Now on its second reading, the Property (Digital Assets etc.) Bill aims to update existing laws to formally recognise digital assets as a distinct form of personal property. In our latest blog the Straw & Pearce team explain the Bill and how it may impact your digital legacy.
What is the Property (Digital Assets etc) Bill?
Traditional property law recognises two main categories:
- Things in possession (tangible items like a car or painting)
- Things in action (intangible things such as debt).
However, many digital assets do not fall into these categories and so create legal uncertainty in areas such as disputes over ownership, divorce and estate planning. Digital assets are relatively new and can include digital files and records, email accounts, crypto-tokens and Non-Fungible Tokens (NFTs).
The Bill aims to provide a clearer legal basis for how these assets should be distributed or safeguarded upon death, ensuring individuals’ digital legacies are protected. It also aims to assist judges in dealing with court cases where digital assets are disputed or form part of settlements.
Your digital legacy
A digital legacy is any information or documents you leave behind online when you die, these assets could be:
- Email accounts
- Social media accounts
- Bank, investment and utility accounts
- Customer accounts such as eBay or Amazon
- Websites and blogs
These assets are often protected by usernames, passwords and privacy controls and so are difficult for others to access should they need to. A digital legacy will enable you to provide access to these accounts for your beneficiaries and create clear instructions as to how you want them taken care of.
A digital legacy is increasingly considered a standard, normal part of a written will.
Support for the future
While this new Bill is not yet law, it represents a significant shift in how digital assets are recognised and the ways in which you can have full control over your legacy.
It is sensible to approach digital legacy planning in a similar way to writing or updating a will as you will have to choose an executor, list your assets and document your wishes. It is important to also let your solicitor and loved ones know where the document is and how to access it.
If you have any questions about digital assets or would like to revise your will to include them, please do not hesitate to get in touch with a member of the Straw & Pearce team today. We would be happy to help.
