DWP and solicitor issues

[mam2001]

Hi,

I've been frantically trying to do search of DWP through google and came across this awesome forum...I really hope you can shed some insight on my dilemma.

So my father passed away and did not leave a will. He had a very large estate which unfortunately a huge chunk was sucked up by your HMRC (40 %...wow)! The majority of estate was passed to my sibling due to it being in joint accounts. Oh, I should also mention that I'm not a UK citizen, I live in North America. My father left with my sibling and relocated to UK when I was small and later my mother divorced him. So what is left is a property (well under 300k) which forms the residuary estate (myself and my sibling split plus the additional lawyer fees etc). Upon notice of my father's death I flew to the UK and hired lawyers there. Due to the complication of the many accounts that were discovered (and ultimately were joint) the estate finalization has been going on for months. Btw, I'm the Executor and my lawyers are acting in a administrative capacity on my behalf.

Just yesterday I received word from my lawyer's office that the DWP requested a LIFETIME of scheduled assets from my deceased father to see if they overpaid his benefits. They sent that request in 10 days ago without notifying me. My lawyer also let me know that DWP suggested that distribution of estate should not take place until they reviewed the file. The lawyer told me it could take 4-6 weeks. When I googled DWP in UK I learned that this could go WELL BEYOND their estimated time frame.

I'm rather annoyed so I'm not sure what to do next. I would really appreciate your feedback on the following queries:

1. Can DWP demand a lifetime of payment or is there a specific time frame they can go back (ie 6 years)?
2. Should my lawyer have notified me first before sending what they require?
3. Can I demand that the estate be paid out regardless of DWP's request?
4. What can DWP do to me living out of country??
5. Should I end my services with the solicitors and pursue this myself?
6.Can DWP demand payment from the joint accounts of my sibling or will only the residuary estate be effected?

I REALLY APPRECIATE YOUR ADVICE!! The lawyer fee is huge as it stands already!!! Many thanks.

[stevemLS]

Re: DWP and solicitor issues

1. No, the DWP is not limited to 6 years although a lifetime's records sounds bit daft.
2. Depends entirely on the scope of the instructions you gave to solicitor.
3. You can, but you would be personally liable for any amount the DWP then sought to recover.
4. The estate is in this country and the DWP would seek reimbursement from the estate. Quite what they could do to you personally, I don't know.
5. Why?
6. Are you saying that your sibling had joint accounts with your father? The starting point is that, absent any evidence to the contrary, funds in joint accounts pass to the survivor if one account holder dies. There is an article about it here http://www.stephens-scown.co.uk/blog...mine-is-yours/

It is not uncommon for the settlement of and estate to take 12-18 months, particularly where there are complexities as there seems to be here. From what I have heard a DWP timescale of 4-6 weeks is hopelessly optimistic.

[des8]

Re: DWP and solicitor issues

Also re:
3. DWP can follow the money. This means that although the executor is liable, they can follow payouts made to beneficiaries and claim any over payments of benefits from them.
The beneficiaries only defence against that sort of action is "change of position".

4-6 weeks to investigate a lifetimes accounts! Someone is hopeful. It normally takes a few months, and I know one case where it took over 18 months before DWP completed their investigations!

[stevemLS]

Re: DWP and solicitor issues

To add to des's point if a successful "change of position" argument was made by a beneficiary then, assuming it was worth the bother, DWP would revert to Executor.

Even more likely when they have warned you not to distribute.

[mam2001]

Re: DWP and solicitor issues

1. No, the DWP is not limited to 6 years although a lifetime's records sounds bit daft.
2. Depends entirely on the scope of the instructions you gave to solicitor.
3. You can, but you would be personally liable for any amount the DWP then sought to recover.
4. The estate is in this country and the DWP would seek reimbursement from the estate. Quite what they could do to you personally, I don't know.
5. Why?
6. Are you saying that your sibling had joint accounts with your father? The starting point is that, absent any evidence to the contrary, funds in joint accounts pass to the survivor if one account holder dies. There is an article about it here http://www.stephens-scown.co.uk/blog...mine-is-yours/

It is not uncommon for the settlement of and estate to take 12-18 months, particularly where there are complexities as there seems to be here. From what I have heard a DWP timescale of 4-6 weeks is hopelessly optimistic.

Thanks for your feedback. Re questions:

3: The day I hired my lawyer, I was informed that they would only act in an administrative capacity and that they would not do anything first without notifying me. They did not notify me about DWP contacting them and they only informed me AFTER they sent them everything...10 days after the fact.

4. So then am I to understand that any distribution paid to a beneficiary out of country cannot be sought after by DWP?

5. Why?if this goes on for another 12-18 month we are going to have to pay more, that's why

6. Yes. So am I to understand then the DWP cannot touch my siblings account since it's no longer joint with my father? If this is the case will they only try to claim back refund from what's left of the estate that is not joint?

Thx again ....

[stevemLS]

Re: DWP and solicitor issues

3. I don't understand what acting in an "administrative capacity" is. There is a legal obligation to provide the information that the DWP seek, otherwise they will determine that all means tested benefits have been overpaid.

4. No, that isn't what was said.

5. Not necessarily, delay doesn't increase the amount of work that needs to be done - are you paying on an hourly basis or a % of the estate.

6. Yes, that is my understanding.