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Mum has died intestate - complicated estate issues

58 replies

butterfly0404 · 23/02/2024 17:39

Hello

I have a question, not sure if anyone has the answer. My has died without a will, had a feeling this would happen. My dad died four years ago and my mum dealt with some minimal administration associated with that . Dad didn't leave a will, there was only property and a piece of land, about half an acre, separate deeds which I understand passed to my mum.

Myself and my brother I understand will inherit but potentially the land and property might be worth a bit, potentially 700k, hard to say as the property is very run down, it;s a semi and the property next door is also in a similar state, but the plot is large.

There are further complications as a family member is running a business from the plot of land kind of under the radar of most legal permissions, ie planning, business rates etc.

They use the utilities of mum's house to run the business, whilst she was alive she was happy with this arrangement but obviously this cannot continue. It also appears family member is further subletting this piece of land to someone else for the storage of building materials.

It's incredibly messy.

As there is no will, is it likely there will be inheritance tax to pay ? I'm absolutely in the dark about this and my brother has gone awol, doesn't want to deal with any processes at all. I have an appointment with a probate solicitor next week but I fear this is going to get expensive.

OP posts:
butterfly0404 · 25/02/2024 09:20

londonmummy1966 · 24/02/2024 23:07

If it were me I'd apply for letters of administration now to trump your brother.

I'd notify the banks, utilities and insurance companies that the estate is now in administration and that the bank accounts should be frozen. Also ask the bank to agree to settle the undertakers bills so you aren't paying personally for the funeral. You really do need to turn off the utilities if the property is unoccupied as the chances are that if you don't the insurance could be invalidated if there was a leak etc. Nephews will need to find somewhere else to stay.

Find a solicitor who is a member of the Society of Trust and Estate Practitioners (STEP) and who works in a firm with experience in land title disputes so that the have the expertise to deal with all the issues. https://www.step.org/about-step/public

Ask the bank for copies of the accounts going back to when the land was bought - can you see the purchase monies going out and were there funds deposited to fund this - were they from an equity release or your brother?

I'd suggest to your brother that when you distribute the estate the house is sold, the land is allocated to his share and that you get a bigger share of the bank accounts and house proceeds to compensate for that. It might make sense for your brother to give the land to his sons but that is for him to decide (if he does he can do so via a deed of variation).

It sounds like there will be no IHT to pay but if there is bear in mind that the IHT on property is payable in installments (10% over 10 years) until sale when the balance is payable.

Hi, please bear in mind she has been dead for less than a week and I've been making all the other arrangements thus far.

I've looked into it and their is a hierarchy for appropriate persons to take on the role, I am the next of kin so that falls to me. I have the death certificates, he wouldn't even know where to find them as he doesn't use computers. He is alcohol dependent and a long term drug user (and former dealer) and his capabilities for anything like this are not likely viable.

There is less than 11k cash available including life policies, half of which will pay for yhe funeral - all the value is tied up in the property and land so that scenario won't work.

I don't think hilow the land was paid for is particularly relevant, title is in my late parents' names, I've seen documents saying money was gifted. If it was, the donor relinquishes any rights to reclaim or stake an interest.

I've Instructed a valuer to attend on Tuesday who specialises in complex estates, bearing in mind the property is residential and the land is agricultural use although has a business operating on it with only partial relevant planning permissions.

OP posts:
butterfly0404 · 25/02/2024 09:37

Vaz66 · 24/02/2024 21:23

For fucks sake why haven’t you applied for letters of administration?
You don’t need your Brother’s permission and he could go behind your back and become executor once he realises he can.
Take control.
Just bloody do it, now. Online.

https://www.gov.uk/government/publications/apply-for-probate-by-post-if-there-is-not-a-will#:~:text=You%20can%20apply%20for%20the,right%20to%20manage%20their%20estate.

I will be doing so, trust me, its completely out of his cognitive capabilities to undertake this. There is so much more I can add to this but I've already given more information than I should.

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Thingamebobwotsit · 25/02/2024 09:38

@butterfly0404 I think other have probably covered this, but IHT/informal tenancy agreements aside fundamentally what any legal process will look at is formal records, documentation etc. You need a very good solicitor acting on behalf of you (and ideally your brother) to work through the paperwork.

