When Can You Prove Fraud in Estate Disputes?

1. The estate and the family
   • Mr Afolabi Soremekun died in 1984, leaving properties in England and Nigeria.
   • His widow (the deceased) managed his estate. The defendant is her daughter; the claimants are Mr Soremekun’s children from other relationships.
2. Settlement Agreement (Tomlin Order, 2005)
   • The family reached a Settlement Agreement about ownership and proceeds from various properties.
3. What went wrong?
   • The claimants alleged the deceased failed to transfer a property to them, sold another without permission and even forged their signatures to take control of a third property.
   • They said these breaches proved the deceased never intended to honour the 2005 agreement.

1. Can you prove fraud just because someone did not follow through on a settlement?
2. When will the court dismiss (“strike out”) or grant summary judgment in estate and probate disputes?
3. What sort of evidence is needed to bring a fraud claim in English court, especially years after the event?

• The court granted summary judgment dismissing the claim of fraud.
• Why? Under English law, to prove fraudulent misrepresentation, you must show the person never intended to keep their promise at the time they made it, not just that they acted wrongly later.
• The claimants relied on later conduct (i.e. delays, forgery, unauthorised sale). But this was just as likely to be a change of mind, not proof of deceit when the agreement was signed.
• Crucially, the deceased had partly performed the agreement (by giving properties and passing on proceeds), which is inconsistent with fraud.

• The judge applied the “real prospect of success” test (from Easyair Ltd v Opal Telecom Ltd).
• For fraud, the bar is high: you must have convincing evidence, not just suspicion, especially where the facts fit both honest and dishonest explanations.
• The claimants failed this standard, so the fraud claim was struck out.

• On the breach of contract relating to one of the Nigerian properties (16 Ogunlesi Street), the court found that there was a genuine legal uncertainty in the settlement about how sale proceeds should be handled.
• The claimants were allowed to amend their pleadings and proceed with these claims, as they had a “real prospect of success”.
• The same applied to breach of trust allegations. These were not struck out, as they were to be resolved at trial.

1. Fraud claims require strong evidence
   • A claimant must prove the defendant lied at the time of the agreement, not merely failed to perform.
   • Later breaches or even forgery are not enough, unless they directly show original dishonesty.
2. Summary judgment in estate disputes
   • Courts will grant summary judgment or strike-out where claims are weak, especially if key evidence is missing and the standard for fraud is not met.
3. Ambiguity and amendments
   • If settlement agreements are unclear, courts may allow claims to continue. Pleadings can be amended where necessary.

• Executors and beneficiaries: When defending against fraud or misrepresentation claims years after a family settlement, point to part performance and the risk of hindsight bias.
• Claimants: If bringing a fraud claim, gather clear evidence relating to the time the agreement was made; later misconduct on its own is not usually enough.
• Lawyers: Plead fraud with precision by reference to actually contemporaneous evidence or risk strike-out.

How can we help?

Amrik Basra is an Associate in our Private Litigation team.

At Nelsons, our team specialises in these types of disputes and includes members of The Association of Contentious Trust and Probate Specialists (ACTAPS). The team is also recommended by the independently researched publication, The Legal 500, as one of the top teams of specialists in the country.

If you have concerns about the above subject, don’t hesitate to get in touch with Amrik or a member of our expert Dispute Resolution team in Derby, Leicester, or Nottingham on 0800 024 1976 or via our online enquiry form.