Legal documents are often prepared once and then forgotten. A person may make a will, sign a lease, buy property, start a business or appoint an attorney, then assume everything is settled. In reality, legal arrangements need to be reviewed as life changes. Documents that were suitable five or ten years ago may no longer reflect a person’s assets, family circumstances, business interests or intentions.
One of the most important examples is estate planning. A will is useful, but it is not the whole plan. Families may also need to consider superannuation, jointly owned property, trusts, companies, business interests and decision-making arrangements during life. A person who loses capacity may need someone trusted to deal with financial and personal matters. Hanlons has published a practical guide to powers of attorney in Victoria, explaining why these documents matter as part of broader estate planning.
Property ownership is another area where planning can make a major difference. A home, investment property or commercial premises may be owned in different ways, and each structure can have different consequences. Joint ownership, tenants in common, company ownership and trust arrangements may all affect what happens after death or during a family dispute. Executors may also need to deal with title documents, valuations, insurance, contracts and settlement arrangements.
For families dealing with a deceased estate, the legal process can be difficult if documents and records are unclear. An executor may need to identify assets, apply for probate, pay debts, communicate with beneficiaries and distribute the estate. Hanlons’ guide to probate in Victoria for executors explains some of the practical issues that can arise when administering an estate.
Business owners should also review their documents regularly. A lease, shareholders agreement, trust deed, company constitution, loan document or guarantee may become important if the owner dies, loses capacity or wants to sell the business. Commercial premises can be especially important. Before signing or renewing a lease, tenants and landlords should understand rent, options, outgoings, repair obligations, guarantees and assignment provisions. Hanlons’ article on commercial leases in Victoria outlines common issues that should be reviewed.
The best time to address these matters is before a problem arises. Legal planning cannot remove every risk, but it can reduce uncertainty and make future decisions easier for families, executors, business partners and property owners.
This article is general information only and is not legal advice. Legal advice should be obtained for individual circumstances.