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Supreme Court settles family dispute over inheritance of farm

The Supreme Court has settled a long-running dispute between a farmer and his son over the inheritance of the family farm.

David Guest promised his son Andrew that he would inherit a portion of the farm on his parents’ death.

Andrew was a teenager at the time and, in reliance on that promise, he worked on the farm for most of his life for token wages.

A family dispute arose, which resulted in Andrew being disinherited.

He took legal action to assert his right to inherit, based on the promise that had been made to him and because he had upheld his side of the bargain by working for low wages.

The case lasted several years and has now been finally settled in the Supreme Court.

It held that the appropriate solution would be an award to the son of his expected inheritance by means of a reversionary interest under a trust of the farm, with his parents having a life interest in the meantime. 

This would mean that the parents would retain the farm, but it would revert to Andrew on their death.

The court recognised that this could cause personal problems if the relationship between father and son had broken down irretrievably.

If therefore offered an alternative remedy whereby, if the parents preferred, an immediate monetary payment could be paid to Andrew, which would be discounted to allow for his accelerated receipt of his inheritance during the life of his parents, which he would not have expected.

If the parents chose the second option and the two sides could not agree a compensatory sum, the issue could be remitted back to a judge of the Chancery Division for determination.

Case citation: Guest v Guest  Supreme Court [2022] UKSC 27 Lord Briggs, Lady Arden, Lord Leggatt, Lord Stephens and Lady Rose 

If you would like more information or advice about the issues raised in this article, or any aspect of family law please contact our expert legal team on 02080040065, by email at hello@southgate.co.uk or using the form below.

The contents of this article are general information only. The information in this article is not legal or professional advice. The law may have changed since this article was published. Readers should not act on the basis of the information included and should obtain independent expert advice from qualified solicitors such as those within our firm.

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