Administration of Estates - Duties and Powers Flashcards
(26 cards)
Who do executors owe duties to?
Estate as a whole
What rights do beneficiaries have if PRs fail to administer?
Compel administration
Who is liable for a duty breach?
The PR
Is a PR vicariously liable for fellow PR?
Not unless knew or should reasonably have known a breach was being committed
What is the duty of care standard?
Standard + regard to special knowledge
Can court grant relief from PR liabilty?
Yes, if reasonable and ought fairly to be excused
Can will be drafted to alter duties etc?
Yes
How can beneficiaries impact PR liability?
If they acquiesced or encouraged or agreed to it = no longer liable
When can you no longer renounce?
If you intermeddled
*doesn’t include organising the funeral
How do you renounce and reserve power?
A grant of double probate
What happens if an executor dies before the testator?
- Other executors named in the will
- Or go to order of priority with will
- Or order of priority with no will
What happens if an executor dies after the testator, but before grant of probate?
- Other executors named in the will
- Or go to order of priority with will
- Or order of priority with no will
What happens if an executor dies after the testator and after the grant of probate?
Chain of representation – the executor of the deceased executor
What happens if an executor dies after the testator and after the grant of probate but there is no chain – they don’t have an executor either?
Grant de Bonis Non
First using rule 20 (priority with will) and if non applies then
Rule 22 (died without will)
Are PR’s liable for unpaid debts and obligations that they weren’t aware of?
Yes
How can PR’s protect from liabilities against unknown obligation?
s.27 TA 1925 – give notice of their intention to distribute and require people to send the particulars of their claim within a period of 2mo
Where can PR’s place their notice to avoid incurring liability for unknown obligations?
London Gazette
Local newspaper where deceased owned land
Any other local/national paper where a court might order
What should PR’s do if they are worried about incurring obligations for things they didn’t know about?
Seek court directions
What else can PR’s do to avoid liability for unknown obligations?
Make land purchase searches (E.G., to find mortgages)
Bankruptcy search against deceased and beneficiaries receiving assets
What is the earliest PR’s can issue notice? When should they?
They should give notice ASAP
Cannot give it before they have the grant
What does s.27 not protect the PR’s against?
- Where they have knowledge of debts or beneficiaries
- Or they knew of a beneficiary but could not trace them
What should PRs do if there is a known but missing beneficiary?
Benjamin order from court - assumes beneficiary is deceased
If a benjamin order is made, and beneficiary turns out to be alive.. what recourse do they have?
Sue other beneficiaries for their entitlement but not the PR’s
What must be done b4 seeking a Benjamin Order?
Everything possible to find them, ads in local paper etc
