CHANGES IN ONTARIO ESTATE LAW FOR 2021 There have been many new changes to Ontario estate law and there are more to come. This is the start of a much-needed refresher in this area of law. Among these changes are the new simplified procedure for small estate administration, Bill 245, witnessing wills and Powers of Attorney, and the proposed legislation on spousal entitlement on intestacy (dying without a Will). In discussing the summary of these changes, there are also potential influences these changes could have on Ontario estate administration and estate planning. The first topic of discussion is the New Processes for Administering Small Estates: As of April 1, 2021, new legislation and regulations have been implemented. The new procedures aim to deliver a smooth administration process by accelerating probate timing on smaller estate matters and providing a more cost-effective option. The term “Small Estate” was introduced in The Estates Act under The Smarter and Stronger Justice Act. A Small Estate is valued at $150,000 or less, and the details of these procedures are as follows: Completing more accessible application forms for a “Small Estate Certificate,” which is an alternative to the standard process for a “Certificate of Appointment of Estate Trustee with/without a Will.” The application form for a Small Estate Certificate is used when a person dies with or without a will. The requirement for the applicant to provide supporting documents has been removed for specific cases. The applicant can complete a form stating notice has been provided, without the necessity to include an affidavit of service. The application does not require the express consent of interested parties to the applicant’s appointment as an estate trustee. However, the applicant must provide at least a 30-day notice to all interested parties. Estate trustees will not be required to post a bond unless there are minor or incapable beneficiaries. Estate trustees will typically have to wait until probate is granted before going to any bank or financial institution. With the new administration process on Small Estates, there is a greater chance that these estates will not be left unsettled due to the costs related to probate. However, the estate administration tax will still be applicable and payable on estate monies over $50,000.00. The second topic of discussion is Bill 245, the Accelerating Access to Justice Act, 2021. Introduced in February of 2021 and receiving royal assent on April 19, 2021, it is a point of reform to an outdated system, as reflected in Schedule 9. The Succession Law Reform Act (“SLRA”) now provides remote witnessing of wills upon its amendment. This is done through audio-visual communication technology for wills. As well, the execution of a will must be completed in counterpart executions moving forward (you cannot have a single document circulated and signed by all parties). This shall be mirrored for Powers of Attorney, once proclaimed. The following sections will also be updated, once proclaimed: Section 16 SLRA has been repealed concerning the automatic revocation of any pre-existing wills by marriage so that any susceptible or older Ontario citizens are protected from predatory marriages. The rights of separated spouses have also been updated to safeguard those who did not attain an official divorce. Subsection 17(2) SLRA is modified to include separated spouses. Section 21.1 is added to the SLRA to provide authority to the Superior Court of Justice to either revoke, alter, revive or validate documents on an application if those documents are believed to be the deceased’s testamentary intentions. Section 43.1 has been added to SLRA to exclude separated spouses from inheriting on intestacy. The third topic of discussion is Spousal Entitlement on Intestacy; this will occur when a deceased person does not have a will or dies with a will that does not fully encompass all of their assets. A spouse under this legislation is referred to as a married spouse only. A framework is outlined in the Succession Law Reform Act to determine how assets are distributed. These are based on the surviving kin. A spouse is entitled to “preferential share,” and any children have an interest in the balance. The spouse does not receive the full amount of estate rather the preferential share being $200,00 for the estates of persons who die before March 1, 2021 and $350,00 for the estates of persons who die on or after March 1, 2021. O. Reg. 122/21, S.1. and the remainder divided dependent on the specific facts of the estate matter (i.e. between children and spouses). There are significant changes in the legislation in regards to wills and estates. If you require advice relating to your estate or managing the estate of a loved one or have questions regarding Ontario’s new procedures, please feel free to contact Vanessa Romanino at 905 668-4486 ext. 246 or at vanessa@durhamlawyer.ca “This article is intended to inform. Its content does not constitute legal advice and should not be relied upon by readers as such. If you require legal assistance, please see a lawyer. Each case is unique, and a lawyer with good training and sound judgment can provide you with advice tailored to your specific situation and needs. By Fauzan SiddiquiBlog, Wills and EstatesJuly 9, 2021October 22, 2021