Conclusion. This can be extremely frustrating for beneficiaries, especially family members. W hen an executor refuses to act, beneficiaries of the will may become upset because the executor is the only person who can ensure the estate gets distributed. There is no other way to force an executor to do or not do anything – only a judge can dictate to an executor. So if an executor is not administering an estate, ‘get moving’ and start the process of applying for a Court order compelling the executor to act. If the executor is truly incapable of acting, then the executor should resign and be replaced. The executor of a will has a fiduciary duty to act in the best interest of the estate. The executor is responsible for managing the estate’s assets. Executor’s Fees (compensation) Grief and family dynamics– Many people feel overwhelmed by the thought of being responsible for estate settlement at a time of grief. Executor’s Checklist Most people do not realize that it can be a long and drawn out process. Beneficiaries may attempt to prevent the appointment of an unsuitable estate trustee by ‘objecting’. If you are facing difficulties with an executor, please contact us for an initial consultation. If the will … Tell them that the will named you as executor (or if there’s no will, that you’re willing to take on the job and have priority under state law) and that you’ll be gathering property, paying bills and taxes, and eventually distributing property to the people who inherit it. Often, executors have failed to do something, such as: No amount of letter-writing, screaming, or complaining will force the executor to act. would, of course be relevant. That executor or personal representative administers and distributes estate assets. If the executor is truly incapable of acting, then the executor should resign and be replaced. Individual state laws dictate whether estates go through probate when people pass away. Suite 800, 1730 St. Laurent Blvd. responsible for distributing the estate of the person who has died in accordance with the terms of the deceased’s Ottawa, ON K1G 3, e: info@ontario-probate.ca Nevertheless, most executors will answer "normal" phone calls or respond to "normal" emails. Absent unanimous consent of all beneficiaries, they should not breach or depart from any term in the Will. However, an executor can’t steal from the estate, refuse to communicate with beneficiaries, or needlessly delay payments. Sometimes the executor can be removed. t: 1 (888) 995-0075 Your executor then collects the proceeds only after paying all debts and income tax. They are enforced by the Courts. The executor could find his personal assets vulnerable in these situations. The test for appointment of an ETDL is much easier to satisfy that either the test to ‘pass over’ an executor prior to appointment or removal of an estate trustee after appointment. Maintain or initiate legal actions on … If the executor fails to meet his fiduciary duties, including properly distributing the assets of the estate as well as paying the debts and taxes of the estate or the executor acts negligently, the beneficiaries can sue the executor. 41. Free eBook on Probate in Ontario. They are not entitled to do nothing for extended periods of time. 15th Floor, 4 Robert Speck Parkway For instance, if the executor is living in the house of the deceased, the executor has an incentive not to sell it and distribute the proceeds? Communication is your best tool to combat this potential fear. Executor Duties The executor begins his role by communicating his position to the beneficiaries, financial institutions and known creditors. The beneficiaries are entitled to a passing of accounts, and the courts rarely are terribly accommodating of executors who fail to honour this obligation. However, to deal with the Ontario assets, the executor herself did not apply for the necessary authority in Ontario; instead, one of the beneficiaries of the estate applied with the consent of all of the other beneficiaries. Executors do not have to answer every single question you have. Unlike executors, beneficiaries do not play a role in the distribution of an estate (unless they have also been named as an executor). [9] In other words, an executor who does not procure a release and indemnity from beneficiaries prior to making a distribution may be out of luck if it is later determined on a passing of accounts that debts are still owing on the estate. Suite 800, 1730 St. Laurent Blvd. Meet with all beneficiaries of estate. Estate trustee are not entitled to depart from the law or unfairly favour themselves or any other beneficiaries. However, this presumption can be overcome and the executor ‘passed over’. Section 50 Application: You can apply to the court for the executors to be removed or replaced under section 50 of the Administration of Justice Act 1985. Executor What is Your Responsibility to the Beneficiaries. The beneficiaries will need to present clear evidence of misconduct that cannot be addressed by a passing of accounts or the appointment of an estate trustee during litigation (see below). Evidence that the proposed trustee has breached trust obligations in the past (fraud, etc.) Please contact us to arrange a meeting. The executor's relationship with the beneficiaries of the estate is fiduciary, in other words the executor must act in the best interests of the beneficiaries. Note, however, that as a general rule the executor is not obliged to provide a) ‘minute by minute’ on-going reporting to beneficiaries, or b) all back up documentation (as in photocopies of expenses etc.- referred to as ‘vouchers’). The executor who is not a beneficiary also lives in LA. All information has been passed onto me by my father who was close with my uncle and his relatives. One of the most important jobs for an executor is to keep beneficiaries in the loop as you work to settle the estate. The executor must act in the best interests of the estate and all of the beneficiaries and cannot act in his or her own interests if they are not the same as those of the estate and the beneficiaries. In fact, beneficiaries might not receive anything until several months after they’ve been notified … If an executor does not willingly produce, for example, invoices, receipts, and cancelled cheques, the beneficiary may consider compelling that the executor complete a court-supervised review of the accounts. As trustees, executors owe many duties. Mississauga, ON L4Z 1S1. As an extension of this duty, executors also have several responsibilities to the beneficiaries of the will. W hen an executor refuses to act, beneficiaries of the will may become upset because the executor is the only person who can ensure the estate gets distributed. Removing an executor / estate trustee Region: Ontario Answer # 1175 ... and make decisions that are in the best interest of the beneficiaries or trust. This lawyer is not the estate’s or the beneficiaries’ lawyer. “They’re risking personal liability and can be held legally accountable,” Lo says. Nevertheless, most executors will answer "normal" phone calls or respond to "normal" emails. The Will states the deceased estate is to be shared equally between all 4 beneficiaries. Some executors may not have the financial savvy to handle a large estate. Method of Communicating with the Beneficiaries. 4. When you’re serving as executor, the single best way to avoid problems with beneficiaries is to keep them informed about the process and make your actions as transparent as possible. Assets with designated beneficiaries . To serve you, we have offices across the Greater Toronto Area – Toronto, Scarborough, Markham and Mississauga. When an executor is withholding an inheritance, not communicating with beneficiaries, or taking too long, it’s easy for beneficiaries to get frustrated. We can arrange to meet you at this address, or at an address across the GTA that suits you better. failed to sell real estate (the house of the deceased); failed to distribute the estate to the beneficiaries; and. An estate trustee cannot make a contested claim against the estate (such as a dependent support claim, or contested debt), nor can the estate trustee ‘challenge the will’. In the majority of cases, executors suddenly become much more active when they are confronted with a reasonable Court proceedings by the beneficiaries to enforce their rights. 555 Legget Drive To serve you, we have offices across the Greater Toronto Area – Toronto, Scarborough, Markham and Mississauga. The fundamental issue is whether their is evidence that the proposed estate trustee is unlikely to perform their duties properly. The appointment of themselves as an Executor/Administrator; Their inheritance – be it a specific item, cash sum or share of the estate. Experience shows if the beneficiaries don’t know the steps that are being taken during a San Diego probate they might get anxious.. 10 Things to Know if You’re Not the Executor of an Estate. An executor who wishes such a claim should renounce and not be appointed; and if appointed, should resign or be replaced (at least by an estate trustee during litigation). the expenses incurred by the trustee (such as legal fees), the values received by the estate trustee for assets (such as real estate). If there’s nothing left after that or the liabilities of the estate exceed the assets, the beneficiaries won’t receive an inheritance. Will or no Will? 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