Avoiding post-death business disputes

disputeRecently published figures state the number of people making claims to the estates of deceased relatives or partners have risen by 38% over 12 months. Such claims are extremely distressing for the families concerned. The legal costs are usually paid out of the disputed estate, seriously depleting the amount available for division between claimants.

How can a business owner avoid such disputes affecting his family after his death or if he becomes incapable?
Firstly, by making a lasting power of attorney and a professionally drafted will.
Secondly, by leaving a written explanation of any provision in the will which might give rise to a claim, for example giving reasons for omitting a gift to a child or spouse.
Thirdly, by ensuring that someone reliable knows of the whereabouts of the lasting power of attorney and the will, which can otherwise be hard to locate.
And fourthly, by entering into a Cross Option Agreement with business partners and shareholders. A Cross Option Agreement involves each business owner obtaining life insurance cover, and (if required) long-term incapacity cover. Each policy is written in favour of the surviving business owners, who use the proceeds to buy back from his family the company shares or business interest of the deceased (or incapable) business owner.
A business owner who plans carefully for when he is no longer in charge can give his or her family the priceless gift of security and peace of mind.
If you would like some good legal advice, contact Angela Davies or visit her website at: www.amdavies.co.uk