New Tailored Wills The Blended Family

A blended family, comprised of a couple with children from previous marriages, approached us seeking guidance on structuring their wills. John and Emily each had two children from a previous marriage. The primary concern was how to provide for their current partner while ensuring their own children would not be disadvantaged in the inheritance process.

The couple faced the challenge of striking a balance between providing financial security for each other and safeguarding the inheritance rights of their respective children. Traditional will structures might have unintentionally led to conflicts or inequalities or even disinheritance among the children if not carefully planned.

After a thorough consultation, we recommended the implementation of a Life Interest Trust over their property (otherwise referred to as a Property Protection Trust (“PPT), a commonly used trust arrangement in wills for modern families. The Life Interest Trust allows an individual (the life tenant) to benefit from an asset during their lifetime, while ensuring that on their death, the share of the asset passes to predetermined beneficiaries, in this case, their respective children.

The trust structure allows both partners to retain control over the ultimate distribution of their assets and provides ongoing security for the surviving partner, ensuring they have access to the income or use of the assets during their lifetime.

Implementing a Life Interest Trust proved to be a win-win solution for our blended family clients. It provided the necessary financial security for the surviving partner while also safeguarding the interests of their respective children.