Effective Succession Planning for Cottages and Investment Properties
Despite the obvious benefits of owning a cottage or investment property, there are numerous issues that can arise when they are transferred. For example: Which children, if any, are interested in future ownership? Which one(s) do you want to transfer it to? What are the tax and probate fee implications to transferring the property now or on death? Does each child have the resources to maintain the property? Do you need to sell the property to maintain your lifestyle until death or can you keep it for transfer after you die? Can children/spouses/grandchildren jointly own the property? Will...
Read MoreDue Diligence Can Prevent Estate Litigation
Poor choices made by financial planners in connecting their clients to wills and estate lawyers can, and often do, result in lengthy and expensive estate litigation. Solicitor negligence is not something that people like to talk about, but it can be a problem, said Markham-based Andrea Kelly, barrister and solicitor, speaking at the CIFPs’ 9th Annual National Conference, in Ottawa. “One of the reasons why it’s happening, unfortunately, is because people who have an expertise in other areas of law are actually dabbling in wills and estates,” said Kelly, who specializes...
Read MorePreparing for Joint Home Ownership
An increasing number of people are entering the housing market by buying jointly with a friend or relative. Families are also buying cottages or rental properties together. For many, it enables them to enter the market while prices are high and decreases the individual risk and day-to-day responsibility of such an investment. However, as has been often said, it’s dangerous to mix business with pleasure. Many co-owners don’t consider and plan for the possible curves that life can throw, such as a co-owner: dying; getting married; transferring out-of-province; losing their job such...
Read MoreConflict Over Laying a Loved One to Rest
From time to time, family relationships are strained, if not destroyed, over how a deceased loved one is to be laid to rest. Where family members cannot come to agreement, the law indicates how this emotionally charged question will be resolved. In Canada, the Estate Trustee (Executor) has the right to possess and dispose of a deceased’s remains, including the place and manner of disposal. The Estate Trustee is not obligated to follow the wishes expressed by the deceased while alive or in their will or memorandum. They also have a duty to: ensure that the deceased’s burial...
Read MoreWhat If I Default On My Mortgage?
When you stop making regular mortgage payments to your lender, several events will inevitably happen. You will be assessed fees for late payments, your mortgage will fall into default, your credit rating will fall as the late or missed payments are reported to the credit bureaus and other lenders will be more hesitant to lend to you when you have a history of not making your mortgage payments on time. Ultimately, defaulting puts you in danger of losing your home. In Ontario, the method most commonly used by lenders to enforce mortgages is a Power of Sale process. It grants the lender the...
Read MoreLiving Wills: Communicating Your Health Care Wishes
A “living will” is an expression used to describe a document containing a person’s medical care wishes should they become unable to communicate them due to incapacity. A living will clause is often contained in a Power of Attorney for Personal Care (POA PC) as the attorney must have regard to treatment wishes they are aware of. A POA PC is not the same as a living will. Instead, it is a legal document in which one appoints one or more individuals to make personal care decisions for you, such as housing and health care, should you become incapacitated. An example of a living...
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Andrea P. Kelly is a legal practitioner and notary public, called to the Ontario Bar in 2001, with practice focus in Estate Planning and Administration, including wills, estates, trusts and powers of attorney. She also practices Real Estate.
Prior to opening her law firm, she worked in various capacities including litigation support lawyer for the Ministry of Attorney General regarding complex commercial litigation, private practice in corporate/commercial law and numerous legal research and writing positions.