Dear All
Is there are any relevant case law or rule that allows a beneficiary to request the estate accounts or Inheritance tax submission after probate has been granted.
I look forward to hearing your response.
Kind Regards
On the basis that they would reasonably be within the definition of “trust documents”, I believe a residuary beneficiary would be entitled to request copies. In fact, the executors should probably be pro-active in providing estate accounts so as to evidence that the estate has been correctly administered.
I do not consider that any other beneficiary would have a right to see any such documents unless the gift to them abated, as it would be reasonable for the executors to evidence that they had received their “due entitlement”.
Paul Saunders FCIB TEP
Independent Trust Consultant
Providing support and advice to fellow professionals
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Thanks paul for your response.
The issue here is that the deceased will states that the property is to be transferred into our client (beneficiary) name. The executor is claiming that there are no funds left in the estate and any legal expenses are to be bore by our client with respect to the property transfer. We would request a copy of the estate accounts to confirm that there is no funds left and where they have been used.
My understanding is that the cost of the assignment is a liability of the estate, although the cost of registering title is that of the devisee.
Whilst it is not unusual for the executor to see the process through to completion of the transaction, strictly they should provide the beneficiary with a completed AS1 and it will be for the beneficiary to register it. The beneficiary (as “purchaser”) is then making the required SDLT declarations.
With regard to any right of your client to see accounts, this will depend upon the reason there are no funds left in the estate.
If it is the case that the estate is subject to an abatement, so that there is insufficient in the estate in any event to meet the costs of the assent, then I believe your client would, in effect, stand in the shoes of the residuary beneficiaries in being entitled to know why a shortfall has arisen and, therefore, entitled to an accounting.
However, if it is the case that the executors have distributed the estate without regard to the estate’s liability for the costs of assenting the property to your client then, prima facie, the executors are personally liable for the costs, having over-distributed the estate. They would have a right to approach those to whom they have over-distributed, but that would be to recover their expense and should not delay them completing the assent.
Paul Saunders FCIB TEP
Independent Trust Consultant
Providing support and advice to fellow professionals
Schmidt v Rosewood applies to estates as it does to trusts so most documents should be available to residuary beneficiaries (confirming what Paul says)
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