Gifted Cash - Legal rights

[Frostygills]

My mother-in-law to be is a bit of a stickler and wants to give her daughter some cash to buy a new home (let say 20k). The mother-in-law wants her daughter to write this amount into a contract so when the house is sold (either if we split up or if decide to move on) that the money still belongs to her and I have no right to it.

Is this contract still binding even if we get married?

[loonytunes]

Marriage will have nothing to do with it, that's a will which is invalid upon marriage. If the choice is loaning the money, mother in law protecting her interests and having the house or not having the money and no house gets bought for you to live in, which one is best? You choose.

[Frostygills]

Thanks for the reply. I didn't think marriage would change anything, but I wasn't sure.

Personally I don't really care, as I don't plan on ever moving again after this time. The question was really for my sis-in-law to be, but thought if I threw that into the mix it would start to complicate the question.

[Peter Pedant]

M in L wishes to preserve and record her equity in the house.
This is commonplace. there are a variety of ways to do this, and a solicitor will advise.

The law case is Dyer v Dyer 1767 I think - purchase of a house in the name of another creates an implied trust in favour of the giver of the money.

The simplest is a letter which all parties sign

This is no big deal, all the lawyers will have heard of it.

[dtr123]

I am in a similar position just acouple of years down th eline.

My soon to be ex wifes gran dies and left some money to my wife's mum, she then gifted it to my wife. My wife used the money to put down towards out matrimonial home. We have now split. We did not sign anything and the solicitors say that it should be part of the pot.and not a seperate entity.

Dont know what the judge will say but will find out i am sure.