Cost of living crisis could be leading to a rise in inheritance disputes

The cost of living crisis is considered to have begun in 2021 and, as prices continue to soar, individuals are finding themselves under unprecedented financial strain.

Legal experts at Higgs LLP have started to notice a corresponding rise in contentious probate claims in which families are legally disputing their deceased relatives’ wills in hopes of redistributing certain assets

Data shows a 34% rise in will disputes between 2017 and 2022, with cases reaching UK judges increasing from 145 to 195. Google searches for ‘disputing a will’ have increased by 60% in the past year. This leads to the question of why this is happening. Could the cost of living crisis be to blame?

Craig Ridge, Contentious Probate Lawyer at Higgs LLP explains the process of disputing a will and why the cost of living crisis may have contributed to this increase.

 
 

What is contentious probate?

“Contentious probate relates to the legal disputes regarding the distribution of a deceased person’s Will, trusts and estates, or to put it simply, challenging a Will. These conflicts can often occur if a party perceives mistakes, has issues with Will executors, believes they have been treated unfairly, or have unmet expectations.”

When can a will be contested?

“Wills can be contested on various grounds. One such ground is if there is evidence that the testator lacked mental capacity—for instance, due to dementia, severe learning disabilities, or a mental health condition—that could have affected their decision-making ability. Other grounds for contesting a Will include being financially dependent on the deceased but not being included in the Will, instances of undue influence or coercion affecting the testator’s decisions, or suspicions of forgery or fraud. It is important to recognise that the right to testamentary freedom is highly valued, so a Will generally cannot be challenged simply because its terms are unfavourable to an individual–another significant factor must come into play.”

Why do you think disputes over wills are increasing?

“It’s impossible to put a finger on a singular reason why the number of disputes over wills is increasing. Instead, there are a range of factors to consider. Firstly, the cost of living crisis has made it more difficult to afford houses and assets, leading individuals to rely more on the inheritances of deceased relatives. Secondly, there is heightened awareness about the possibility of contesting wills, partly due to celebrity cases such as Michael Jackson, Jimi Hendrix, and Nina Wang which have made their way into the popular press. Additionally, the rise of TV shows focusing on inheritance conflicts has raised public awareness, prompting more people to consider whether they might be entitled to a larger share of an estate than initially bequeathed.”

What would you advise for individuals struggling to resolve disputes?

“Contesting a will can be extremely difficult for families who are already grieving, and we’d always encourage individuals to resolve disputes outside of the court as it can be a lengthy and emotionally taxing process. However, we recognise that amicable resolutions are not always feasible, and disputes can become passionate, long-winded, and distressing. If an agreement cannot be reached, it is essential for families to seek the assistance of a legal professional, especially one with expertise in mediation and financial dispute resolution.”

 
 

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