In times of bereavement it is often distressing for members of the deceased’s family to address the issues surrounding the wishes of the deceased. It can also be difficult to try and understand the specific language used in the administration of an estate even when you aren’t trying to cope with the loss of a loved one. To help you better understand this sometimes confusing process we have prepared a short series called ‘10 Things You May Not Know About Estate Administration’.
Andrew Freer E: andrew@kjblaw.com.au
Part 4 - Passing Accounts
A legal personal representative has a general duty to keep accounts and render them to beneficiaries when called on to do so. In addition, section 58 of the Administration and Probate Act 1929 (ACT) identifies that the rules may require a legal personal representative to prepare, have examined and have accounts passed by the Court in certain circumstances.
In most cases, a legal personal representative will be able to comply with his or her general duty to account (whether or not a demand has been made) and satisfy beneficiaries by providing an itemised list of:
What are Accounts?
Accounts are:
The passing of accounts involves a process akin to an audit by a Registrar of the court to determine both whether payments have been made and if so, whether they are proper. A legal personal representative is required to file and pass formal accounts when:
What do accounts look like?
There is no standard format for accounting in an informal way. The key is to inform beneficiaries adequately. Often accounts will be by letter from the executor's solicitor. The frequency, form and detail will depend on the make-up of assets in the estate and how complex the estate administration has been. Informal yet sufficiently detailed accounts will frequently both satisfy beneficiaries and fulfil the executor's duty to account.
If you are unsure whether you are keeping appropriate records, or are concerned that a legal personal representative is not keeping you properly updated on status of an estate, please contact the team at KJB Law on 6281 0999 to discuss.
Andrew Freer E: andrew@kjblaw.com.au
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10 Corinna Street
Woden
ACT, Australia 2606