Sentences with phrase «deceased partners shares»

Term insurance is also used by business people to cover outstanding loans with their bank, to purchase a deceased partners shares, if they had an agreement to do so.

To put it another way deceased partners shares would be bought by the surviving partners as per the buy - sell agreement.

Not exact matches

This agreement provides for the purchase of the deceased partner's share of the business at a prearranged price.

Covers you and your immediate family spouse or domestic partner, children at the same address up to age 25, IRS dependents sharing the same address regardless of age or in a nursing home / hospice, or deceased 12 months or less.

Term life insurance allows the surviving partner to buy the shares from the family members of his deceased partner, who want no part of the business and will be happy to be bought out.

If you are involved in a business with a partner, it's possible that you have a buy / sell agreement in which each business owner purchases a life insurance policy on the other owner and then uses the death benefit to buy out the deceased owner's share of the business.

The appeal decision in Martin was to award the claimant a life interest in her deceased partner's share of their property, meaning the claimant could remain living there for the rest of her life, after which half the capital value would pass to the estranged wife.

the executors took an IOU from the surviving partner in exchange for the deceased's share in the family home; and

The usual agreement is that the surviving partner (s) agrees to buy out the deceased partner's shares.

However, it is not uncommon to see a buy / sell arrangement that has nothing but funding, meaning that, should one of the business owners die, a life insurance death benefit would be payable to the business (in an entity buy / sell) or the surviving partners (cross-purchase), which can be used to purchase the deceased business owner's shares or interests.

If you are involved in a business with a partner, it's possible that you have a buy / sell agreement in which each business owner purchases a life insurance policy on the other owner and then uses the death benefit to buy out the deceased owner's share of the business.

The remaining partners / shareholders may not be able to fund a buy - out of the deceased's share of the business, which may result in an unwanted outside interest gaining control of part of your company.

Entity - Type Plan — In the event that several partners exist, an entity - type plan is often used to simplify the process where the business itself will buy out the deceased partner or owner's share in the company.

This insurance allows the surviving business partner to get the necessary funding to buy out the other partner's share of the business from the deceased partners family.

Partnerships should consider insurance since, if one partner dies, the other partner may have to buy the other's share of the business from the deceased's family.

Increasing coverage policies are useful for younger people who will need more income protection as they make more money, families who will be having and caring for additional children in the future, or a business buy - sell agreement between partners where the business value will appreciate and higher levels of life insurance will be needed to compensate the deceased family for their share in the business.

The heirs are happy because they received full value for the shares and the surviving partners are happy because they now own the shares of their deceased or disabled member and the company can continue.

In the event of the death of one of the partners the share of the deceased partner is of immediate concern.

First of all your partner and yourself need to have a buy - sell - agreement that would stipulate that in the event of the death of one of the partners the survivor would buy the shares of the deceased partner for a predetermined amount of money.

When a partner or principal dies, the surviving principals will utilize the death benefit to acquire the shares of the deceased partner or principal from his or her remaining family members or the estate.

When a business partner uses the life insurance benefits to buy out a deceased partner's share of the business in a buy / sell agreement, that's appropriate.

When a partner dies the other partner receives the $ 500,000 death benefit and through the legal buy / sell document they are bound to buy the deceased partner's share from the widow or family.

the remaining principals would use the death benefit to purchased the shares of the deceased partner or principal from his or her surviving family members or estate.

Should the court order that some provision be made for a child or children from the estate of the deceased, such an order can reduce the entitlement of the surviving civil partner to a legal right share.

If no will is made, the share becomes part of the estate of the deceased partner and the other partner does not have any automatic right to the share.

However, a civil partner is entitled to what is called a «legal right share» of their deceased civil partner's estate even if:

The rules afford the surviving spouse or civil partner a legal right to a share in the deceased's estate and allow the child (ren) of the deceased person to apply to the Courts to have provision made for them out of the estate.

The ultimate transaction was a transfer of the deceased partner's interest in the property, rather than a transfer of the shares held by the deceased partner's family.