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Is a high-value estate being mishandled? How beneficiaries can protect their inheritance

When a loved one passes away, the administration of their estate must be handled with care and impartiality.

High-value estate administration can be particularly complicated as they often involve managing property holdings, business interests, investments and international assets.

However, it is not always guaranteed that a Personal Representative (PR), who will be an executor in the case of a Will and an administrator in the case of intestacy, will carry out their duties properly and disputes may arise.

If you believe your loved one’s estate has been mishandled or delayed, you must know what the process is and whether you are eligible to make a claim.

What responsibilities does a PR have?

A PR is legally responsible for administering an estate when a person has passed.

Once a PR begins dealing with estate assets, known as intermeddling, they have strict fiduciary duties to the estate and its beneficiaries.

These duties are particularly important for high-value estates, where decisions about asset sales and investments could affect the overall value of the estate.

A PR’s duties include:

Collecting and protecting estate assets
Valuing assets properly
Paying debts, expenses and tax accurately and within 12 months after the death
Distributing the estate in line with the Will
Keeping proper estate accounts and providing information when requested

What are common issues in high-value estate administration?

For estates that are of high value, problems often arise when a PR:

Fails to act in accordance with the Will
Delays administration without a reasonable explanation
Sells property, shares or business assets at an undervalue
Allows personal interests to conflict with their duties
Refuses to provide clear and timely estate accounts

Where these failures cause financial loss, the PR may be personally liable to reimburse the estate.

Can I bring a claim against a PR?

Bringing a claim against a PR requires careful preparation and a detailed review of the Will, estate accounts, asset valuation and the steps taken during their administration.

This can help assess whether the PR has acted with reasonable care and skill and complied with their obligations.

A solicitor will usually send a formal letter setting out the alleged breaches before action is taken and this will be supported with evidence, such as any losses suffered by the estate.

This letter may also seek specific remedies, such as disclosure of accounts or repayment of losses.

If the PR fails to respond, disputes the allegations or continues to act improperly, court proceedings may be necessary.

Claims being submitted to the courts can include compensation for financial loss suffered by the estate, an injunction to prevent further damage or an application to remove or replace the PR.

Applications to remove a PR are commonly made under Section 50 Administration of Justice Act 1985 and the court will consider what is in the best interests of the estate and its beneficiaries.