Today’s blog was written by Courtney Lanthier, Law Clerk at Fasken LLP.

In recent years, I have noticed an increase in the younger generations (specifically my millennial generation) opting to have pets instead of children. This shift can be seen as a result of many economic factors and has ultimately redefined the traditional definition of family. So if pets are effectively “taking the place of” children, shouldn’t they receive similar treatment in one’s estate plan?

I’m sure some people would love to just name their pets as beneficiaries of their entire estate, but from a legal perspective, that isn’t feasible. Where we often include guardianship provisions and trusts for minor children in Wills, we can also make provisions for pets, but in different ways. The following are two ways in which this can be achieved in one’s Will:

1. Provide an outright gift of a pet to another person

Naming an individual is the easiest way to make sure your pet is going to the right person/place. An example of this we may see in a Will would be the following:

“If on the date of my death my dog, Spot, is alive, to deliver him to my friend, Bob, if he is alive on the date of my death.”

It’s also important to consider that, like children, pets are (or can become) quite expensive. Leaving a one-time payment with the gift of a pet that is conditional on the person named actually taking the pet should also be considered. When determining an appropriate amount, make sure thought is given to any immediate expenses of taking on a new pet, as well as ongoing and future expenses, such as veterinary bills, food and medications.

It should be noted however, that while the payment is conditional on taking the pet, that doesn’t guarantee the funds will be used as intended. In this case, it would be stated in the will that it is the testator’s “wish and desire” that the funds provided are for the purposes as noted.

2. Set up a trust fund for your pet

While slightly more cumbersome, some clients may opt to provide a fund to be managed by the trustees of their will (or separate trustees) to ensure that there is money available during the lifetime of their pet. A specific amount can be directed to be paid to the trustees of the fund, wherein they will invest and manage the fund and provide for distributions to the named person for the ongoing care and maintenance of the pet. It is important to note that care must be taken with these trusts, since trusts for non-charitable purposes may not always be used (for example, in Ontario, they may not last more than 21 years).

With a fund being set aside, the testator can have a bit more control over how and when the funds are distributed, and when the fund would come to an end, by directing the trustees through the provisions in the Will.

Again, thought should be given to the amount of the fund to ensure money doesn’t run out during the pet’s lifetime. Consider the current medical needs of the pet, future needs and the general ongoing care and upkeep of the pet.

In both situations noted above, it’s important to make sure that the person you have named to receive the pet is not only informed, but is also ready and willing to take on the additional responsibilities a pet brings. I don’t know about you, but if someone “gifted” me their 6ft long python in their Will without my knowledge, I would definitely have some hesitation!

At the end of the day, whether it’s “man’s best friend”, your “purr-fect companion” or the “grand-doggie”, I think the majority of us can agree that pets are a huge part of people’s lives and should be given just as much thought as other family members when preparing an estate plan.