Earlier this week I had the opportunity to participate in OsgoodePD’s Estate Planning and Administration module, which is part of their Intensive Program in Wills & Estates. Over the course of two days, we learned the fundamentals of drafting a will and administering an estate. The course was moderated by Amanda Stacey from Norton Rose Fulbright LLP and featured several estate practitioners, including Marni Pernica (Aird & Berlis LLP), Brittany Sud (Miller Thomson LLP) who provided a summary of the important steps to take when planning a client’s estate, while sharing helpful practice tips on client management.
The first session focused on estate planning and started with the basics of information gathering and how to structure an estate while considering taxation issues. Marni and Brittany discussed the benefits of a graduated rate estate, as it is subject to graduated tax rates on any income it earns for the first 36 months after the testator’s death. This could save the estate a good amount on taxes as any other estate pays tax at the top marginal rate.
The next session focused on drafting a will and Nicole Woodward (Miller Thomson LLP) took us through the different provisions a will should have. As a summary, the following is a high level look at the types of provisions that make up a will:
- Declaration;
- Interpretation provisions;
- Introductory provisions (including appointing an estate trustee, a revocation clause and guardianship of minors);
- Dispositive provisions (including disposition of personal and household effects, loans collected or forgiven and financial support for minor children);
- Trustee powers; and
- Declaration and signatures.
We then took a closer look into when using multiple wills would be beneficial and how to plan so that an individual can have assets pass outside the estate, such as using registered plan designations. An important point that I learned was that even where a life insurance plan or a registered plan has a designated beneficiary, a will can be used to name contingent beneficiaries and can provide details on gift overs and when the beneficiary is entitled to those funds.
The second day of the program provided an overview as to the estate administration process. I particularly found the discussion on a lawyer acting as both counsel for the estate trustee and providing assistance to them in their trustee duties very intriguing. Presenters provided their tips on how to separate the two jobs to ensure that trustee compensation is appropriately applied. One of these tips was to open two files, one for legal services and the other for trustee work and designate the work to whichever file the work fell into. The presenters also provided guidance on how to complete the probate application process and when probate is necessary.
Overall, the program was very helpful and provided a strong knowledge-base of the basics of estate planning and estate administration. I found the practical tips that were shared most valuable as a junior lawyer, especially when presenters said that not everything was about asking legal questions. Practising in this area requires understanding your clients and sometimes that could mean asking difficult and personal questions. The presenters also emphasized the importance of taking diligent notes in such client meetings. And if there is one thing I would say is a key takeaway for any estate lawyer, it is to put everything in writing.
Thank you for reading.