Making a will in Singapore – What do you need to know?

Most of us know that a will is an instrument that tells the loved ones of a deceased exactly how the deceased’s assets are to be distributed.  But what happens when there is no will – or worse still – if the will is not legally valid?

Dying with a Will

If you die leaving a legally valid will, the law will generally seek to enforce your distribution wishes as stated in your will. If your will is not legally valid, then your loved ones might have a problem.

There are certain formalities that must be met before a will is deemed to be legally valid, requirements of which are found in the Wills Act.

Most wills would set out the Executor that the deceased had chosen to administer the deceased’s estate. As such, this Executor is under a duty to apply to court for a Grant of Probate, after which he can proceed to distribute the deceased’s estate.

Dying without a Will

In Singapore, dying intestate (i.e. dying without a will) is governed by the Intestate Succession Act.

Section 7 of this Act essentially sets out the hierarchy of people who are entitled to your assets upon your death. For example, the first rule of distribution is that if you die leaving a surviving spouse, no issue (i.e. children and/or descendants of deceased children) and no parent, then your surviving spouse is entitled to the whole of your estate. See here for the full list of rules (insert link).

Generally, the next-of-kin of a deceased would apply to the court for a Grant of Letters of Administration, which effectively appoints that person as an Administrator, who is placed in charge of distributing the deceased’s estate.

Legal Requirements

The person making the will, known as the testator, must be at least 21 years of age, unless they are a soldier in actual military service, a mariner or a seaman at sea. For obvious reasons, the testator must also be of sound mind at the time of making of the will.

As for the will itself, the Wills Act requires the testator to sign at the foot of the will in the presence of two or more witnesses who are both present at the time of the signing. These witnesses, however, should not be beneficiaries to the will, as the Wills Act provides that any gift to witnesses shall be null and void.

Apart from including your assets in a will, you can also state how you want your liabilities, such as your debts, to be dealt with before your assets are distributed to your beneficiaries.

There is also a need to be clear about your beneficiaries, especially how much each one is to receive. You also need to appoint executors (to carry out your will), and your beneficiary can also fulfil this role.

While there is no specific form to be adhered to, over the years certain clauses have become essential when drafting a will. For example, it is necessary to include a revocation clause to revoke any and all previous wills. Next, there may be a need to provide for a situation when a beneficiary may die before you, and assets bequeathed to a deceased beneficiary will become part of the remainder of the estate which is dealt with by a residuary clause. There are also other clauses that concern the appointment of executors and trustees, specific and general gifts and, powers of trustees and attestation.

Common Problems with Wills

1.     Assets

There have been cases where the deceased inadvertently, or on poor advice, includes in their will assets that cannot be distributed through a will. One example are jointly owned assets like monies in joint bank accounts and houses which are jointly owned.

Under the law, upon the demise of one joint owner, that property goes to the other owner by default. Note that for property held as tenants-in-common, the deceased may will away their portion of that property. Another example is monies in a CPF account. If the relevant CPF nomination form is not duly completed, the CPF money will be distributed accordingly under the Intestate Succession Act i.e. as though the deceased passed away without a will.

2.     Marriage

Many people do not realise that unless the will specifically states otherwise, a will is deemed to be null and void upon the marriage of a testator.

3.     Improper Execution

As mentioned previously, there are certain formalities to be adhered to when executing a will. A failure to validly execute a will may cause your will to be disregarded, resulting in a distribution of your estate under the Intestate Succession Act.

4.     Drafting Language

Another issue concerns the way the will is worded. What may seem like an ordinary sentence may be susceptible to scrutiny when the will is challenged in court.  

For example – “I bequeath SGD50,000.00 to the children of Lim Ah Tong of NRIC S1234567A and Lim Ah Long of NRIC S7654321Z.” In this case, the testator may have intended for the money to be split into equal shares between the children of Lim Ah Tong and the children of Lim Ah Long. However, there are many ways this clause in the will may be challenged.

The first argument that may be raised is that, due to the way the clause is worded, the money is to be split between Lim Ah Long and the children of Lim Ah Tong i.e. if Lim Ah Tong had three children, then the money will be split into four shares, the first share to be given to Lim Ah Long, and the other three shares to be given to the three children of Lim Ah Tong. Naturally, the second argument arises – in what percentages is the SGD50,000.00 to be split? In equal shares?

That brings us to the inevitable question – if a will drafted by a layman can be legally recognised as valid and effective, is it necessary to hire a lawyer to draft the will? As you would have seen from the above, the nitty-gritty of drafting a valid will requires time, patience and the requisite knowledge of the law. While you technically do not need to have your will drafted by a lawyer, it is highly recommended that you do so to better protect your interests in ensuring your estate, upon your demise, is distributed exactly how you want it to be done.

What do you need to know if you are injured in a road accident?

Most of us have come across road traffic accidents at some point in our lives – either being involved in one or driving past one, and for some punters, cheekily trying to get sight of the plate number to try their luck at 4D. 

According the statistics from the Singapore Police Force, there were 7,724 road accidents which resulted in injuries in 2017. 

