Janice Chapple’s mother Phyllis promised her that in time she would inherit all her worldly goods. Even when her mother died in 2012 and left her estate to Janice’s stepfather, Vic, she was certain that one day the family fortune would be hers.
Phyllis had made a will with Vic and told Janice that whoever died first would leave their estate to the other. Then, when the surviving partner died, the couple’s joint finances passed to Janice, an only child.
When Vic died the following year, Janice, 74, was devastated to learn he had left all of Phyllis’ belongings – including her house – to his cleaning lady. Unbeknownst to Janice, Vic had rewritten his will.
Heavy blow: Janice Chapple was promised her mother’s estate in her will, but her stepfather was able to rewrite it
Janice was left completely barred from her mother’s inheritance – and told that if she wanted to see one of her family treasures again, she would have to bid at auction against strangers.
The Chapples are among a growing number of families locked in bitter inheritance disputes. Experts say this is common in so-called “blended” families, where parents divorce and remarry.
The transfer of property becomes particularly complicated in these cases and is therefore controversial, both when wills have been transcribed – and when they have not been transcribed. Children can be cruelly disinherited after their death and their parents’ wishes ignored.
It is estimated that one in three families in the UK are blended, meaning that parents have remarried after having children with a previous partner.
But almost half of them have not updated their wills after divorcing, remarrying, having more children or becoming stepparents, according to data viewed by The Mail on Sunday.
Phyllis had drawn up a joint will with Vic and explained to her daughter that whoever died first would leave their estate to the other – and when they died it would go to Janice. Pictured: Janice Chapple with her mother Phyllis in 1953
Increasing estate values are fueling an increase in inheritance disputes as the stakes are higher than ever. According to estimates by the estate manager Kings Court Trust and the Center for Economics and Business Research, more than £5.5 trillion is expected to be passed between generations over the next 30 years.
This is reflected in figures the government is expected to release on Wednesday, which show survivors registered a record number of taxable estates over the past year. In the 2022/23 financial year total inheritance tax paid was £7.1bn, already an increase of £1bn over the previous 12 months.
Law firm JMW Solicitors received 52 percent more inquiries about controversial probate cases in the first half of this year than in the same period in 2022.
Alison Parry, head of wills and trust disputes at the firm, says, “We expect the number to be even higher by the end of this year.” But with the right planning, disputes can be avoided. Here we examine the most common pitfalls – and what you can do to avoid them.
Janice was completely excluded from her mother’s inheritance. Pictured: Janice with her mother Phyllis in 1965
Beware of the danger of a mirror testament
Mirror wills are a popular form of estate planning. Here, two partners sign identical wills and initially leave everything to the other, with the estate being divided between the named beneficiaries upon the death of the second partner.
However, conflicts can arise in blended families. A loophole in the law allows surviving spouses to change or completely rewrite a will after the death of a partner. This allows the surviving spouse to completely exclude their deceased partner’s family. There are no restrictions on changing a mirror will after the death of a partner.
In the case of Janice Chapple, this meant that her stepfather could inherit all of her mother’s fortune and then leave it all to his cleaning lady.
Janice learned of Vic’s death through the local newspaper in 2013 and requested a copy of his will to locate her heir.
To her dismay, everything – including Phyllis’ precious home, car and life savings – had been left to his young cleaning lady.
“It was heartless,” she says, “and there was nothing I could do about it.”
Janice was powerless to contest the will or enforce anything for herself or her two children.
She estimates the value of the property at at least £150,000, including a seafront apartment in the Devon village of Seaton, which Janice eventually wanted to move into.
“It hurts every time I drive past it,” she says. “The cruelest part is that the attorney told me to go to the local auction room and bid on any family mementos I wanted.”
“Imagine your family’s belongings for sale.” It’s your legacy. I could not bear it.’
Janice, a former postwoman, adds, “I wanted to keep an old watch that belonged to my dad and a little piece of jewelery from my mom, a bull terrier with an injured leg that I bought her with my first paycheck.” And I think of all the old family photos from before Vic was in the picture – we didn’t get a thing.”
Most of her mother’s belongings ended up in the junkyard, she says.
Richard Thomas, a partner at law firm IDR Law who regularly handles inheritance disputes, says cases like Janice’s are not uncommon.
