I am hoping for some assistance in relation to the treatment of a failed gift included in an IPDI trust over property. Husband (H) and wife (W) co-owned a property as tenants in common in equal shares. W made a will which settled her interest on IPDI for H with remainder interest for adult child (vested in remainder). There were no substitute gifts and the son had no issue (and in any event s. 33 Wills Act is disapplied). The residue of the estate passes to H absolutely.
Child died first, followed by his mother (W). A firm of solicitors involved in W’s estate has suggested that with regard to the failed gift to W’s child a partial intestacy arises. However, as the child predeceased W I wondered whether the doctrine of lapse should apply instead; the effect being that the reversionary interest in the property falls into residue and passes to H (whose life interest is then extinguished in favour of an absolute interest). However, I am struggling to find anything that confirms the correct approach, so any guidance would be gratefully received.
Maitland Walker LLP