If you have separated or are contemplating separation and you have just received an inheritance or know that you will receive an inheritance, then how does this affect you?
The timing of the inheritance is a crucial in determining whether the inheritance will form part of the property of the separating parties or whether it will be classified as a financial resource.
Generally speaking where an inheritance is received post separation, that is ,once the parties have separated and where the non-receiving party of the inheritance has made no contribution to the deceased’s estate and made no contribution to the welfare of the deceased then in those circumstances it may be the case that the inheritance is excluded from the property of the parties.
The inheritance will be considered as part of the considerations that are made when determining how assets will be distributed between the separating parties and will be taken into account even though it is not included in the property pool of the parties.
In the alternative if the inheritance has been received during the course of the marriage and has been used to acquire and preserve assets of the relationship, then this may be included and will not be returned or calculated in dollar for dollar terms. What will occur is that the party who inherited the money will receive a greater recognition when it comes to assessing contributions and making final property adjustments.
The information provided here is general in nature and cannot be relied upon in specific inheritance and family law matters. Should you require advice then contact Cominos Family Lawyers.