Does she have to pay it back?
Discussion
When my friends Mum died last year, there was a life insurance policy which my friend paid the premiums on, although there is no record of this, as she always gave her Mum £300 cash.
Probate was granted and the Life Insurance has sent her a cheque.
She has spent this money, believing it to be hers, but now her Sister is claiming she wants a third, having previously agreed 'verbally' that she didn't want the money from the life policy, just the monies due from the rest of the estate.
Does my friend have to pay this money back into the estate, she didn't take any Legal advice at the time, because the Solicitors she approached wanted a high percentage of the estate as a fee.
She is now receiving threatening letters from her Sisters Solicitors making all sorts of demands.
Probate was granted and the Life Insurance has sent her a cheque.
She has spent this money, believing it to be hers, but now her Sister is claiming she wants a third, having previously agreed 'verbally' that she didn't want the money from the life policy, just the monies due from the rest of the estate.
Does my friend have to pay this money back into the estate, she didn't take any Legal advice at the time, because the Solicitors she approached wanted a high percentage of the estate as a fee.
She is now receiving threatening letters from her Sisters Solicitors making all sorts of demands.
Of my patch a little but was the policy written in trust for your friend or just in the name of the deceased? if the latter i am afraid she might be up said gum tree. In any even the sister is likely to try to reclaim her legal fees from the estate funds meaning that these will be further depleated anyway.
When there's a death there's always one money grabbing
:sigh:
When there's a death there's always one money grabbing
:sigh:I would guess that in the absence of any records / written agreements, the payout from the insurance "belongs" to the estate and as such officially should be divvied up among the beneficiaries as agreed amongst themselves.
Who acted as the executor of the estate? Don't they get a say?
I would suspect that the sister didn't realise the value of the policy (presumably reasonably high if the premium was £300pcm?) and now is kicking herself for missing out!
Perhaps a "fairer" arrangement would be for your friend to take the equivalent of the total payments she made into the policy and then divide the remainder (if there's anything left).
Who acted as the executor of the estate? Don't they get a say?
I would suspect that the sister didn't realise the value of the policy (presumably reasonably high if the premium was £300pcm?) and now is kicking herself for missing out!
Perhaps a "fairer" arrangement would be for your friend to take the equivalent of the total payments she made into the policy and then divide the remainder (if there's anything left).
She appointed all three siblings as Executors, they all agreed my friend should act as chief executor, and probate was granted on this basis.
The insurance company issued a cheque payable to my friend, and she paid it into her own account, not the 'executor' account.
The estate has not been settled yet as there is still a house to be sold.
The insurance company issued a cheque payable to my friend, and she paid it into her own account, not the 'executor' account.
The estate has not been settled yet as there is still a house to be sold.
wedge girl said:
The insurance company issued a cheque payable to my friend
Odd
wedge girl said:
and she paid it into her own account, not the 'executor' account.
Understandable, but probably not the best idea as it turned out.
wedge girl said:
The estate has not been settled yet as there is still a house to be sold.
Oh, right. In that case, I guess there's time to sort it all out then (assuming the house is worth enough to cover it if things don't turn out the way she hopes)?
As there are 3 beneficiaries/executors, presumably the other sibling was a party to and remembers the verbal agreement re the insurance policy? Surely if 2 out of 3 executors sing the same tune the awkward 3rd would have trouble claiming otherwise?
still ongoing here after 4.5 years. Without knowing the characters involved it is hard to say but it does smell a bit fishy to me, not sure I'd be giving £300 
a month to an 'auntie', and she has 'spemnt' the money already 
Is there anything in writing to prove she actually paying this .
I'm no solictor but I would get legal advice soonest 
.
AFAIK the monies belong to the estate. In the abscence of a will there is a strict pecking order; spouse, children, siblings, parents etc finally the State. The monies are divided equally to them, there is a chance she may have to return the money IMHO. That or forego some monies lateron. Get proper advice.
Harry
>> Edited by HarryW on Wednesday 4th May 17:28
a month to an 'auntie', and she has 'spemnt' the money already Is there anything in writing to prove she actually paying this . I'm no solictor but I would get legal advice soonest . AFAIK the monies belong to the estate. In the abscence of a will there is a strict pecking order; spouse, children, siblings, parents etc finally the State. The monies are divided equally to them, there is a chance she may have to return the money IMHO. That or forego some monies lateron. Get proper advice.
Harry
>> Edited by HarryW on Wednesday 4th May 17:28
. If she is an exec then there must be a will - She is most likely the sole exec but on the Grant of Probate it will say something to the effect of HER NAME followed by "power reserved to other execs" Hence the cheque would be in her name, as exec.
(If she has Letters of Administration then she would be a Personal Representative iirc.)
Sounds like she needs to take proper advice from a Probate Solicitor. Look for the initals TEP after their name if I were you (Trusts and Estate Practicioner)
From the little info. here I am getting the feeling that she might end up having to pay 1/3 out to each sister or come to a deal, outside the estate, with the sane one and only pay the 1/3 due to the grasper.
Bit silly paying out to herself anyway, should have gone into the estate and then been sorted out. Would have been one heck of a payout with £300 PCM premiums I would have thought.
(sorry no time to spell chuk)
(If she has Letters of Administration then she would be a Personal Representative iirc.)
Sounds like she needs to take proper advice from a Probate Solicitor. Look for the initals TEP after their name if I were you (Trusts and Estate Practicioner)
From the little info. here I am getting the feeling that she might end up having to pay 1/3 out to each sister or come to a deal, outside the estate, with the sane one and only pay the 1/3 due to the grasper.
Bit silly paying out to herself anyway, should have gone into the estate and then been sorted out. Would have been one heck of a payout with £300 PCM premiums I would have thought.
(sorry no time to spell chuk)
parrot of doom said:
When I die, I'm leaving funds in reserve to counter-sue anybody who tries to grab my cash.
Having witnessed the family seagulls come for the pickings of my uncle, I shall say in my will, any quibbling and the quibbler gets zilch. I would rather give it to lefthanded lesbian trombonists than family jackals.
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