To act or not to act

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“Settling an estate is often a thankless task” “Money has a habit of changing the attitudes of a lot of people,” Mr. Ngai says, “but an executor’s job isn’t simply to distribute wealth.”

Based on a survey made among those who have served as executors, the challenges and expectations are listed below for your reference.

The survey above shows that being an executor is not an easy job. The expectations are high and the duties of an executor include applying for the court order, making sure that all debts are paid and distributing the estate according to the wishes of the testator. It is a tedious and time-consuming process. To act or not to act? To act or not to act? To act or not to act?

What will happen if the executor dies while acting as the executor? Who will continue with the administration of the estate? The situations below illustrate the problems when an individual executor dies or refuse to act as an executor. Appointing a trust company as the executor would overcome the problems mentioned.

Situation 1

Testator X, appointed A as the executor and RWT as the substitute executor.
X died and A applied for probate. A died due to accident while acting as the executor. Who will continue to administer the estate?

Situation 2

Testator X, appointed A as the executor and B as the substitute executor.
X died and A renounced the appointment. Who will continue to administer the estate?

* de bonis non is a legal term referring to where the estate of a deceased person has not been wholly administered due to death or retirement of an executor/administrator and a new administrator is appointed to administer the remaining parts of the estate. The court order to obtain would be Letters of Administration de bonis non for intestacy cases or Letter or Letters of Administration with Will Annexed de bonis non for testacy cases.

 

For full article: https://www.wsj.com/articles/the-biggest-mistakes-executors-make-1454295683


 Disclaimer: This article is given purely for information drawn from other sources and Rockwills makes no representations, express or implied, thereon and shall not be responsible for the accuracy of such information.