It is important that beneficiaries are clearly identified in Wills to avoid any potential disputes.
The recently reported case of the estate of Peter Henry Wales highlights the need to ensure that Wills clearly identify not only those that are intended to benefit but that the definitions used clearly exclude those who are not!
The case of Mr Peter Wales’ beneficiaries
In this particular instance Mr Wales had been widowed. He wished to leave his estate to “…such all of my nephews and nieces’ children…”
At the time of his death Mr Wales had two nephews and nieces (related to him by blood). However he also had three nephews and a niece by marriage (the nephews and niece of his late wife).
It fell therefore to be decided as to whether Mr Wales intended only that his estate be divided between the children of his own nephews and nieces or whether he intended that the children of the nephews and niece of his late wife should also be included.
The Court referred to previous cases which found that the strict and proper meaning of the term “nephew” and “niece” mean the “son or daughter of a brother or sister”. In other words, those related to the deceased by blood. However, it was accepted that in some circumstances and in certain contexts, the definition could be extended.
In this particular case, the Court felt that it was appropriate in the context and circumstances that existed to accept that the deceased did not intend to limit the definition to the children of his own nephews and nieces but to also include those of his late wife.
The reasoning behind the Court’s decision
The Court gave a number of reasons why it reached that decision including the following:
- The fact that the deceased and his wife had been married for well over forty years;
- The deceased and his wife had made previous Wills where each had left their estate to the nephews and nieces from both sides of the family;
- That there was no other extrinsic evidence indicating that the deceased might have wanted to exclude his late wife’s family from the beneficiaries; and
- The deceased continued to have contact with his late wife’s family after her death.
Therefore in this particular case, the Court felt that it was appropriate to include the children of the wife’s nephews and niece as beneficiaries. However, similar wording in another Will and in a different context might lead to a different conclusion.
The importance of taking professional advice
The case clearly highlights the need for professional advice to be taken when preparing Wills and to ensure that the Wills not only clearly identify those that the testator intends to benefit but also excludes those that he or she does not wish to benefit.
There have been many reported cases over the years where the use of words such as these have led to doubt as to who the person making the Will intended to benefit.
Our Private Client team carry out a detailed fact find to help ensure that such ambiguities do not arise.