Effective succession planning ensures your family wealth is protected and properly distributed. Learn about wills, trusts, and estate planning strategies that safeguard your legacy for future generations.
Comprehensive Guide to Succession Planning and Estate Management in Nigeria
Succession planning is not just for the wealthy — it’s a critical process for anyone who wishes to protect their assets, provide for their loved ones, and ensure the smooth transition of wealth and responsibilities after death. In Nigeria, where legal, cultural, and religious factors intersect, estate planning can be particularly complex.
At Garnet and Hawthorns Solicitors, we provide strategic legal guidance on succession planning tailored to Nigerian laws and realities. This comprehensive guide covers essential tools like wills, trusts, and wealth protection strategies, helping individuals and families take control of their legacy.
🧾 Why Succession Planning Matters in Nigeria
Without a valid estate plan, your assets could be subject to long delays, family disputes, or distribution under rigid intestate succession laws. Succession planning:
Ensures your wishes are followed
Prevents family disputes
Protects minor children or dependants
Minimizes tax liabilities and administrative costs
Ensures business continuity
Whether you own real estate, shares, a family business, or digital assets, proper planning ensures your hard-earned legacy is preserved and transferred efficiently.
⚖️ Legal Framework for Estate Planning in Nigeria
Nigeria’s succession laws are influenced by:
Statutory law (e.g., the Wills Act, Administration of Estates Law)
Customary law
Islamic (Sharia) law (in some northern states)
Which system applies depends on your religion, ethnic background, and the location of your property.
📄 1. WILLS: Your First Line of Control
What Is a Will?
A will is a legal document where you specify how your assets should be distributed upon your death. It allows you to:
Appoint executors
Name guardians for minor children
Make specific gifts or donations
Direct burial wishes
Legal Requirements for a Valid Will (under the Wills Act 1837, as adopted in Nigeria):
The testator must be 18 years or older
The will must be written (not oral)
The testator must sign or acknowledge the will in the presence of two witnesses
The witnesses must also sign in the presence of the testator
Types of Wills in Nigeria:
Statutory Will – Formal, written will that meets legal requirements
Customary Will – Based on indigenous customs; not recognized everywhere
Holographic Will – Handwritten and signed by the testator (less common)
Probate Process:
Probate is the court-supervised process of validating a will. Without a valid will, the estate undergoes Letters of Administration, which can take longer and lead to disputes.
🏛 2. TRUSTS: A Flexible Estate Management Tool
A trust allows you to transfer assets to a trustee, who manages them for the benefit of specified beneficiaries. Trusts offer more privacy and control than wills and can be used for:
Asset protection
Tax planning
Providing for minors or dependants with special needs
Managing wealth for future generations
Types of Trusts in Nigeria:
Living Trusts (Inter Vivos) – Created during the lifetime of the settlor
Testamentary Trusts – Created through a will and effective after death
Discretionary Trusts – Trustees have discretion over how to distribute assets
Charitable Trusts – Used for religious, educational, or public causes
Trusts are not subject to probate, meaning assets can pass directly to beneficiaries without court delays.
💰 3. Wealth Protection and Tax Planning Strategies
a) Asset Structuring
Organizing your assets under companies, family trusts, or holding entities can help you manage risk and reduce exposure to legal challenges.
b) Business Succession Planning
For business owners, succession planning ensures continuity. You can:
Create a shareholders’ agreement
Appoint successor directors
Use a trust to hold and manage business interests
c) Tax Implications
Nigeria does not currently have an inheritance or estate tax, but there may be capital gains tax (CGT) implications on certain transfers. Proper structuring helps avoid unintended tax liabilities.
👨👩👧 Family Disputes and Cultural Challenges
Succession in Nigeria often faces complications such as:
Disputes between multiple spouses and children (in polygamous families)
Overlapping claims under customary law or Islamic law
Lack of documentation for land or property titles
To mitigate these risks:
Clearly document all assets and ownership
Regularly update your will and trust
Engage legal professionals to address jurisdictional and family-specific issues
✅ Best Practices for Succession Planning in Nigeria
Start early: Don’t wait for retirement or illness.
Engage professionals: Work with a solicitor and financial advisor.
Review regularly: Update your estate plan after major life events (marriage, birth, business changes).
Communicate: Share your plans with key family members or executors to avoid surprises.
📑 Frequently Asked Questions
Q: Can I change my will?
Yes. You can update your will at any time through a codicil or by writing a new will entirely.
Q: Can foreigners own and bequeath property in Nigeria?
Yes. However, it is subject to the Land Use Act, and it’s advisable to structure such ownership through registered legal entities.
Q: Do I need both a will and a trust?
It depends on your goals. A will is essential, but a trust provides additional privacy, control, and protection. Many clients benefit from using both.
📞 Need Help Planning Your Estate?
At Garnet and Hawthorns Solicitors, we offer tailored estate planning services, including:
Drafting wills and codicils
Establishing and administering trusts
Probate and letters of administration
Succession planning for families and businesses
Advising on wealth structuring and asset protection
Let us help you take control of your legacy and protect your family’s future.
👉 Contact Us Today for a Confidential Consultation
📧 Email: admin@garnethawthorns.com
🌐 Website: www.garnethawthorns.com
🔗 References
Wills Act 1837 (as applicable in Nigeria)
Administration of Estates Law – Lagos State
Pensions Reform Act 2014
Land Use Act, 1978
Trust Law in Nigeria: Key Considerations
Plan Ahead. Protect What Matters.
Garnet and Hawthorns Solicitors – Your trusted legal advisors for succession and estate planning in Nigeria.
Comments (0)
Leave a Comment