The following options are available to the testator and heirs:
- Redistribution agreement – the heirs can enter into an agreement whereby the land is registered in the name of one heir and the value of the one-half share is paid to the other heir. Both heirs must therefore inherit/benefit equally; or
- The land can be sold to a third party; or
- The heirs can create a company/trust whereby the heirs become shareholders/trustees and the entire farm is to be transferred to the said company/trust. The heirs can therefore work together as co-shareholders or co-trustees even though they may not own portions of the farm in their individual capacity.
It is therefore important to make use of a fiduciary specialist when drafting your last will and testament.
This article is a general information sheet and should not be used or relied on as legal or other professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your legal adviser for specific and detailed advice. Errors and omissions excepted (E&OE)