Executor issue

[Tell me about it]

I have a problem. I am a beneficiary in a reasonably large estate. The will is very simple, a 50/50 split of all assets and property. No trusts or codicils. Probate is granted, creditors settled, accounts realised etc.

Unfortunately the executor, my half brother, is refusing to realise (sell) the major asset of the estate, two houses, as the will stipulates.

Instead he has begun to put both properties out to rent and is being very difficult with paying the already liquid assets. He says he intends this to be an indefinite arrangement, saying that he will dole out my 'share' of the rent monies on a monthly basis. I have written to him, disagreeing with this course of action, insisting that he do his job and execute the will faithfully. He says he wants to 'keep the money in the family' and keep the estate intact even though he has no children himself.

Renunciation is not possible as he has already 'interfered' with the estate by paying himself just short of 10,000 pounds from the liquid accounts.

Apart from refusing to countersign the rental agreements, I am not sure what I can do without losing the entire estate in a legal battle.

[leclerc]

Re: Executor issue

If the will states that the houses are to be sold and it must say clearly in the will that they ARE to be sold and not simply passed onto both of you then your half brother will have received probate from a court. You would need to contact the court of protection for them to investigate whether he has failed to follow the will and therefore should be removed as the executor of the estate because of this.

[des8]

Re: Executor issue

You are entitled to your share in the estate as per the Will. Your brother must, within a reasonable period of time, either offer to buy out your share or else place the houses on the open market. If he refuses then you can force him to sell the property through the court (costs would come from the estate but you would try and get a costs order against him).

As leclerc says it is possible to have an executor removed by court order. You would need to be able to demonstrate that he has been administering the estate badly. not implementing the will etc.

If you write to your brother it might be worth mentioning that as Executor he remains personally liable to you while the estate is unadministered and that includes for any losses which might be incurred by his failure to realize the estate's assets

[Tell me about it]

Re: Executor issue

If the will states that the houses are to be sold and it must say clearly in the will that they ARE to be sold and not simply passed onto both of you then your half brother will have received probate from a court.

The will simply states that all assets and properties are to be split equally between the two beneficiaries. Unfortunately, my half brother as executor has his hands on the purse strings and will brook no interference. He insists on renting indefinitely, which effectively prevents the asset (Two houses) being sold at best market value.

Is the Court of Protection the best way forward, as proving misuse may be difficult.

[Tell me about it]

Re: Executor issue

Thanks. The threat of personal liability may scare him back to his senses, so it is worth a try.

[stevemLS]

Re: Executor issue

I don't think the Court of Protection has any jurisdiction here, it can make a statutory will on behalf of an incapacitated person, but I think that's where it's jurisdiction ends in probate matters.

I think the correct jurisdiction is the Chancery Division of the High Court - which is expensive.

[des8]

Re: Executor issue

Steve is correct regarding jurisdiction.
If all else fails you would probably be best advised to make an application to remove the current executor under Section 50 of The Administration of Justice Act 1985.
However as has already been intimated, jt is VERY expensive and you are well advised to try and resolve the problems by other means.

[Tell me about it]

Re: Executor issue

you are well advised to try and resolve the problems by other means.

I agree. Persuasion is my first line of attack. I will write to him, detailing how he will remain Executor until the terms of the will are fully complied with, and therefore personally liable for any losses to the estate which have been occasioned by his actions.

[MissFM]

Re: Executor issue

Hi Tell me about it ,

This link outlines various legal avenues open to you (although it does seem more concerned with dilatory executors rather than deliberately pig-headed ones):

http://www.step.org/tackling-troublesome-executors

I agree with the posts above warning against costs - Chancery being the division that presided over Jarndyce v Jarndyce in Bleak House. With any luck your brother will become aware of the danger to his own inheritance should he continue in this vein, along with the spectre of personal liability as mentioned above.

Renunciation is not possible as he has already 'interfered' with the estate by paying himself just short of 10,000 pounds from the liquid accounts.

The above sets alarm bell ringing for me - has he justified this to your satisfaction? He is most emphatically not allowed to tuck into estate funds for his own personal use.

