It is vital that we keep our affairs in order so that when we experience unpleasant events in life such as problems with business, sickness, and relationships, we can deal with them in a much organised and without too much difficulty. Keeping our affairs in order would also reduce the risk of such events. What we could do to keep our affairs in order are to have the following:
Enduring Power of Attorney (EPA)
This ensures that when we fall sick and become incapacitated, our loved ones can manage our affairs on our behalf.
Last Will and Testatment (Will)
This is to ensure that when we die unexpectedly, our assets will be transferred to our intended beneficiary without it being contested.
Family Trust
A family trust protects your assets, including your family home, from third-party claims, including creditors. It is a great instrument to ensure that your family home is held safely for your children and spouse/partner. It is vital, especially for those in business and/or have a loved one who has special medical needs, etc. The law of trust has changed recently and will continue to go through some changes, so you should discuss this with your lawyer to see if this is right for you. Every person’s circumstance is different, so talk to your lawyer candidly about your situation.
Shareholders/Partnership Agreement
If you are in a business with another person, this is necessary to ensure that the terms and conditions of the business relationship is recorded so that if and when there is a problem, we have something to guide us.
Deed of Lease
If you have a commercial property or leasing one, you need to ensure that you have a deed of lease drafted by a lawyer to ensure that the terms of the lease are recorded. Most people think that the terms of the lease mean the rent and the lease period, but that is incorrect. There are more to a lease than just the rent amount and period of the lease. If the lease is not carefully prepared, it may lead to huge problems.
Contracting Out Agreement and Separation Agreement
If you are in a relationship or are married, it would be wise to have a Contracting Out Agreement. Conversely, if you are going through a separation, a Separation Agreement is necessary. These agreements usually stipulate that the presumption under the Relationship (Property) Act does not apply to you (i.e the presumption of equal sharing of assets). For this agreement to be binding, it needs to be witnessed by a lawyer, which means drawn by a lawyer.