Experienced lawyers prepare for mediation by exploring how estate assets can be divided on a tax efficient basis. Why? Because as a general rule, the bigger the net amount of the estate the better chance at achieving a settlement as there is more money to divide between the litigants. Woe unto the lawyer who advises a client to accept a settlement without advising the net amount to be received after deduction of tax. That is why people who specialize in tax are often consulted prior to mediation.

Mediation is mandatory in any Estate litigation commenced in the city of Toronto, Ottawa or in the county of Essex. Motivation to settle is often fueled by tax considerations. As part of the settlement does it make sense for it to be allocated to the spouse or the children of the deceased? Often, there is an argument about ownership of a joint account. The surviving joint account holder claims that the deceased intended that the surviving joint account holder would receive the monies by right of survivorship. The other beneficiaries to the estate generally claim that there is a presumption…