When a loved one passes away, the administration of their estate must be handled with care and impartiality.
However, disputes can arise when a Personal Representative fails to carry out their responsibilities properly.
Beneficiaries may be entitled to bring a claim to remove the Personal Representative in order to protect their inheritance and the estate from being mishandled.
Our Contentious Probate expert, Erin Duffy, explains further below.
What is a Personal Representative?
A Personal Representative (PR) is the person legally responsible for administering a person’s estate, including executors and administrators, once they have passed away.
The role carries legal obligations and once they begin dealing with the estate, known as intermeddling, they must fulfil those duties diligently.
Under the Administration of Estates Act 1925, PRs must:
- Collect and safeguard the estate’s assets
- Administer the estate according to the law and the Will
- Provide estate accounts and inventories when required by the court
- Deliver probate documents to the court if ordered
What happens if a Personal Representative fails in their duties?
A PR who acts negligently, breaches the terms of the Will, unreasonably delays administration or uses their position to take personal benefit from the estate will be in breach of their duties and may be removed from their position.
These breaches can include:
- Failing to follow the Will’s instructions
- Distributing assets to the wrong people
- Not remaining neutral between competing beneficiaries
- Selling assets at an undervalued cost
- Failing to provide proper accounts or information
If these breaches result in financial loss, beneficiaries may be able to start a claim to hold the PR personally accountable.
The PR may be required to compensate the estate for the loss or account for any profits they have improperly gained.
Managing an estate can be overwhelming, but if you think a PR is not fulfilling their duties or is in breach of trust, you must seek legal advice as early as possible.
How to bring a claim against a Personal Representative?
A claim against a PR requires legal help to review the Will, any available estate accounts and the administration process to identify any breaches.
This includes assessing whether the PR has failed to act with reasonable care and skill and has breached their fiduciary obligations.
Before issuing proceedings, a solicitor will send a formal letter before action outlining the breaches and, if applicable, the loss caused to the estate and its beneficiaries.
This will allow the PR an opportunity to resolve the issue without court involvement.
If the PR does not respond or refuses to cooperate, a claim may need to be issued in Court citing the alleged breaches and financial loss.
When submitting a claim, it may include compensation for losses and an application to remove or replace the PR.
A PR found in breach of trust cannot use estate funds to defend themselves and beneficiaries must act quickly if they suspect this is happening.
How to remove a Personal Representative?
If a PR has intermeddled, they can only be removed by court order and applications are usually made under Section 50 Administration of Justice Act 1985 or Section 116 Senior Courts Act 1981.
The court will consider whether removal is in the best interest of the estate and if wrongdoing has occurred.
The wishes of the beneficiaries and the likely cost of appointing a replacement will also be considered.
What are your rights when claiming against Personal Representatives?
Losing a loved one can be emotionally challenging and the additional stress of a PR in breach of their duties can be difficult to approach on your own.
Personal Representatives have a strict duty to act in the best interests of beneficiaries and the estate, but this does not always run smoothly.
Claims against PRs are overwhelming and if you suspect an estate is being mismanaged, early legal advice is crucial.
Our expert team can assess the situation and help you protect your inheritance and ensure the estate is administered lawfully.
If you are concerned about a Personal Representative and a potential breach may have occurred, contact our Contentious Probate team today.