Your basic options are to (a) sell the property and land divide the assets equally, either evicting the "tenant" or they buy you out or (b) sell to your brother or tenant.

You haven't mentioned (I don't think) how your brother has taken the loss your DM. But if it is fairly recent he may be working through his own issues. I also don't think you have mentioned how long the "tenant" has been there. The bigger risk for them is having to formalise their business - sell or keep the property, unless your brother buys you out otherwise they do, there is a very strong chance that they will need to register the business.

My advice would be - alongside the legal advice - is to work up a set of different scenarios and options to run past your brother and get his take on it. He may want to buy the property, he may want to sell and free up capital for his other investments. Either way you need to start opening up avenues to discuss this with him which are fact based, rather than jumbled up with the emotional aspects of dealing with very complex family affairs.

Good luck

butterfly0404 · 25/02/2024 09:50

It would appear I can't apply until I have valuations, which won't happen until next week and I can't guess at those

Mum has died intestate - complicated estate issues
OP posts:
butterfly0404 · 25/02/2024 10:03

Thingamebobwotsit · 25/02/2024 09:38

@butterfly0404 I think other have probably covered this, but IHT/informal tenancy agreements aside fundamentally what any legal process will look at is formal records, documentation etc. You need a very good solicitor acting on behalf of you (and ideally your brother) to work through the paperwork.

Your basic options are to (a) sell the property and land divide the assets equally, either evicting the "tenant" or they buy you out or (b) sell to your brother or tenant.

You haven't mentioned (I don't think) how your brother has taken the loss your DM. But if it is fairly recent he may be working through his own issues. I also don't think you have mentioned how long the "tenant" has been there. The bigger risk for them is having to formalise their business - sell or keep the property, unless your brother buys you out otherwise they do, there is a very strong chance that they will need to register the business.

My advice would be - alongside the legal advice - is to work up a set of different scenarios and options to run past your brother and get his take on it. He may want to buy the property, he may want to sell and free up capital for his other investments. Either way you need to start opening up avenues to discuss this with him which are fact based, rather than jumbled up with the emotional aspects of dealing with very complex family affairs.

Good luck

Thanks. Yes he isn't dealing with the loss of my mum particularly well, but then neither am I and I have significant health issues and a professional full time job to return to as well as dealing with all the funeral arrangements single handedly.

He is acting like a child and I've lost patience. Unfortunately my parents Indulged him from childhood and whatever he wanted he got. He still expects everything to work by his rules and has no respect for the law whatsoever.

My nephew has only been operating in his own capacity on the land for a couple of years after his brother bankrupted the former business of lf which he was the sole director. That business is fully liquidated.

Many years prior to that my brother took over my dad's business which was started 60 years ago but he bailed due to stress. The fundamental of what business is still the same (but much larger) since my dad started it but legally that entity is long gone.

I think my parents were steamrolled into purchasing the land and each sucession of my brothers and nephew's operations were allowed to occupy it without the necessary legals in place, except for an Operator's Licence which applies to HGV,'s but even that had to go to a tribunal before it was granted.

OP posts:
butterfly0404 · 27/02/2024 17:33

So, as an update....I arrived at my late mum's house to find one of my lawless hillbilly nephews has taken my mum's car and is using it as if it's their own, dezpute the fact it is SORN'd.

I had to phone the police to report it as taken without consent.

Subsequent phone call with other nephew who has told me he will carry on using the land, he will carry on using her house, if it gets boarded up he will unboard it and no body will stop him doing what he wants.

Solicitors at 10am tomorrow morning to deal with the sorry shitshow my late mother has created by not making a will and not saying no to any of the lawless fuckwits who just walked all over her for their own benefit.

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Thingamebobwotsit · 27/02/2024 20:50

Good luck @butterfly0404 and keep.us posted. Families are terribly complicated things. Stick to facts and get as much evidence as possible. Do you have all the relevant documents or are they in the house?

butterfly0404 · 27/02/2024 20:54

Thingamebobwotsit · 27/02/2024 20:50

Good luck @butterfly0404 and keep.us posted. Families are terribly complicated things. Stick to facts and get as much evidence as possible. Do you have all the relevant documents or are they in the house?

I have all the relevant documentation out of the house luckily, I did that the same day mum passed as I had a feeling they would likely remove it all. It was tough, painful and upsetting at the time but I'm glad I did.

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