Advancement (inheritance)
Encyclopedia
Advancement is a common law
doctrine of intestate succession
that presumes that gifts
given to a person's heir during that person's life are intended as an advance on what that heir would inherit upon the death of the parent. For example, suppose person P had two children, A and B. Suppose also that P had $100,000, and gave $20,000 to child A before P's death, leaving $80,000 in P's estate. If P died without a will, and A and B were P's only heirs, A and B would be entitled to split P's estate evenly. If the doctrine of advancement were not applied, then each child would receive half of the remaining $80,000, or $40,000. However, if the doctrine of advancement is applied, then the $20,000 already given to A would be considered part of P's estate advanced to A. Thus, the estate would still be valued at $100,000, and each heir would be entitled to $50,000, with the $20,000 already given to A being counted as part of his share. Of the remaining $80,000, A would take $30,000 and B would take $50,000.
A number of jurisdiction
s have enacted statutes which ameliorate the doctrine of advancement by requiring, for example, that the person giving the gift must indicate in writing that it is intended to be counted as an advancement against the estate. The Uniform Probate Code
, which has been adopted in whole or in part by a number of states, limits the doctrine by requiring a writing from either the deceased or the recipient of the property indicating that the property was intended to be treated as an advance upon the estate.
Where a valid will exists, gifts made during lifetime are analyzed under a different doctrine, that of satisfaction of legacies
.
Common law
Common law is law developed by judges through decisions of courts and similar tribunals rather than through legislative statutes or executive branch action...
doctrine of intestate succession
Intestacy
Intestacy is the condition of the estate of a person who dies owning property greater than the sum of their enforceable debts and funeral expenses without having made a valid will or other binding declaration; alternatively where such a will or declaration has been made, but only applies to part of...
that presumes that gifts
Gift (law)
A gift, in the law of property, is the voluntary transfer of property from one person to another without full valuable consideration...
given to a person's heir during that person's life are intended as an advance on what that heir would inherit upon the death of the parent. For example, suppose person P had two children, A and B. Suppose also that P had $100,000, and gave $20,000 to child A before P's death, leaving $80,000 in P's estate. If P died without a will, and A and B were P's only heirs, A and B would be entitled to split P's estate evenly. If the doctrine of advancement were not applied, then each child would receive half of the remaining $80,000, or $40,000. However, if the doctrine of advancement is applied, then the $20,000 already given to A would be considered part of P's estate advanced to A. Thus, the estate would still be valued at $100,000, and each heir would be entitled to $50,000, with the $20,000 already given to A being counted as part of his share. Of the remaining $80,000, A would take $30,000 and B would take $50,000.
A number of jurisdiction
Jurisdiction
Jurisdiction is the practical authority granted to a formally constituted legal body or to a political leader to deal with and make pronouncements on legal matters and, by implication, to administer justice within a defined area of responsibility...
s have enacted statutes which ameliorate the doctrine of advancement by requiring, for example, that the person giving the gift must indicate in writing that it is intended to be counted as an advancement against the estate. The Uniform Probate Code
Uniform Probate Code
The Uniform Probate Code is a uniform act drafted by National Conference of Commissioners on Uniform State Laws governing inheritance and the decedents' estates in the United States...
, which has been adopted in whole or in part by a number of states, limits the doctrine by requiring a writing from either the deceased or the recipient of the property indicating that the property was intended to be treated as an advance upon the estate.
Where a valid will exists, gifts made during lifetime are analyzed under a different doctrine, that of satisfaction of legacies
Satisfaction of legacies
Satisfaction of legacies is a common law doctrine that affects the disposition of property under a will. Under the doctrine, any gift that the maker of the will gives during his lifetime to a named beneficiary of the will is presumptively treated as a satisfaction of that beneficiary's inheritance...
.