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My dad has died and has left everything 50/50 to me and my sibling. However, I know that he gave my sibling a large sum of money before he died. Can this be deducted from my sibling’s share of the estate?

You will need to check the provisions of the Will. The Will might say whether your dad intended to set the amount of gift off against your sibling’s share of their estate.

If your dad intended the sum of money he gave to your sibling as a completely separate gift, then you cannot deduct the sum of money from their share of the estate. However, your sibling will have to prove that this was your dad’s intention when he made the lifetime gifts, as it is presumed that a person would not make the same gift twice (known as the rule against receiving “double portions”).

Related FAQs

What is a cohabitation agreement?

Cohabitation agreements are used by people who live together to record their legal and beneficial ownership in their shared property and to regulate their financial and living arrangements, both during cohabitation and if they ever cease to live together.

The parties to the agreement do not have to be in a romantic relationship, but they can be. Often, cohabitation agreements are used by couples who have decided not to marry or enter into a civil partnership. The property concerned can be rented, owned solely by one cohabitee, owned by one or more cohabitees together or with a third party, or owned jointly by cohabitees in equal or unequal shares. Whatever the situation, it can be written into the agreement.

Having a cohabitation agreement in place and discussing each person’s rights and obligations at the outset of living together can help parties to avoid the personal negativity, cost and uncertainty of litigation if cohabitation ends. Cohabitation agreements can help to provide a sense of reassurance and financial security for the parties. For example, provisions can be put in place for financial support for the former partner if the relationship ever ends, particularly if they have children together.

There is some uncertainty about whether the terms of a cohabitation agreement will be upheld and enforced by the court, however, the general view is that if the cohabitation agreement is properly drafted as a legal contract, then it is more likely to be enforceable. Cohabitation agreements can be a complex area of law and therefore if you wish to discuss this further we would advise that you speak with one of our specialist family solicitors.

What will my case look like going forward and what are the courts doing?

During the Covid 19 crisis lawyers and the courts have had to adapt with hearings being heard remotely and with more electronic communication. It is clear that going forward, some of these changes will become more permanent.

The Lord Chancellor, Robert Buckland QC MP, has spoken last week regarding changes to the justice system following the COVID-19 pandemic and we know that there is a significant backlog of work that needs to be processed.

Firstly, 10 sites have been identified for ‘Nightingale courts’ which will allow for better social distancing. The authorities have suggested that it is a possibility that courts will need to stay open for a longer time or at weekends, to increase the number of cases that can be heard safely on any given day. This will enable more cases to be heard in a day and therefore a swifter outcome for your case. The standard of video technology will also continue to improve, with plans for new technology being rolled out across all courts form July onwards. The enhanced use of technology may result in matters being heard more efficiently, decreasing the time spent during each hearing.

HMCTS is working to expand access to audio and video technology to support more and new types of hearings. There has been an increase in the use of new and varying equipment over the lock-down period. With the appropriate systems in place, many more hearings could take place on platforms such as the Cloud Video Platform (CVP). Throughout July, the CVP will be more readily available to Country courts. There will be further hardware rolled out to improve the quality of video hearings, and there will be more efficient methods used to organise video lists.

The increased use and training of CVP means that witnesses and advocates may not need to attend court and could attend the hearing remotely. This will give you increased flexibility, enabling you to attend from your office or home. The CVP is efficient and simple to use, with no complex functions; making it user-friendly. This should make litigation more time and cost effective (albeit that there will be the cultural challenge of having less contact with your legal team or the court experience).

Can a sponsor cut the salary or hours of a Tier 2 visa holder?

Yes but the sponsor must report this on the Sponsor Management System within 10 working days and must follow normal employment law principles.

If this results in the sponsored worker’s falling below the minimum required salary the usual position is that they cannot continued to be sponsored. However the government has implemented a concession for sponsors who have ceased trading or temporarily reduced trading which allows the salary to be reduced to 80% of the figure stated on the Certificate of Sponsorship or £2,500 per month, whichever is lower.

Can I still take legal action to recover money that is owed to the business?

You will need to check the terms of the contract you have with the debtor to make sure you are still entitled to be paid (including checking any force majeure clause).

It is also important to remember that the current exceptional circumstances might also affect your contractual rights in other ways too – please see our commercial & contracts site for more information.

Depending on the type of debt you are owed, there might be some additional restrictions in place that you will need to consider. For example there are certain restrictions on landlords being able to forfeit leases, evict tenants or send High Court Enforcement Officers to collect outstanding rent.

Assuming there are no sector-specific restrictions in place then you should be able to start county or high court proceedings to recover the debt.

As an alternative to starting court proceedings, if the debt is undisputed a creditor can usually opt to issue winding up proceedings against a debtor instead. However, the recently introduced Corporate Insolvency and Governance Act introduces a temporary suspension on the ability of creditors to present winding up petitions to recover money unless the reason why the debtor cannot pay is not related to covid-19. For more information click here.

Often taking firm action is the right thing to do, particularly given that it is a sad reality that it is the creditor who shouts the loudest that will often get paid first. However, one important consideration is the commercial reality that many businesses (and indeed individuals) now find themselves in.

Whether taking legal action is likely to result in payment is always a question any creditor should ask themselves. Some creditors might also want to try to support their customers during these difficult times and/or have concerns about their long term reputation if they pursue the debt too aggressively. However, even if that is the case it is still possible to engage constructively and positively with those who owe you money to try to reach the best possible outcome. This could include:

  • Having clear and consistent credit control processes in place
  • Obtaining statements of means to help understand what a debtor can afford to pay
  • Agreeing realistic payment plans
  • Negotiating formal payment holidays
  • Putting in place voluntary security to secure the debt
  • Identifying those debtors who can’t pay as opposed to won’t pay and targeting resources accordingly
  • Looking at what other options might be available, including recovering under parent company guarantees
I’m getting married but have had to postpone the wedding. Should I delay putting a prenuptial agreement in place until a later date?

No. The greater the gap between the completion of a Prenuptial Agreement and the Wedding the more likely it will be upheld by the Court. If such an Agreement is made shortly before the wedding takes place one of the parties to it could claim that they felt under pressure to sign and the Court may decline to follow it.