Administration: Dealing with the Estate

Question 1

What is the primary duty of PRs?

Answer 1

Collect and get in the real and personal estate of the deceased and adminsiter it according to the law

Question 2

What is the effect of a breach by the PR?

Answer 2

A PR who accepts office is personally liable for loss to the estate resulting from any breach of duty they commit as PR

Question 3

How can PRs protect themselves against unknown claims unknown beneficiaries and creditors?

Answer 3

By advertising for a claiment

Provided that the PRs wait for the time period specified in the statue (at least 2 months) before distributing the estate, the PRs will be protected from liability if an unknown C appears later

Question 4

How can PRs give notice of the intended distribution of the estate?

Answer 4

1. Advertisement in the London Gazette
2. Advert is a newspaper in the district where the deceased lived
3. Any other reasonable advert

Question 5

When do PRs not get any protection?

Answer 5

When they know there is a person with a claim but cannot find them

Question 6

What happens when PRs cannot trace a known beneficiary?

Answer 6

1. Keeping back assets in case they appear
2. Taking an indemnity from the beneficiaries that they will meet any claims if the C reappears
3. Taking out insurance to provide funds
4. Applying to the court for an order authorising the PRs to distribute the estate on the basis that the C is dead

Question 7

What are some preliminary considerations before PRs can distribute the estate?

Answer 7

1. immediate sources of money to pay for funeral, admin expenses etc
2. Repayment of loan to pay for IHT
3. Sales of assets can be used to pay debts and expenses