So, what happens if you get into an accident and you are not at fault? Are you entitled to be compensated for your medical expenses, for the pain caused by your injuries, and for the damage to your vehicle?

The short answer is yes. 

Liability and Quantum 

In any accident claim, there are issues of liability and quantum. 

Liability is about assessing how much blame to attach to each party in respect of any damage arising from the accident, and it is usually indicated in terms of percentage. 

For example, if an accident victim is making a claim, but he was not wearing his seatbelt when the accident occurred, it is likely that he will have to bear a small percentage of the liability. 

As for quantum, it is about assessing how much the person who’s at fault for the accident is supposed to pay? 

Property Damage and Personal Injury 

There are two types of claims, namely property damage (‘PD’) and personal injury (‘PI’). 

PD claims are relatively straightforward, based on the physical damage to the vehicle involved. The claimant will send his vehicle to a workshop for an assessment on the damage done to his vehicle. Based on this, a claim will be made against the other driver or, like in most cases, his insurance company. The insurance company will then appoint an independent surveyor to assess the car to ensure that the damage for which compensation is being claimed is consistent with the way the accident occurred.

PI claims, on the other hand, are more complicated. Damages are split into special and general damages. Special damages encompass expenses for which you have incurred from the date of the accident up till the date of your claim. These include medical expenses and reasonable taxi fares for your trips to and from the hospital, and, for people who are already working, the loss of earnings you suffered from the date of the accident to the date when you resumed working.

General damages, on the other hand, are damages awarded to you in compensation of your injuries and for expenses that cannot be quantified yet – like future medical expenses. It must be noted that there are certain guidelines to adhere to when making claims for general damages.

The main head of claim in all PI claims is for Pain and Suffering i.e. the physical injuries you have suffered due to the accident. Depending on the severity of the injury, the courts have awarded a varying amount of damages for injuries. For example, a simple facture of a femur, tibia or fibula (major bones in the leg) may fetch anywhere between $6000 and S$10,000. Minor injuries, such as abrasions, may fetch between S$500 and $3000 depending on the location of the abrasions, whether the abrasions will cause permanent scarring, etc.

Another type of claim is for the Loss of Earning Capacity. This is claimed when you find that due to the accident, you can no longer earn your pre-accident rate of earnings.

Sometimes, it is best to assess the injuries carefully because minor injuries can escalate to major ones. Such injuries may result in a loss of future earnings or a loss of earning capacity, and such claims can be included in the settlement sum.

There are other types of claim under general damages as well – such as the loss of amenities, loss of expectation of life and future medical expenses.

What are the steps to take if you get into an accident? 

The first thing to do is to consult a doctor for a physical examination, followed by making a police report on the accident.

When you feel well enough, take down some notes regarding the circumstances leading up to the accident, how it occurred, and basic information such as time and place of the accident and parties involved. Were the traffic lights in your favour? What was the weather like? Were there many vehicles on the road? Are there any witnesses? Such information will be useful when deciding liability.

Next, you need to engage a lawyer, and you must be prepared to provide a full account of your case. 

Review your notes on the accident and make sure all the information is captured to the best of your recollection. If there is any information that is not advantageous to your case, you need to highlight it as well to enable the lawyer to assess everything and provide accurate advice.  

Your lawyer will assess the amount of damages to be claimed based on your medical reports. Sometimes, you will be required to consult a specialist doctor for a more comprehensive assessment of your injuries.

You also need to update your lawyer on any police reports made or interviews given, your insurance coverage as well as past and present employment.

With all the necessary information and documents, your lawyer will issue a Letter of Demand to the driver of the other car that was involved in the accident.

The driver’s insurance company will get in touch with your lawyer and the negotiations will commence. Lawyers handling such cases on a consistent basis have the necessary experience in dealing with insurance companies and their tactics. 

If no settlement can be reached, the next step is to file and serve a Writ of Summons to officially commence legal proceedings.

The law imposes time limits on a cause of action, the expiry of which means that a claimant can no longer commence legal action on that cause of action. This is governed by the Limitation Act, It is important to note that there is a limitation period of three years for all PI claims arising from an accident. For purely property damage the limitation period if six years.

In the rare circumstances where the other driver cannot be identified, a claim will be made to the Motor Insurers’ Bureau instead.

Criminal liability for road accidents

Apart from civil liability, road accidents can also give rise to criminal liability.

Criminal prosecutions are under the purview of the Attorney-General’s Chambers (AGC). Where police investigations reveal that a traffic accident or fatality resulted from criminal conduct, the AGC may prosecute the errant driver. Such charges are usually brought either under section 66 of the Road Traffic Act for dangerous driving causing death or section 304A of the Penal Code for causing death by a rash or a negligent act. The maximum penalties for these offences are a fine, or an imprisonment term of up to 5 years, or both.  Disqualification orders prohibiting the offender from holding or obtaining a driving license may also be imposed.

It would be advisable to consult a lawyer should you be concerned that you may be charged for a criminal offence.