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Assets are instruments or entities upon which one can enforce ownership rights and from which benefits must be derived by holding or using them over a period of time. It can include both physical entities, such as land and vehicles, and intangible assets such as patents and copyrights.
When these assets are to be transferred, distributed, protected and structured during estate and succession planning, the lawyers need to identify all the assets. A comprehensive plan is made taking into account the taxation creditor claims and insolvency. So, how do you ensure asset protection, and how can a lawyer help? Here’s a quick guide:
Under the Administration Act 1903 (WA), if a person dies without a valid will, the state law will decide the sequence of inheritance, which may not comply with your wishes. If any member of your family is connected to you, whether by marriage, biological or parental relationship, and they feel they are not adequately provided for, they can contest for your inheritance. This leads to disputes and complex maneuvering of all your assets, reducing their value.
To reduce such contestability and provide ongoing protection for your minor beneficiaries, the assistance of estate planning lawyers in Perth is required. If the individual owns corporate shares or operates a business, ensuring a smooth directorship transfer and a shareholder’s agreement can prevent your family from losing control of business assets.
The lawyer’s primary role in succession planning Perth is to identify what constitutes the client’s assets to draft the legal form of ownership. The following types of assets, which are recognised under various laws, are stated below:
It is governed under the Transfer of Land Act 1983 and deals with ownership of estates, lease agreements and mortgages. The best estate planning lawyers handle caveats and every form of transaction involving the land owned by the testator.
Vehicles, jewellery, and artwork purchased in your name can be transferred under the Wills Act 1970. A clear clause should be written stating the details of the property and the name of the beneficiary who is supposed to get it.
In the succession planning process, a company is a separate legal entity, and its assets remain protected from personal estates and creditors. Under the Corporations Act 2001, the right of the board to exercise powers is preserved if its director becomes incapacitated until a new successor is selected. If one co-owns business shares of a company, they are also transferable by adhering to the buy-sell agreements.
The creation of trust is ruled by the Trustees Act 1962, which centralises all investments and shields them from creditors and bankruptcy. It ensures the smooth distribution of business assets with minimum tax imposition. This protects the interests of minor beneficiaries such as children who are under 18 years of age according to the Guardianship and Administration Act 1990.
Cryptocurrency, Online accounts, and intellectual property are protected under the Copyright Act 1968, and a digital asset register should be created that includes a password and instructions to access the platform. Then, a digital executor is assigned under a will clause to manage the assets among beneficiaries carefully.
It is a retirement savings system in which individuals contribute to a super fund to obtain a steady income from it after retirement. They provide a death benefit where the account balance and any life insurance attached to the fund are given to your directed beneficiary under a Binding Death Benefit Nomination (BDBN).
After navigating the various forms of assets and classifying them under the Law, the estate planning lawyers Perth WA assist the executor to draft an enforceable will with clear clauses. After the death of the testator, they move into the administration phase governed by the Administration Act 1903.
They will align insurance policies with the estate plan and prevent unauthorised claims to any property before the Court renders a judgment on the matter. They minimise the death benefit tax by directing funds to your estate, where a testamentary Trust created under your will manages it.
The succession and estate planning lawyers will also proceed to work alongside the executor in filing a probate, which is an official recognition that a will is valid to the Supreme Court of WA.
Planning of succession is an effective method to ensure your intentions are followed after your death. Through the entire process, you can ensure your business assets are protected, maintaining family harmony and transferring ownership to a capable individual under your preference. To draft a will that covers all your asset distribution efficiently, you will need estate planning lawyers in Perth, WA.