why hire a lawyer to handle your estate in canada

Let's take a closer look at the top 10 reasons to hire a probate lawyer in Canada. 1. Avoid Any Conflict Probating an estate without the assistance of a probate lawyer can increase the probability of conflict within the family.

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Why hire a probate lawyer in Canada?

Let's take a closer look at the top 10 reasons to hire a probate lawyer in Canada. 1. Avoid Any Conflict Probating an estate without the assistance of a probate lawyer can increase the probability of conflict within the family. As a report for CBC warns, there is always a risk of tension between family members with any transfer of wealth.

What can an estate lawyer do for You?

In terms of estate administration, Goddard & Gammage’s Miller says an estate lawyer can help guide an estate trustee throughout the administration process to ensure they understand and fulfill their legal duties and obligations.

Why should you hire a real estate lawyer?

While hiring a real estate lawyer comes with upfront costs, the work they do will ultimately benefit you in the long term. The work they do helps property owners, or those who want to be property owners, avoid additional unnecessary expenses, along with any potential legal trouble down the line.

Do you need an estate lawyer to challenge a will?

And if you choose to challenge a will, you need a lawyer who understands the law surrounding estate law and is in your corner. So here is a primer on what estate lawyers do and why you may need one. Read more: Now's the time for estate professionals to visit — and revisit — the fundamentals What is an estate lawyer?

What does an estate lawyer do Canada?

An estate lawyer can represent beneficiaries of an estate in advancing their interests and ensuring the estate is administered properly. An estate lawyer can assist a spouse, child or other financial dependent in bringing a claim against an estate if they have not been sufficiently provided for.

Do you need a lawyer to settle an estate in Canada?

When settling an estate, you should consult a legal advisor to answer any questions or concerns you may have. You may also want to ask your financial institution if it has any information available to help you settle the estate.

What does a probate lawyer do in Canada?

Probate lawyers often help clients to manage estate planning. Clients with more complex estate may want to place the asset into a trust to avoid federal estate tax or some other types of tax. Probate or estate lawyer has a vast knowledge regarding trusts and wills.

How much does it cost to settle an estate in Canada?

Probate fees – Vary from province to province and are based on the value of the estate, from as low as $525 in Alberta to as high as $16,258 in Nova Scotia, to settle a one million dollar estate. Executor fees – Typically between 2.5% and 5.0% of the estate value.

Who gets paid first from an estate in Canada?

The Canada Revenue Agency (CRA) has priority to estate assets for any amounts owed to it over the reasonable funeral expenses charged by a funeral home for their services to the deceased. This priority becomes important when a personal representative (executor or administrator) is dealing with an insolvent estate.

How long does an executor have to settle an estate Canada?

one yearIf the executor has obtained a grant of probate, the executor is generally allowed one year to gather in the assets and settle the affairs of the estate. This is called the executor's year. During this time the executor cannot be compelled to pay cash gifts described in the will.

Can a bank release funds without probate?

Banks will usually release money up to a certain amount without requiring a Grant of Probate, but each financial institution has its own limit that determines whether or not Probate is needed. You'll need to add up the total amount held in the deceased's accounts for each bank.

Can you empty a house before probate?

That answer is simple: no. The executor will have to wait until the probate process is over before disposing of assets.

Is probate necessary if there is a will?

If you are named in someone's will as an executor, you may have to apply for probate. This is a legal document which gives you the authority to share out the estate of the person who has died according to the instructions in the will. You do not always need probate to be able to deal with the estate.

How much should an executor be paid in Canada?

5%Generally, an estate executor in Ontario gets paid 5% of the estate's value. So if an estate was valued at $250,000, then the estate executor would receive $12,500. The remaining 2.5% represents all revenue receipts and disbursements. However, this percentage isn't set in stone.

Can an executor claim expenses from the estate?

If you want to claim back expenses from the Estate, they have to be reasonable. An Executor or Administrator of an Estate has to act in the best interests of the beneficiaries named in the Will. If they claim more money from the Estate in expenses then less money goes to the beneficiaries.

Is there a time limit to settle an estate?

Starting from the date of death, the executors have 12 months before they have to start distributing the estate. This allows time to gather information on the estate and check for potential claims. The executors have no obligation to distribute the estate before the end of the year.

What is required when probating an estate?

When probating an estate, the court requires certain legal documents to be completed and submitted. These legal documents require specific information that has to be set out in a particular way. If any mistakes are made in this process, this could cause the court to reject the estate.

Do executors have to leave themselves?

As the executor, you don't have to leave yourself with all of the responsibility of probating the estate. There are many legal pitfalls that you can into that can result in litigation against you.

