THE PROPERTY (RELATIONSHIPS) ACT 1976 ("THE ACT")
The Act applies to all marriages, civil unions and de facto relationships. The Act deals with the division of property upon the end of a relationship whether that be through death or separation.
Under the Act property is divided into two categories:
It is estimated that 60,000 New Zealanders are afflicted by dementia. However, in the next 35 years it is projected this is going to increase threefold to more than 150,000. One of the issues that arises when somebody is diagnosed as being incapacitated, whether by dementia or otherwise, is “who has control over their property affairs?” There are two choices of formal arrangements which are provided for by law. These are:
It is common for those in retirement years to find themselves asset rich but cash poor. This problem is highlighted when the unexpected large bill arrives and funds must be found. There are a number of options available for accessing funds but each must be considered in light of the particular circumstances.
For example, a couple, Mr and Mrs Brown, have been married for 50 years, and have three adult children. They are living in their own home which has a value of $550,000 and is mortgage free. They have just discovered they have to repair the roof which will cost $30,000. They have no cash reserves to fund this repair. What can they do?
Published in Inside Tourism, Issue 1002, 4 November 2014
We are often asked to explain the concept of a "trading trust" and its advantages and disadvantages for operating a business.
Essentially, a trading trust is a business operated by a company in its capacity as a trustee. The trustee company is operating the business for the benefit of the discretionary beneficiaries of the trust.
One of the key decisions to be made when writing your will is who to appoint as executor. This choice is very important as it has ramifications for your beneficiaries and for the successful carrying out of your wishes under your will.
In short, the executor is your personal representative on your death, responsible for disposing of your body; proving the will and obtaining authority to administer your estate; paying your debts and distributing the estate. The effect of executorship is to grant the executor legal title to all your assets from the moment of death.
A recent Court of Appeal case has highlighted and reaffirmed three aspects of trusteeship:
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