We are dealing with an Estate where the Deceased appointed the Directors as at the time of her death in our Company as the Executors of her Estate. No specific persons are named - just the Directors in general. We intend on having the Grant issued to two of the Directors with power reserved to the other Directors of the Company. However, since the mid January 2022 updates to my HMCTS, we are having difficulties producing a Legal Statement which fits the circumstances of the Executors taking on the role.
In the clearing off section we have selected the “partners with power being reserved” option (as there is no separate option for “Directors” and appreciate that the word “partners” is taken to incorporate Directors also). We have then inputted the details of the two chosen Directors. It then asks to provide details of “who shares the profits in the Company” with the options being: members, directors, stakeholders and partners.
One of the proposed Executors shares in the profits, but the other does not. The question is asked as a whole rather than specific to each Executor. As a result, a statement is automatically generated within the Legal Statement against each Executor to say “[NAME OF PROPOSED EXECUTOR] is a profit sharing partner/member/director” depending upon which option you select.
Whilst this is true for one of the chosen Executors, it is not true of the other but there appears to be no way to update the statement to simply show that the chosen person(s) are applying in their capacity as one of the Directors at the date of death, rather than profit sharing. None of the other Directors in the Company to whom power is to be reserved share in the profits either. We need two Executors and so it is not as simple as just moving forward with the sole profit sharing director being appointed.
This never seemed to be an issue before the mid January 2022 update on My HMCTS as the Legal Statement would simply be produced with the names of the persons who were taking on the role and then there would be a box to type clearing information which would point to the fact that the persons named were acting in capacity as Director of the company. Declarations regarding the sharing of profits only needed to be stated where a Partner of an LLP was applying.
I have lodged an email with my HMCTS and tried to speak with someone on the helpline numerous times with no joy.
Wondered whether anyone has had any experiencing of successfully lodging an application where the Directors of a Company are appointed since the mid January 2022 updates and how you went about it to ensure the correct statement was generated?
Thank you in advance.