Inheritance Act Claims are based upon reasonable financial provision.  Reasonable financial provision is considered according to the following criteria:

For civil partners, former spouses (who have not remarried or formed a new civil partnership), children and dependants it is that of ‘such financial provision as it would be reasonable in all the circumstances of the case for the applicant to receive for their maintenance’ (section 1(2)(b)).

For spouses and civil partners, however, the court has expanded this to “financial provision as it would be reasonable in all the circumstances of the case for a husband or wife to receive, whether or not that provision is required for his or her maintenance” (section 1(2)(a)).

Factors the Court takes into account

In order to make an award the court will consider:

1. The age of the claimant and the duration of the marriage

2. Any contributions made to the welfare of the family, including any contribution made by looking after the home or caring for the family

3. What the claimant might have been reasonably expected to receive if the marriage had been ended by divorce rather than death. This is known as the fictional divorce, or divorce cross check.

The court therefore uses the principle of the 50:50 divorce as a starting point, rather than what they might need for their daily living expenses and housing needs. However, the court has shown a degree of practicality in considering such cases and can be more generous to spouses when the relationship ended in death, rather than divorce, as the court recognises that there is only one person going forward who needs to be maintained. The 50:50 divorce is specified by the court not to be either an upper or lower limit on the value that can be awarded in response to an Inheritance Act Claim.

This does not mean, however, that spouses and civil partners are given a blank cheque at the detriment of the other beneficiaries. The cross check of comparing any award made to that which might have been granted on divorce is simply that, a sense check. The other Section 3 factors must be properly considered and weighed against the financial position and needs of the other beneficiaries and the size of the estate. Whilst the lifestyle the claimant previously enjoyed with the Deceased is relevant, there is no guarantee that this will continue following the Court’s award.  

Conduct

The court also seriously considers the conduct of the parties and the quality of the relationship at the time of death, more so than in normal divorce proceedings. Whilst the court should refrain in making a value judgement on the morality of the conduct of the parties, they inevitably do so, so is room for caution here as scrutinising the relationship of the Deceased and Claimant without cause can bring about adverse costs consequences.

If you require any advice on disputing an estate, if you think you have been left out of a Will or want to bring or defend a 1975 Act Claim please contact Sarah Sharpin by email or on 01494 893510.