Summary of Reforms and Background
3.The Act amends the law of succession in England and Wales where a person disclaims (that is rejects) an inheritance or is disqualified from receiving an inheritance by reason of the forfeiture rule. The rule is defined in section 1 of the Forfeiture Act 1982 as meaning the rule of public policy which in certain circumstances precludes a person who has unlawfully killed another, or unlawfully aided, abetted, counselled or procured the death of that other, from acquiring a benefit in consequence of the killing. It will also address the anomalous situation under the present law by which the children of a minor, who is entitled to inherit an interest in the estate of an intestate but who dies unmarried and without entering a civil partnership before the age of 18, are unable to inherit their parent’s interest in that estate.
4.The Act gives effect, with modifications, to the recommendations set out in the Law Commission’s 2005 report "The Forfeiture Rule and the Law of Succession" (Law Com No 295). The subject of forfeiture and succession was referred to the Law Commission following the case of Re DWS (deceased) [2001] Ch 568 (CA). Briefly, the facts were that a person (P) killed both his parents, neither of whom left a will. The court had to decide who was entitled to inherit P’s father’s estate under the intestacy rules specified in sections 46 and 47 of the Administration of Estates Act 1925 ("the 1925 Act"). P was not allowed to inherit because of the forfeiture rule. However, P’s child, the grandchild of P’s victims, could not inherit in place of P under the intestacy rules because P was still alive. Instead, the victim’s estate passed to his late sister’s estate. The Commission considered that this outcome was unfair and noted that similar problems arose where a killer forfeited an inheritance under a will.
5.The Law Commission also noted similar problems where a person disclaimed an inheritance under a will or on intestacy. For example, where on an intestacy the person who disclaims is the only child of the deceased, the inheritance will by-pass the child’s descendants because grandchildren may only inherit from their grandparent if their parent dies before the grandparent. The inheritance passes instead to the deceased’s other blood relatives.
6.The Law Commission also recommended reform of the anomalous situation involving the children of a deceased minor described in paragraph 3 following comments made in response to the Commission’s 2003 consultation paper "The Forfeiture Rule and the Law of Succession" (Consultation Paper No 172).