You don't mention the time scale - how long has he been in administration of the estate? I believe an executor to have a maximum 6 months to organize probate and then a further 6 - 18 months to finalize distribution of the estate (ie max. 2 years in toto, unless there is an exceptionally good reason for it taking longer). Others will no doubt correct if this is not so.

Good luck, anyway - I hope he sees sense without legal escalation or bad feeling. x

[Tell me about it]

Re: Executor issue

The above sets alarm bell ringing for me - has he justified this to your satisfaction? He is most emphatically not allowed to tuck into estate funds for his own personal use.

As he's joint beneficiary he's entitled to his share of the liquid funds. I have yet to receive any because he's unfamiliar with international money transfers (I live in Victoria BC, Canada with no plans to return to the UK - Dual nationality). I wasn't familiar with the 2 year rule though.

Section 50 of the 1985 act will be my standby if he carries on like he is doing.

[des8]

Re: Executor issue

I have yet to receive any because he's unfamiliar with international money transfers nationality). I wasn't familiar with the 2 year rule though.
.

Remind the executor that in the UK we have institutions called "Banks" and they will be able to advise him on international money transfers!
Also remind him that you are due interest on your share of any liquid assets from the date of death until the date of payment.

Regarding time limits, there aren't any really, it is just that the executor must act according to the standard a reasonably prudent person would use in dealing with their own affairs (and this includes acting in a timely fashion). The powers he has must be used for the benefit of the beneficiaries
It is advisable that the executor does not distribute the estate until after 6 months have elapsed, unless he is very sure there are no outstanding claims against the estate. The timeline in settling the estate will vary according to its complexity, eg a small estate with no property to dispose of could be completed within weeks, whereas a large estate with land , houses shares and trusts could take several years if the property doesn't sell.
However most estates would be settled within the two year period

[Tell me about it]

Re: Executor issue

Remind the executor that in the UK we have institutions called "Banks" and they will be able to advise him on international money transfers!
Also remind him that you are due interest on your share of any liquid assets from the date of death until the date of payment.

Regarding time limits, there aren't any really, it is just that the executor must act according to the standard a reasonably prudent person would use in dealing with their own affairs (and this includes acting in a timely fashion). The powers he has must be used for the benefit of the beneficiaries
It is advisable that the executor does not distribute the estate until after 6 months have elapsed, unless he is very sure there are no outstanding claims against the estate. The timeline in settling the estate will vary according to its complexity, eg a small estate with no property to dispose of could be completed within weeks, whereas a large estate with land , houses shares and trusts could take several years if the property doesn't sell.
However most estates would be settled within the two year period

Des8;

It's been well over six months, and all the bills are paid. At least this is my understanding, not having had anything that approaches a formal statement of account. Getting a straight answer out of my executor brother is like pulling teeth. He doles out information piecemeal. If I was of a more paranoid mindset, I would say he's being less than totally honest with me.

Regarding 'Banks'; my executor also appears to be stuck in a 1950's mental time warp. Originally he seemed to think he could do all payments by sterling cheque via mail, then did not seem to believe me when I told him that my Bank in Canada were reluctant to cash non-US dollar cheques over 10,000 dollars (Currently just over GBP5,500).

[des8]

Re: Executor issue

If the letter you intend sending to your brother does not have the desired effect, before "doing" a section 50 you could make application to the Probate Registry for an order requiring him to produce an inventory and account of the administration of the estate.
Just having to produce the inventory may spur him on, but if it doesn't the inventory and accounting supplied may give you the evidence you will need to remove him under a section 50 application.
However as already stressed, try all other means first. Your brother probably thinks he is acting in both your best interests and doesn't appreciate you have other views and possibly even have other plans for your inheritance. Taking the "legal" route won't strengthen family relationships!

[Tell me about it]

Re: Executor issue

However as already stressed, try all other means first. Your brother probably thinks he is acting in both your best interests and doesn't appreciate you have other views and possibly even have other plans for your inheritance. Taking the "legal" route won't strengthen family relationships!

Agreed. Gentle approach first. My Executor half brother and I aren't exactly close, never have been, but I see no percentage in alienating him unless he really forces my hand.

Many thanks to all on this thread for your advice.