Life Interest for Long-Term Partner in Inheritance Dispute

In the recent case of Banfield v Campbell, a long-term partner was awarded a life interest rather than a lump sum in a claim under the Inheritance (Provision for Family and Dependants) Act 1975.

Andrew Banfield lived with the late Sarah Campbell for 20 years. In Mrs Campbell’s Will, she left most of her estate to her only son, James Campbell, and a legacy of £5,000 to Mr Banfield as her "friend" when she made the Will at the start of their relationship. 

However, Mr Banfield, who is disabled, made a claim under the Inheritance (Provision for Family and Dependants) Act 1975, which allows certain people to challenge the provisions of a Will.

The judge ordered Mrs Campbell’s property to be sold for at least £725,000 and for Mr Banfield to be granted a life interest in one half of the proceeds of the sale. The proceeds were to be invested in a property for Mr Banfield and would eventually pass back to Mr Campbell on Mr Banfield's death. 

The judge considered that a life interest is more likely to be appropriate where the couple do not have children together but do have children from a previous relationship. This approach, rather than awarding a lump sum, would prevent money passing, for example, to the family of Mr Banfield rather than to the family of Mrs Campbell on Mr Banfield’s death.

It is important to update your Will to reflect changing personal circumstances, such as a new or changed relationship or if there are specific items you wish to leave in your Will, to ensure your estate is divided according to your wishes.