Stay Relevant – Make a Will: Lessons on Estate Planning

You may be familiar with Sam Thompson and Pete Wicks’ podcast Staying Relevant, where they discuss what they have done that week to stay relevant. Sam recently highlighted the importance of putting in place a Will, as he found himself in the hospital thinking, “It was the end.” So, he asked his nurses for a pen and paper so that he could write his will, as he did not have a will already in place.   
 

Legal Flaws in Sam’s DIY Will

Listening to the podcast as a wills lawyer, alarm bells started ringing. I quickly realised that his will had several flaws and may not actually be legally valid. Sam’s podcast emphasises the importance of seeking professional legal advice regarding your will to ensure that your wishes are followed and that the will is actually valid. 

The Importance of Appointing an Executor

Sam explained to Pete about what he had included in the will. Sam addressed his will to “whom it may concern”.  In a will, you can appoint people as your executors, and these are the people who will deal with the administration of your estate when you pass away. It is important that you appoint people that you trust and are financially responsible, as they will have to collect your funds, pay any liabilities due when you pass away and pay your estate out to your chosen loved ones. 

Pete jokingly said that he did not know who the executor of Sam’s will would be, as he also had realised Sam had not actually appointed anyone as an executor. If Sam were to die, then because he had not appointed someone to act as the executor under his will, it may mean someone who Sam does not want to deal with his affairs will have the power to administer his estate.  

Unspecified Assets and Intestacy Rules

Sam explained that his long-term girlfriend, Zara McDermott, would be left his property and his beloved cats. Pete would receive a half share of the business Staying Relevant Productions.  Sam had also left provisions so his nephew Leo would receive his watches. 

Sam made no mention of who the rest of his assets would go to; I imagine he must have bank accounts, pensions and other personal belongings that he did not make provision for under his will. Assuming that the will he put in place was valid, then this means any items not specifically bequeathed to anyone under his will would fall into his residuary estate and pass under the intestacy rules. The intestacy rules are a strict order that sets out who will receive someone’s estate if someone dies without a will, or the will does not distribute those assets.  

Risks of Invalid Signing Procedures

In Sam’s case, as he is unmarried and has no children, these assets would pass to his parents in equal shares. However, under the rules of intestacy, Sam may have wanted these items to pass to his long-term girlfriend, Zara. 

Sam also did not mention whether he actually signed his will. There is a strict signing procedure that the person putting in place a will has to follow. Sam would have needed to have signed his will in front of two independent witnesses over the age of 18 who do not benefit from the will. The witnesses also would have had to have signed the will in the presence of each other and Sam. If the will were not signed in accordance with the strict signing instructions, then the provisions made by Sam would not happen, and the will would not be valid.

Essentially, this means the intestacy rules would apply to all of his assets, including his property, cats, bank accounts, and business, and his parents would receive all of his estate in equal shares.   

Zara would not have inherited the house and would have been left without security. As she has lived with Sam for over two years, if Sam were to pass away, she would have to try to make a claim under the Inheritance (Provision for Family and Dependants) Act 1975 to say that Sam had not left her reasonable financial provision. This is a long-drawn-out process and would be costly to Zara and Sam’s estate. 

The Importance of Professional Legal Advice

Sam wanted to have peace of mind knowing that his affairs were in order when he was in the hospital, but he should have sought professional legal advice to ensure that his wishes would be legally followed. Homemade wills often are flawed as they do not consider the tax implications of gifts, the terminology used is vague, and may not be signed correctly. Will disputes are on the rise because of homemade wills and ineffective drafting. 

It is always better to ensure that your affairs are in order before a medical emergency occurs, because if you had lost mental capacity then you would not be able to put in a place a will. However, if you find yourself in hospital and you need to put in place a will, the will specialists at Birkett Long will go to hospitals or care homes to take your instructions.  

Get Professional Help with Your Will

The will specialist will take your instructions on who you want to appoint as your executors, whether you want to include any specific funeral wishes, and who you would like your estate to go to. We will also provide you with advice on inheritance tax planning.