Cases – Intestate Succession Act
Case
When Andy married Sharon, he owned an apartment (worth $600,000 that he bought with $100,000 contributed by his father). Sharon, also owned a house 60% tenancy-in-common with her brother (worth $900,000 inherited from her parents). Andy is a single child with both surviving parents, while Sharon’s parents passed away and has a younger brother. One year after marriage, they had a daughter Chox, whom Andy’s parents got an investment policy of $100,000 for under the couple’s name.
The young family of Andy, Sharon and Chox were involved in an accident. Andy and baby Chox died on the spot immediately. Sharon died five hours later in the hospital. Andy and Sharon did not have a will.
Under Intestate Succession Act, in event where the time of death cannot be determined, the older person is assumed to die first. Andy’s apartment passed to Sharon and Chox. When Chox died, the apartment and investment fund passed to Sharon. When Sharon died, Andy’s apartment and Sharon’s apartment plus all other assets/cash belonging to Andy and Sharon went to Sharon’s brother. Andy’s parents received nothing.
If Sharon had died on the spot, Susie had died few hours later and Andy had died the next day, everything would have gone to Andy’s parents; Sharon’s brother will have received nothing of the sister’s portion of his inherited house.
Case
Andy passed away within 2 days of an aneurysm rupture. Andy did not leave a will.
His wife, Sharon had to go through all his documents to determine whether he had left a will and then to piece together what were the assets and liabilities of his estate. She took a year to get the letters of administration for Andy’s estate.
Under the Interstate Succession Act, she inherited half the estate. The other half went to her two children who were one and three years old. The law required another adult to be appointed as a co-administrator to hold the children’s property in trust until they were 21 years old. At first, her brother-in-law was appointed. When he declined, Sharon had to persuade a mother-in-law to become the co-administrator.
If Andy had left a Will, Sharon would have been able to access Andy’s assets quicker and obtain the much needed money for her household and children’s expenses.
