Confused about inheritance

[Paigeturner88]

Hi,

long time lurker here, first time poster and hoping for some advice.

I moved in with my boyfriend in December and am currently 5 months pregnant. Unfortunately my boyfriend died suddenly last month without a will and I'm a bit confused about what I will inherit.

I understand that when someone dies without a will the estate passes to the next of kin which would be our unborn child but what are my rights as girlfriend and mother?

I want to stay in our house but my boyfriend was the main earner and as I'm on maternity leave I could not afford to pay the bills myself, would it be possible to still live here and claim from the estate?

This does sound like it is getting nasty, you need to back off and speak to a solicitor now.

Sorry, posted too quickly

My boyfriend and his brother are both shareholders and directors in the business. The accountant seems to think that my boyfriend owned the most shares and that his shares are to be split between his siblings (apart from the one that is already a shareholder)

Do the family have any involvement in the business? Are any of them shareholders, directors or employees? If so I can see why they may wish to retain an interest.

But this says to me that they are already closing ranks so get a good lawyer and don't try and do any negotiating on your own.

For the record if your partner was the sole shareholder and director then a Court order will be required to appoint new directors as usually this can only be done by the shareholders and if the sole shareholder is dead then no-one has that authority.

It is possible that the company has some instructions about what happens to shares on a shareholders death- this is normal, and is to prevent spouses/partners in small companies (i.e. 2 or 3 people) having a say over the company if a director dies.
This is separate from a will, and will be legally binding if the company articles are set out properly (likely if he has an accountant tbh, will probably have been drawn up by a solicitor, possibly a barrister depending what type of company).

Sorry cross posted. Like I said earlier if there is a shareholders' agreement in place then that will usually state what is to happen to any shares on death. Sounds as though the shares may well go to the siblings. It will be difficult to make a claim for them if the rest of the estate is already going to your child.

Does the brother know you are still receiving a salary?

Don't have any salient advice like Poshfrock or others, but I'd get your dad to desist from engaging with the family immediately. Unless he's a probate lawyer or something. Best leave this to the professionals- you could compromise your own position if you're not careful, never mind saying the wrong thing and getting peoples' backs up. Piss them off and things could get even more messy. All the best, good luck with the pregnancy.

Yes I can only reiterate Craic's very sound advice Your father must not attempt to negotiate on your behalf. He may unwittingly jeopardise your position and that of your child.
You need a lawyer who specialises in contentious probate matters as well, not just a high street solicitor.
I can make a couple of recommendations if you want to PM me.

As said above assuming the child passed the DNA test it will inherit everything. You are not entitled to use money from the estate however so need to get a job presumably to keep yourself. If you were genuinely an employee of the business they may take you back to work for it or perhaps you might be entitled to a tax free pay off on redundancy which might be one way of dealing with the money you have had already.

Very good advice from posh. it is ia big estate 4-0% if handed back to the Government. Do check he had no life insurance. It would be rare for someone of his wealth not to. The policy may be written in trust for you or his family and avoid inheritance tax. Check if he had a pension and if that had been put into trust and for whom.

Do you know who owns the shares in the company?

Do we know if it is possible to do DNA tests before someone is born? I had a feeling it was possible and that might be worth looking at too just to get all that side of it over and done with.

Anyone else feel a bit sorry for the dis - inherited brother?

I do. I can’t imagine what it must be like to build up a family business and then be told that someone you don’t know from Adam (and presumably has no relevant experience or knowledge) insists that they must be made a director so that they can protect their adult daughter and unborn grandchilds’ positions. I would be taking legal advice, fighting tooth and nail to protect my business and would only be doing what the law required me to do. All whilst grieving for my sibling.

I do feel sympathy for the OP for losing her DP so suddenly and at such a vulnerable point in her life, but the family will more than likely take a less charitable view. OP says she was not with her partner for long before her pregnancy, and I would be mentally preparing myself for requests for DNA tests and discussions on the earnings position prior to her DP’s passing.

OP, I would reiterate that your dad must cease discussions with the family- emotions are running high and it’ll end badly. Get a good, specialist, lawyer like poshfrock says. I would however keep them up to date with scan pictures and other news about the baby. These people are still your LO’s family and you should try and maintain some sort of relationship with them separate to the dealings with the business and estate.

Can't really add anything to the excellent advice you've had from Poshfrock and Craic. You really need to keep scrupulous records of any money you are taking, as technically it doesn't sound as though you are entitled to it unfortunately.

So sorry for your loss.

The brother may well own half the shares. If not it is rather his fault. Many many family companies have written shareholder agreements and they take out key man insurance and make wills. That is standard. If this brother did not insist on it and has no share ownership he is probably kicking himself.

Thanks for the advice everyone

Poshfrock thank you, I've managed to get an appointment to see a solicitor tomorrow. All of the siblings bar one work for the business and I assume the brother knows I'm still taking a salary

Mariajenny, Im not sure about redundancy but I could certainly ask, I had only worked there a short time so not sure it would apply. I don't really want to go back to work, I would rather stay at home with the baby

Polyethyl, the brother isn't being 'disinherited', he already holds shares in the business. My boyfriends shares are to be split between the other siblings

The family haven't asked for a DNA test so far but I think you're right, it is going to turn nasty. Apart from the occasional text none of the family have bothered to come and see me to make sure I'm ok

So sorry for your terrible loss.

If you have only worked for the business for a short while, would you be legally entitled to redundancy and/or the salary that you continue to receive. I wonder if the shareholder brother is giving you the salary on moral rather than legal grounds, and if the situation between you were the deteriorate then he may re-consider.

Like others I feel your Dad's involvement is potentially damaging. Obviously his only concern is you and his soon to be grandchild, that's natural and understandable. However, from the siblings POV, a 'stranger' wanting to be made a director on a company they may have spent years building up and working for, may seem unfair (to them I mean).

Please let us know how you got on at the solicitors - and I wish you well during this terribly stressful time.

Paige I am glad you have an appointment and hope it goes well.

It did occur to me that as your boyfriend appears to have been sufficiently organised to have a shareholders' agreement drawn up ( at least that's what it sounds like) then I would be very surprised if he didn't also have a will. Certainly when my colleagues in the commercial dept draw up these agreements they always refer the client over to me for a will and we do it as part of a package.

Might it be worth checking with the solicitor who drew up the agreement to see if their firm also did a will ? The accountant may well know which firm they used/use for company legal stuff.

Wishing you all the best.

Good point. There may well be a will but it has just not been found yet. Also if the brother already has shares in the company why would the deceased have to be giving his shares to someone other than his heirs? I suppose you need to read the written shareholders' agreement (I write those) if there is one and the company's Articles. These often deal with death. It is a key clause in the contract -what happens to the shares on death.