When a loved one unfortunately passes away, their family or close friends will be tasked with estate administration, collecting and valuing the deceased’s assets, and dividing these between the correct beneficiaries.
Where the deceased person left a Will behind, whoever they appointed as their Will executor will take on the role of estate administration.
If there is no Will in place, a suitable next of Kin will need to take on the role of estate administrator, usually their child, parent, or the next closest family member.
Whoever is tasked with administering the estate is legally required to act with the best interests of the deceased and their beneficiaries. Unfortunately, this does not always happen, and various disputes can arise as a result.
In this article we will discuss estate administration disputes, Will executor disputes, and the steps you can take to challenge the administrator of an estate.
If you would like support with this legal area today, please get in touch with our specialist private wealth dispute solicitors at Roythornes.
What does estate administration involve?
Estate administration is the process of gathering the assets, managing the estate of a deceased person, and distributing their assets as per the instructions in their Will, or intestacy rules if they do not have one.
Intestacy rules mean that only certain people can inherit from the estate, such as married partners, civil partners, and the deceased’s children (where the estate is valued over a certain amount).
What power does an administrator have over an estate?
If there is no Will, an estate administrator has the power to manage and distribute the deceased’s estate according to intestacy rules.
They have the power to gather all of the deceased’s assets and property, and to ensure that any debts and tax is paid, before distributing the rest of the estate.
It is necessary for estate administrators to act according to the best interests of the estate beneficiaries. If the beneficiaries believe that the administrator is guilty of carelessly handling the estate, or of deliberate wrongdoing, they may seek to challenge them.
How to challenge an administrator of an estate?
If you would like to challenge an estate administrator, you might first attempt to resolve matters between yourselves. Depending on what the issue is, it may be possible to resolve the matter without legal intervention.
Where the issue is more serious, you will need to seek specialist legal advice. Your solicitor will be able to assist you in raising the issue out of Court, for example, through mediation sessions.
If necessary, your solicitor can also support you in raising a legal claim against the administrator, for instance, where their actions have resulted in financial losses to the estate.
If you believe that an appointed estate administrator is not capable of managing the estate or is guilty of misconduct, you may need to pursue legal action against them to force them to step down from their role.
To do this, you will need the legal advice and support of an expert estate administration disputes solicitor.
What powers does a Will executor have?
A Will executor, also referred to as an estate executor, has the power to administer an estate, according to the instructions given in the deceased’s Will. A Will executor is appointed by the deceased, as part of their Will.
They are responsible for collecting the deceased’s assets, and property, valuing their estate, and paying any debts. They will also need to complete an Inheritance Tax Return, and pay any tax owed. Once these duties are completed, they will need to distribute the estate to the beneficiaries.
What are the common causes of Will executor disputes?
It is not uncommon for disputes to occur between Will executors, and other interested parties, such as beneficiaries, or family members of the deceased.
A few common reasons for Will executor disputes include:
- The Will executor has not distributed assets promptly, or has entirely neglected their duties
- The Will executor is not communicating with beneficiaries
- The Will executor is suspected to be acting according to their own interests, as opposed to what’s best for the beneficiaries and the estate
- The administrator of the Will has not managed the estate correctly, for instance, undervaluing assets, and causing a loss to the estate
- The administrator of the Will is suspected of serious misconduct, such as misrepresenting or withholding assets from the estate
What action can be taken against an executor?
If you would like to challenge the actions of a Will executor, you can do so through alternative dispute resolution methods, such as mediation.
A solicitor will be able to support you with the process, providing expert legal advice. Where necessary, they can help beneficiaries to request records of the accounts, detailing how the estate has been managed.
Where the executor is not capable of managing the estate correctly, or where they are guilty of serious wrongdoing, it will be necessary to apply to the Court to have them removed from this position.
If the executor has caused a financial loss to the estate, suing the Will executor may be necessary. In these circumstances, Roythornes can assist clients to raise a financial claim, to recuperate the funds.
Can an administrator of an estate be a beneficiary?
Yes, it is possible for an administrator of an estate to also be a beneficiary of that estate. Unfortunately, this may sometimes cause a conflict of interest between the administrator and other beneficiaries.
If you are facing such a dispute, it is recommended to seek legal intervention.
How do you resolve conflicts between executors?
It is possible for there to be more than one Will executor to an estate, and in this situation, conflicts may arise for a number of reasons. Examples of common disputes between Will executors include disagreement over whether specific assets should be sold, or how assets should be distributed.
In order to resolve conflicts between Will executors it is often necessary to seek legal support. A solicitor can provide independent legal advice, and support clients with alternative dispute resolution methods out of Court.
If a dispute cannot be resolved through alternative dispute resolution, it may be necessary to seek Court intervention.
Can an administrator of an estate take everything?
No an administrator of an estate cannot take whatever they please from the estate, they will need to distribute the estate according to the law.
Acting as estate administrator or Will executor means having a legal duty to act with the deceased’s best interests in mind. It is illegal for the administrator or executor to misappropriate assets from the estate.
If you are concerned about the actions of an estate administrator, it is advised that you seek legal advice immediately.
How can Roythornes help?
Roythornes private wealth disputes team can support clients with estate administration and Will executor disputes, having much experience in this legal area.
Our team take a unique approach to private wealth disputes cases, working collaboratively with you, and providing a personalised service. At the very beginning, we’ll ask you what your ideal outcome is, then offer transparent feedback on our options, and set goals together.
Our private wealth disputes solicitors prioritise a strategic approach, making all of the legal processes clear to you, and communicating potential issues that may arise.
With much experience in estate administration and Will executor disputes, including executor misconduct cases, we are ideally positioned to help you.
Get in touch with our private wealth solicitors
To access legal support with private wealth disputes, including estate administration disputes, please give us a call or complete our enquiry form today. We have legal offices in Alconbury, Birmingham, Nottingham, Peterborough or Spalding.