Avoiding disputes in farming families

As a lawyer specialising in contentious inheritance and trust matters, Jennifer Alderman, an Associate at Brachers’ law firm, understands the unique challenges that farmers face when planning for the future. Here, Jennifer shares the typical disputes that arise and how to best avoid them.

Cohabitees

There is a common misconception that it is not possible for a cohabitee to establish an interest in property or land owned by their partner. However, if the non-owning cohabitee contributes financially or otherwise, they could gain an interest in the land by arguing that there is a ‘common intention constructive trust’. In the event of a relationship breakdown, the cohabitee could force a sale and get a share of the sale proceeds.

Marriage

Many people are unaware that marriage usually revokes a Will. An individual might divorce and subsequently make a Will leaving their estate to their children. However, if they remarry, their Will is likely to be automatically revoked. If they do not make a new Will, their estate will pass in accordance with the intestacy rules. Under the current intestacy rules, a spouse receives the first £322,000 and half of the remainder of the estate. The deceased’s children would receive only the remaining half.

Probate and inheritance claims

It is increasingly common for disputes to arise after death, especially if someone does not receive what they were expecting or were promised.  A person may lay claim to an asset that they were promised by relying on the doctrine of proprietary estoppel. They could, alternatively, seek to challenge the validity of the Deceased’s last Will.

There are also certain categories of person e.g. spouse, child or cohabitee of at least two years who may issue a claim for provision from an estate under the Inheritance (Provision for Family and Dependants) Act 1975.

Tips to avoid disputes

1. Cohabitation agreements

Cohabitees may wish to consider entering into a cohabitation agreement by which they can agree how to manage their finances, the terms of occupation and ownership of any solely or jointly owned property. A court will take this into consideration when resolving any disputes.

2. Open discussions

Avoid misunderstandings by having open discussions with family members about your plans for the farm. Ensure that everyone is on the same page and that the necessary legal documents are in place to reflect your wishes.

3. An up-to-date Will

A professionally drafted Will can help avoid disputes among heirs. It is important to outline clearly how you want your assets to be distributed. It is also important to regularly update your Will to reflect changes in your assets and/or family circumstances.

4. Collaboration between professional advisors

It is often helpful for lawyers, accountants and financial advisors to communicate and work with each other. This will help ensure that your legal and tax goals are aligned and that your estate planning is in the best interests of the farm and the family.

5. Taking early advice

If you are worried about potential disputes, seeking legal advice at an early stage can often reduce the likelihood and severity of conflict.

This article was first published in the February 2025 edition of South East Farmer.

This content is correct at time of publication