August 2005 Que

AUGUST 20005

LEGAL PRACTITIONER'S EXAMINATION. TIME 90 MINUTES Use your own facts where necessary.

QUESTION 1

MARKS 100 [25]

As Peter Parker was very ill in hospital, his wife Anne wrote out a joint will for themselves. In terms of this will, the survivor was to inherit ½ of the estate and the balance to their children/step children Brian Daisy, Edna and John As peter was too weak to sign, he “signed” with a mark. Freddy Watson, who is a Commissioner of Oaths, added the normal certificate to the will but as there was no space after the testator’s signature, he wrote his certificate in the margin. The will was witnessed by Stephan Jones and Sally Smith. Peter left the following family His wife Anne to whom he was married out of community of property, His daughter Daisy married in community of property to Martin Jones His daughter Edna married out of community of property to Freddy Watson His stepson John son of his wife from a prior marriage His minor grand son Harry child of predeceased child Brian His adopted minor grand son Ian adopted son of Brian Draw up the Distribution account of Peter’s estate if the balance for distribution amounted to $1 200 000.00 QUESTION 2

[26]

In terms of the will of Peter Smith, he bequeathed his fixed property to his son Robert and the balance ½ to his wife Susan ,1/3 to his daughter Tanja and the balance to his son Robert. The following income and expenditure after death is included in the estate Rental collected from the fixed property $12 000 Dividends on shares $5 500 Interest on fixed deposit $7 800 Interest on savings account $700 Rates and Taxes on the Fixed property $2 500 Interest on bank overdraft after death $1 500 Prepare the Income Account taking into account the requirements of Regulation 5. QUESTION 3

[16]

Peter Smith died intestate.. He was survived by his wife Anne, to whom he was married in community of property, his daughter, Mary Adams, Joan daughter of predeceased son Peter and John, Minor son of Peter The assets of his estate consist of the following: Farm valued at Movable assets: Motor vehicles Furniture Investments and bank accounts The liabilities amounted to

$ 450 000.00 80 000.00 40 000.00 262 000.00 100 000.00

Draw up a redistibution agreement Each heir must receive the same monetary amount that they would have received if it were possible to distribute the assets in speci.

PTO QUESTION 4

[33]

List the facts to be stated in terms of Regulation 5 in the following sections of the Account. NOTE I do not want examples of these sections. 3(a) Heading of an account of a deceased married out of community of property who have massed their estates and the survivor has adiated. (13) 3(b)

Liquidation Account

(13)

3(c)

Executors certificate to a First Account.

(7)