Learn from Heath Ledger's mistake!

As many of you will know, the actor Heath Ledger sadly passed away in 2008 at just 28 years old. What you may not know is what happened to his £12 million estate.

Heath executed a will stating that 50% was to be split between his parents into equal shares and then the remaining 50% was to be split between his three sisters, Kate, Olivia and Ashleigh.  His will was made two years prior to him having a child of his own called Matilda. 

The unintended outcome

No doubt, Heath had intended on updating his will prior to his passing, but he just never got around to it.  This meant that legally when Heath died, his daughter Matilda would receive nothing from his estate.

Luckily for Matilda, Heath’s family executed a Deed of Variation to vary the terms of the will to give up their entitlement to his estate and made Matilda the sole beneficiary of his estate.  Matilda was fortunate in this case that Heath’s family made the variation without the courts being involved.  

If they were not willing to vary the estate, then it was Matilda’s mother’s intention that she would have made a claim for reasonable financial provision on Matilda’s behalf (as she was a minor still) to try and gain a share of Heath’s estate.

Had the matter of going to court, it would have cost thousands in court and solicitor’s fees in the family trying to defend the claim and coming to a resolution, all because Heath did not update his will to include Matilda.

How to avoid this yourself

It is important to review your will when significant financial and family changes happen in your life, as the terminology of your will may mean that your children or future grandchildren are not included in your will. Updating your will means that the loved ones you want to inherit your estate will do.

If you do not have a will in place, then under the English laws the intestacy rules follow which are a strict set of rules detailing who will inherit your estate when you pass away.  If you pass away without a spouse but have children, then any children that you have will inherit your estate in equal shares.  

If you have a spouse and children, then the first £270,000 passes to the spouse outright with all personal possessions the remainder of the estate is split 50/50.  The first 50% passes to the surviving spouse and the remaining 50% passes to the surviving children.  Children include biological children and adopted children but do not include step-children.

Keeping your will up to date

It is therefore important to keep your will up-to-date to ensure that your current wishes can be followed.  Not doing this unfortunately runs the risk that a loved one will not receive anything from your estate and costs can be wasted in instructing solicitors/the court system if someone makes a claim for financial provision against your estate.

If you would like to make a will then please contact one of our will specialists.  I am based in our Colchester office and can be contacted on 01206 217609 or [email protected]