Can the executor of a will access the estate?

You might be surprised to find out that the executor of the will doesn't get access to the estate straight away. This is only achieved after the probating of the estate.

Why is it better to have a will and/or estate plan?

To lessen the chance of someone contesting your estate, it is better to have a Will and/or estate plan that spells out exactly how you want your assets to be distributed, which could include why you have chosen to disinherit certain relatives .

What happens if you don't have a will?

If you die intestate or have a Will but it is not recognized as being legally valid, there is an increased risk that certain relatives can challenge (“contest”) your will.

What documents are included in an estate plan?

An estate plan may include such documents like a Will, trust, Representation Agreement (also known as a living will) and Powers of Attorney. These documents direct how your assets and liabilities are to be handled after your death.

What is the purpose of a legal document when someone dies?

Having a legal document in place that directs where your assets go and who will take care of your children in the event of your death could save a lot of time, trouble and cost down the road for loved ones.

Can you die without a will?

Should you die without a Will (which is also known as dying “intestate”) – or even if you have a Will in place but it is deemed to be “invalid” because it does not meet the legal requirements of the courts – several actions could be taken, depending on your circumstances.

Do you have to probate a will?

Depending on various factors such as the simplicity of the estate, the character value of the assets and the number of dependents, your Will may not have to be probated. Most estates, though whether by choice or circumstance, end up being probated.

Knowing what you want from your Estate Lawyer

As with every other major part of "life planning", not all advisors are created equal nor serve the same purpose, so you should know what it is you want from your estate lawyer before you start the search to be matched with the right one.

Why do you need an Estate Lawyer?

These are lawyers that are specifically trained in the type of law that governs how your legacy will be handled after your death. They can also be instructed should you be entering into an unfortunate period of illness or deteriorating mental health and need a solid plan for your family or friends.

When will you need one?

In truth, you probably will only be thinking about instructing a lawyer of this nature later on in life, but as soon as you start accumulating any resources or when you start a family is a good time to find one.

So what does an Estate Lawyer do?

These lawyers are also known as "probate" lawyers and are specially trained in dealing with the drafting of living trusts, offer advice on estate taxes and also ensure that your assets can't be attached by your beneficiaries' creditors posthumously or nefariously.

What about living trusts?

Also knows as "revocable living trusts", these are specific instructions that govern the use of your assets either while you're still alive, should you become ill, or mentally unstable, or in the unfortunate event of your passing. These instructions are "revocable" pending your recovery from illness but become irrevocable upon your death.

Money Matters (yours and your lawyers)

Your lawyer should always be 100% upfront and transparent about what you're going to be paying them, over which period, and if there is a demand on your estate for any legal fees when you're no longer here.

Does your lawyer handle medical matters?

Have you ever given thought to what you want to happen to you if you're unable to make medical decisions that relate to things like organ donation, whether your not you want to be kept on life support or for what period and who is allowed to make those decisions in your stead?

What does a real estate lawyer do?

Real estate lawyers typically review all the legal documents and issues related to a transaction. This includes looking at a legal review of the Agreement of Purchase or Agreement of Sale. They ensure property taxes are up-to-date, and that there are no claims or liens registered or on file against the property.

What happens to a joint tenant when one of the owners dies?

One type is joint tenancy with rights of survivorship – so when one of the owner dies, that ownership share passes on to the surviving joint tenant. As such, it does not go through the estate of the deceased owner, and as a result probate fees won’t be due on the property as part of settling the estate.

Can you close a real estate transaction with a lawyer?

The answer is a resounding yes. Historically, closing a real estate transaction would involve lawyers attending at a Land Registry Office to conduct title searches. On the day of completion, lawyers from both parties would meet at the LRO to exchange documents and keys and register the transfer.

Is buying a house a big decision?

Buying a house is a big decision and is likely the most expensive purchase most people will make in their lives. So, it makes sense to get some legal guidance from an expert in real estate law. Even in more sophisticated commercial real estate transactions, a real estate lawyer with a strong practice is vital to the process ...

Is a real estate agent an independent contractor?

While a real estate agent can be a great asset and know a lot by having studied for and passed their real estate licensing exam, remember that they are independent contractors who stand to benefit from whenever real property is bought or sold, whatever the price or conditions.

Why hire a professional executor?

Another reason to hire a professional: a history of familial conflict. In such situations, a professional executor can function as a referee for siblings, spouses or other family members who may be apprehensive of another family member acting as executor.

Can an out of state executor be a non-resident?

Appointing an out-of-province executor is often impractical and, if the executor comes from abroad, can expose the estate to non-resident tax. You may even need to post a bond for someone outside the country.