intestacys

Question 1

intestacy meaning

Answer 1

occurs when a person dies without a will and the law of intestacy distributes their estate
governed by the administration of estates act 1925
arises when die without a will, the will is valid but subsequently fails entirely or partially valid will leads to a partial intestacy

Question 2

1. section 33 AEA 1925

Answer 2

(1) when someone dies intestate all of their property (real or personal) is held on trust by their personal representatives with the power to administer the trust for the benefit of the beneficiaries

(2) firstly the personal representative shall pay the deceased debts out of the money from their estate (including funeral, testatmentary/administration expenses), remaining money will form the residuary estate which will be distributed according to the will or rules on intestacy

Question 3

2. sc55 (1) AEA 1925
   defines real and personal estate

Answer 3

(19) real estate, including chattels real, refers to estate involving land
personal estate refers to anything tangible or intagible property
(10) personal chattels refers to tangible movable property other than, money or securities for money, or was used at the death of the intestate solely ot mainyl for business purposes, or soley as an investment

Question 4

key rules under sc33 AEA 1925

Answer 4

(3) property cannot be passed to the beneficiary who is a minor (under 18), instead held on trust by the PR until they reach the age of majority

(4) the residue of money not used for the debt or a trust of a minor will form the residuary estate of the intestate

(7) this will apply, unless the deceased leaves a will and this section will subject to its provisions

Question 5

who will inherit the residuary money if no will?

Answer 5

Administration of estates act 1925 assumes immediate family is most entitles
general presumption- immediate relatives have priority over more distant ones

Question 6

2. sc46 AEA 1925
   provides a Hierarchy of potential beneficiaries

Answer 6

(1)
(1) if there is no issue (child)- the residuary estate shall be held intrust for surviving spouses of civil partners
(2) if there is an issue
(a) surviving spouse or CP takes personal chattels
(b) and a fixed net sum out of the total estate (£322,000)
(c) remainder after fixed net sum is split in half between spouse, and children

Question 7

2. Hierarchy of potential beneficiaries sc46 AEA 1925
   continued (1)

Answer 7

(1)(2)
(ii) if issue and no spouse, divided equally between children
(iii) no issue or spouse, divided between both parents
(iv) no issue or spouse but one parent, everything to that one parent
(v) if non of above, full siblings, then half siblings, then grandparents, then aunts and uncles of full blood, then aunts and uncles of half blood
(vi) to the crown

Question 8

administartion of estates act 1925
special rules

Answer 8

sc 46 (2a) where the spouse/CV survives you but died before the end of a 28 days period of the intestate dying, it is treate like they never existed

issues include adopted or illegitimate children