Executor Dispute re sale proceeds and expenses

Trusts Discussion
1

Hello, I am hoping someone can let me know what the options are in the following scenario please..

Two Executors who are also the residuary beneficiaries, 50/50. My firm acts for one Executor, and another firm of solicitors are acting for the other executor.

My firm extracted the grant of probate on behalf of both executors and received closure funds from the deceaseds bank account/shares. All assets have been dealt with apart from the sale of the property but exchange of contracts is likely in the next few weeks, however, the executors cannot agree where the net proceeds of sale should be paid to. Neither of them will agree for the others solicitors firm to receive the money.

My clients expenses for funeral flowers, wake, etc have been rejected by the co-executor on the basis that he didnt attend the wake so why should he have to pay out of his share of the estate.

In light of the deadlock, and expenses claim (with receipts) that have been rejected by the co-executor, how should the parties proceed?

Options I have thought of include mediation (which isnt going to happen), court application to remove co-executor or appoint an independant executor, court application for directions on where the sale proceeds are paid to and what expenses are recoverable. Any other suggestions?

Thanks in advance!

2

Hi Gemma

The executor who doesn’t agree to paying the funeral related expenses that his co-executor incurred seems to be confusing his role as executor with that of beneficiary. It is irrelevant that he didn’t attend the wake etc. Did the deceased say they didn’t want a wake, flowers etc? Or were the flowers and wake arguably more expensive than would have been expected given the deceased’s circumstances? If not then I think the deceased would have expected the costs to have been met from his estate. If they were more expensive perhaps the reluctant executor could be asked what they would consider reasonable and agree to a clam for that amount to move matters forward. The beneficiaries are only entitled to the residue, not the estate before expenses. Perhaps the reluctant executor could be reminded of this.

After that I have no idea.

Good luck

Sara

Sara Spencer ATII TEP | Trust Manager

www.trustandestate.co.uk

Sara Spencer Ltd, 8 Kingsway, Harrogate, HG1 5NQ

07952 651881 | 01423 524114

Sara.spencer@trustandestate.co.uk

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