Imagine a couple where both spouses have children from previous relationships. Over time, they build a life together, perhaps purchase property, accumulate savings, and may even have children together. Like many couples, they assume that when one of them dies, everything will simply pass to the surviving spouse and eventually to the children.
However, in blended families, inheritance can quickly become more complicated than many people expect. Without proper planning, certain children, particularly those from a prior relationship, may end up receiving little or nothing from a parent’s estate.
A blended family generally refers to a family structure where one or both partners have children from previous relationships. In many cases, the couple may also have children together after forming their new relationship.
This creates multiple groups of children who may ultimately expect to inherit from their parents:
- children of the first spouse from a prior relationship;
- children of the second spouse from a prior relationship;
- children born to the couple together.
When these families begin planning their estates, they often wish to ensure that all children are treated fairly. However, without proper legal planning, the way assets pass from one spouse to the other can create unintended consequences.
The common “everything to my spouse” problem
A very common approach among couples is to leave their entire estate to their spouse. The reasoning is simple: the surviving spouse will need financial security, and they assume that the assets will eventually go to the children later. While this may work well in traditional families, it can create problems in blended families.
Consider the following example: Jon has two children from a previous marriage. Ana has one child from a prior relationship. After forming their new relationship, they also have one child together. If Jon’s will leaves everything to Ana and Jon dies first, Ana becomes the owner of all the assets.
At that point, Ana could legally decide to leave her estate only to her own child and the child she had with Jon (art. 703 Civil Code of Quebec). Jon’s children from his first marriage may ultimately receive nothing, even though part of the family wealth originally came from their father.
If Ana dies without a will and without a spouse, those assets will be divided equally among her children only (art. 667 Civil Code of Quebec), including the child she had with Jon, but excluding Jon’s children from his prior relationship. This type of situation is one of the most common inheritance issues that arises in blended families.
What happens if there is no will in Quebec?
If a person dies without a will in Quebec, the estate is distributed according to the default rules set out in the Civil Code of Quebec such as article 653.
When a person leaves behind a spouse and children, the law generally provides that one-third of the estate goes to the surviving spouse and two-thirds of the estate goes to the children (art. 666 Civil Code of Quebec).
The law does not distinguish between children from different relationships. All children of the deceased are treated equally for the purposes of inheritance. However, this equality applies only to the children of the person whose estate is being distributed, not to stepchildren (who do not inherit unless they are legally adopted or specifically included in a will).
However, once the surviving spouse receives their share, those assets become their property and can later be distributed according to their own will.
Planning tools that can protect children in blended families
Because of these risks, proper estate planning is particularly important for blended families. Several tools can help ensure that both the surviving spouse and all children are protected.
One option is to prepare a carefully drafted will, ideally notarized, that clearly sets out how assets should be divided between the spouse and the children.
In some cases, a testamentary trust may be used. This type of arrangement allows the surviving spouse to benefit from certain assets during their lifetime while preserving the capital for specific children after the spouse’s death.
Another possible solution is a usufruct arrangement, which allows the surviving spouse to use certain property during their lifetime while ensuring that ownership ultimately passes to the deceased spouse’s children.
Life insurance can also be used as a planning tool. For example, a parent may designate children from a prior relationship as beneficiaries of a policy to ensure they receive a portion of the family wealth regardless of how the rest of the estate is distributed.
Why proper planning matters
Blended families are increasingly common, and with them come unique legal and financial considerations. What may seem like a simple estate plan can produce unintended consequences if the specific family dynamics are not carefully considered. By taking the time to plan properly, couples can protect the financial security of the surviving spouse while also ensuring that all children are treated fairly.
If your family situation includes children from previous relationships, seeking legal advice when preparing a will can help avoid disputes and ensure that your wishes are respected.
