaron dies intestate his wife, Ruth and Jim have already died. Ruth had two children but Jim had no children. Max has one child and Kate has none. How is the estate divided?

Answer 12

Under statutory trusts - into thirds for Ruth, Max and Kate. Jim died and left no children so his share goes to the others. As Ruth also predeceased Aaron but left two children her shares goes to them split evenly. Max’s child does not get anything

Question 13

Do statutory trusts affect any other persons under intestacy rules?

Answer 13

Yes, all others except parents and grandparents

Question 14

When does a person acquire a full vested interest under a statutory trust?

Answer 14

When they are 18, before that their interest is contingent

Question 15

What happens to the dwelling house in which the surviving spouse was residing?

Answer 15

The surviving spouse can call on the PRs to appropriate that property as part of their statutory legacy and the PRs cannot refuse to do so