Introduction to Administration Flashcards
What is the main purpose of a Grant of Representation?
A. To confirm that the deceased left a will
B. To give personal representatives legal authority to deal with the estate
C. To pay inheritance tax
D. To confirm funeral arrangements
B. To give personal representatives legal authority to deal with the estate
Explanation: The grant legally empowers PRs to collect, manage, and distribute the estate.
Which of the following is true about executors?
A. They derive their authority from the will and can act from the date of death
B. They are appointed by statute only
C. They cannot act until the court appoints them
D. They must apply for a grant before taking any action
A. They derive their authority from the will and can act from the date of death
Explanation: Executors are named in the will and technically can act immediately, but practically they need the grant.
Who can apply for a grant of letters of administration?
A. The deceased’s executor
B. A creditor of the deceased
C. The closest living relative when there is no will
D. A solicitor who dealt with the will
C. The closest living relative when there is no will
Explanation: In intestacy, administrators are appointed based on a hierarchy of relatives.
What is the purpose of estate accounts?
A. To determine the tax payable by PRs
B. To assess whether a will is valid
C. To update the Companies House record
D. To provide a transparent record of how the estate was managed and distributed
D. To provide a transparent record of how the estate was managed and distributed
Explanation: Estate accounts document assets collected, debts paid, and distributions made.
Anna dies leaving a valid will. Her will names her friend Tom as executor. What is Tom’s legal position?
A. He must apply for letters of administration
B. He has authority from the will to act as executor immediately
C. He must wait for a court order before taking any action
D. He has no legal status until named by the deceased’s family
B. He has authority from the will to act as executor immediately
Explanation: Executors have authority from the will, though a grant is often required in practice.
Sarah dies intestate. Her estate includes bank accounts and a property. Her adult son wants to access the funds. What must he do first?
A. Ask the solicitor to authorise release
B. Apply to the Land Registry
C. Apply for a grant of letters of administration
D. Present a copy of the death certificate to the bank
C. Apply for a grant of letters of administration
Explanation: Since there’s no will, a grant is needed to give authority to deal with the estate.
Mike, an executor, is preparing to distribute the estate. What must he ensure first?
A. That all debts and tax liabilities have been settled
B. That all relatives agree on the distribution
C. That he receives consent from HMRC
D. That the beneficiaries sign a deed of variation
A. That all debts and tax liabilities have been settled
Explanation: Debts and taxes must be paid before distributing to beneficiaries.
John is a personal representative. Which of the following assets is not part of the succession estate?
A. Shares in John’s name
B. A car registered to the deceased
C. Cash in the deceased’s sole bank account
D. A jointly owned house passing by survivorship
D. A jointly owned house passing by survivorship
Explanation: Joint property (joint tenancy) passes outside the estate and doesn’t require a grant.
An executor is trying to deal with an estate, but a bank refuses to release the funds without the grant. Which is the best explanation?
A. The executor has failed to pay inheritance tax
B. The executor has legal authority but needs the grant as practical proof
C. The executor does not have legal authority
D. The executor needs probate registry consent
B. The executor has legal authority but needs the grant as practical proof
Explanation: The will gives authority, but banks require a grant for protection and proof.
George is named in a will as an executor but wants to step down. What must he do?
A. Refuse to attend the funeral
B. Apply for a grant of letters of administration
C. Execute a formal renunciation before taking any action
D. Write to the beneficiaries
C. Execute a formal renunciation before taking any action
Explanation: Once an executor has “intermeddled,” they cannot renounce. It must be done early.
After the grant is issued, the PRs find out the deceased had an offshore account not previously declared. What must they do?
A. Amend the estate accounts and inform HMRC if needed
B. Close the estate immediately
C. Refuse to deal with the asset
D. Apply for a second grant
A. Amend the estate accounts and inform HMRC if needed
Explanation: All assets must be accounted for, even if found later.
Which of the following best describes the legal effect of the grant?
A. It creates a will
B. It converts all assets to cash
C. It ends the administration
D. It confirms the PRs’ authority to administer the estate
D. It confirms the PRs’ authority to administer the estate
Explanation: The grant legally confirms the PR’s power to collect and distribute the estate.