“If you just make a mirror will and it gives your partner everything you need, knowing they will do what you want after you die, you’re relying solely on trust.” “It’s not binding,” he warns.
“That might seem okay right now.” However, what we see all too often is that when the first person dies, their surviving partner decides that they never really liked their stepchildren and changes their will to leave all – or more – to their own blood relatives.”
Thomas says if you want your money or an asset to benefit a specific person, you should make sure you give it to that person while you can, or make rigid plans.
“If you want to leave specific items, such as photos, jewelry, furniture, or other family heirlooms, to a specific person, you should include a simple letter with your will with your wishes,” says Thomas. “Write everything down.”
Don’t rely on Old Testaments
You may have written a will that clearly states your wishes. However, if you remarry, all old wills are automatically invalidated and revoked.
Soul-searching: Aretha Franklin’s will sparked a five-year battle
Unless a new will is made after your new marriage, much of the estate will go to your new spouse, regardless of the length of the relationship.
This means that assets can reach unintended recipients.
Ian Dyall, head of estate planning at wealth manager Evelyn Partners, says that whenever something significant happens in your life, such as marriage, divorce or the birth of a child, you should review your will and make sure it still reflects your wishes.
He adds, “It’s not uncommon for people not to realize that their will is no longer enduring.”
A divorce also automatically takes precedence over any wills you have made in the past.
Dyall says, “When a couple divorces, the ex-spouse is treated as if they had died for purposes of the will.”
Plan carefully where complexity reigns
Shona Lowe of investment firm Abrdn says it can pay off to plan ahead, especially for blended families, to avoid unintended inheritance nightmares.
She says, “Whatever your blended family, it’s important that you take the time to create a plan for how your money will be shared.”
“Failure to take proper precautions can result in the money not being passed on the way you want, or in you paying more tax than you need to — or in the beneficiaries ending up getting less than they wanted or expected.”
A dispute over the estate of American soul singer Aretha Franklin between her four children was finally settled in court this month.
The five-year legal battle between the half-siblings over two handwritten versions of the singer’s last wishes ended in the jury’s verdict.
When Franklin died of pancreatic cancer in 2018, it was widely believed she had not prepared a will to split the £4.6million she owned in property, cash, gold records and furs, or her music copyrights.
But nine months after her death, her niece and executor, Sabrina Owens, found two sets of handwritten notes from Franklin disagreeing on what should be left to the star’s four sons.
The newer version, dated March 2014, was discovered inside a spiral notebook wedged under the sofa cushions in the living room.
This will was validated, leaving their three eldest sons an equal division of their music fees and bank funds.
Their youngest son, Kecalf, and his grandchildren will inherit their £928,000 primary home.
How to avoid an inheritance dispute
There are ways to ensure your wealth doesn’t fall into the wrong hands.
Sally Cook of the Weightmans law firm says: “I see many cases where assets are not passed on as intended because a will has not been kept up to date or structured properly.”
She adds that this is possible even when there are competing interests — for example, children from previous relationships and a current spouse or partner.
To make sure the assets benefit your children but also take care of your spouse, one way is to set up a “flexible life interest trust” in your will, she says. This usually allows a surviving spouse to continue living in the home after the death of their partner. With her own death, however, the fortune passes to the children.
“This structure means that the person’s partner can be supported for the rest of their life, but whatever money or possessions they put aside ends up with their children,” she says.
Another option is to create a “discretionary trust” in your will. This allows you to name a number of potential beneficiaries who could benefit from the assets you leave to the trust.
Ian Dyall, head of estate planning at wealth manager Evelyn Partners, says: ‘This gives the flexibility to name as many beneficiaries as you wish, but no one has the power to demand money from them.’
Partners can also draft a joint will to ensure wishes cannot be changed after death.
These are made by two people, usually on the same terms, with the agreement that neither party will alter or revoke either will during their lifetime without the consent of the other or after the first death. But be careful – they can be challenged in court. Because of this, they tend to be used less frequently.
Some links in this article may be affiliate links. If you click on this, we may earn a small commission. This helps us fund This Is Money and keep it free to use. We don’t write articles to promote products. We do not allow any commercial relationship to compromise our editorial independence.