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Contentious probate

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  • Contentious probate

    The situation ignoring family squabbles is

    Father died intestate so left no will, the estate is to be divided between 4 siblings

    Sibling 1 disabled on means tested benefits and has a current IVA
    Sibling 2 working with an rent element of universal credit.
    Sibling 3 disabled on means tested benefits.
    Sibling 4 working. Single.
    Sibling 4 is also the administrator for the estate and is living in the main asset a bungalow.

    All siblings having means tested benefits will lose them when they receive their share, they are not able to negotiate a reduction in their inheritance or could fall foul of DWP Deprivation of assets rules, so limits any option for deed of Variation. The sibling with IVA will have it revoked but will still need administrator to forward their share to the insolvency company, all the while being harassed by their creditors.

    The problem.

    Sibling 4 is abusing their position as administrator to benefit themselves as a beneficiary. They are living rent free to the tune of approx. £600 per month (meaning they get to keep their wages instead of paying rent like everyone else with no tax liability), they do not have a tenancy agreement nor own any part of the property, only a share of the residual value of the estate, they are refusing to leave and sell the property. Under normal circumstances the administrator would contact the beneficiary and if necessary take them to court to remove them via an order for sale, but as I said they ARE the administrator and are failing in their duty by putting their own needs first. They have been advised by a solicitor of their options but has declined to use them and is relying on the other beneficiaries with limited means not to take any action, leaving probate incomplete.

    ive been told I could apply to court for 'order for sale' but this seems to be for joint owners, any suggestions would ve appreciated.
    Tags: None

  • #2
    it is also for beneficiaries of the trust under which the property is held, which you appear to be.

    Consider consulting a solicitor.
    Lawyer (solicitor) - retired from practice, now supervising solicitor in a university law clinic. I do not advise by private message.

    Litigants in Person should download and read this: https://www.judiciary.uk/wp-content/..._in_Person.pdf

    Comment


    • #3
      ATTICUS, there is no mention of a Trust? Can you clarify please

      Comment


      • #4
        The beneficiaries of the estate are beneficiaries of a de facto trust. They each have a beneficial interest in the estate and in it being properly administered and distributed - as the Administrator will have sworn an oath to do.
        Lawyer (solicitor) - retired from practice, now supervising solicitor in a university law clinic. I do not advise by private message.

        Litigants in Person should download and read this: https://www.judiciary.uk/wp-content/..._in_Person.pdf

        Comment


        • #5
          I would agree that professional advice is sought, but that genearally comes at a cost.
          You might manage to obtain a singled fixed fee (or even free) consultation to see what options there are.

          You don't say how long this matter has been going on, but it may be possible to issue a summons for the administrator to give an inventory and account of the estate. The thought of a court appearance might nudge him in the right direction.
          The other point that comes to mind is "occupation rent". Tell him that is now due to the beneficiaries who do not have access to the property for the time he lives there.

          The Administration of estates act 1925 1 (2)The personal representatives for the time being of a deceased person are deemed in law his heirs and assigns within the meaning of all trusts and powers
          Essentially the administrator is holding the estate as if in a trust for the benefit of the beneficiaries

          Comment


          • #6
            An Update. Firstly thankyou for the replies

            The administrator is going to obtain 3 vaulations then consider their options.

            Should they decide to buy out 1 if not all other beneficiaries how would that work? What documents would be needed to make it legal and finally I know I'm being greedy but how would this effect CGT as the property has increased in value by over 20k

            Comment

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