Wills, Estates & Trusts
Estate Trustee Lawyers
Wills, Estates & Trusts
Estate Trustees
A competent and honest estate trustee is crucial to ensuring the instructions in your will are dutifully followed and your estate is administered properly. It is therefore important that you select the right person for this role. Our Wills and Estate lawyers can help you with the process of executing your legally binding last will and testament and advise you on entrusting the right person with the responsibility of your estate administration and distribution.
What is the role of an estate trustee?
An estate trustee is the person you choose to manage your estate. If none is chosen, the court will assign the responsibility to a suitable person. If the person chosen refuses this responsibility, then the role is passed on to the successor or alternate trustee, if any, mentioned in the will. If not, then the beneficiaries may have to apply to court to appoint a new estate trustee.
What are the duties and responsibilities of the estate trustee?
Ensuring the validity of the will
The estate trustee will ensure that the will in consideration is your last will and testament and there is no other updated will or codicil to be considered for the estate.
Communicating with the beneficiaries
The estate trustee must follow your instructions and send notices or letters informing the legal beneficiaries of their entitlements to the estate.
Auditing the estate assets and maintaining a complete inventory
It is an important responsibility of the estate trustee to determine the actual value of the financial assets of the estate. This will help in ensuring that the estate assets are never sold off below their market value.
Handling the liabilities, debts, claims, and financial obligations
The estate trustee would advertise or issue notices through various channels inviting any creditors with a valid claim to approach the estate with proof so that all liabilities against the estate may be settled without fail.
Meeting all the mandatory obligations, tax and utility payments
The trustee must also undertake the responsibility of clearing all outstanding dues to the federal and provincial governments, regulatory agencies, tax departments, and utility companies on behalf of the estate.
Income distribution to the beneficiaries
The trustee is expected to set up an income distribution schedule for the dependent beneficiaries and to ensure that they receive their payments on a regular basis as per the instructions laid down in the will.
How can our Wills and Estate lawyer help you?
The guidance of an experienced Wills and Estate lawyer is important in ensuring the following.
Legal support in executing your will and testament
Any changes you need to make to your final will and testament can be made either as a new will or as a codicil to the existing will. Your lawyer will ensure that your final will is properly executed, signed, witnessed, and registered to make it legally binding.
Guidance in identifying the right estate trustee for your will
As mentioned above, perhaps the most important task is that of assigning the role of the estate trustee to a capable person. The person must be capable of handling the estate administration and distribution responsibilities as well as trustworthy when it comes to handling the finances of the estate. Your lawyer will advise you in finding the right individual for this position. In fact, it is best to designate multiple trustees in place of one and also to nominate successor or alternate trustees in the event that one of the designated trustees dies or refuses to accept the responsibility.
Support with the administration of the estate
When the time comes, your lawyer will be there to assist and guide the estate trustee with the administration and running of the estate, especially when it comes to the legal matters, including dealing with the court whenever necessary.
If you are planning to execute your final will and testament and want to set up your estate administration in order, including assigning the role of estate trustee to the right person, reach out to our wills and estate lawyers for support and assistance.
Frequently Asked Questions
What disqualifies a person from becoming an estate trustee?
This will depend on the person and the specific aspects of the estate, such as the relationship of the person with the beneficiaries. Some of the common factors that might disqualify a person from being considered for this role are as follows.
Conflict of interest
Obviously, the relationship of the person with the estate and the other beneficiaries should be a factor in deciding whether they will be a good trustee for the estate. If there is a possibility of bias or a conflict of interest, that might disqualify them.
Criminal record
A criminal record may disqualify a potential trustee from being appointed estate trustee. The question arises as to whether such a person can administer the estate with honesty and integrity.
Bankruptcy
If the person had recently suffered the setback of a bankruptcy, this demonstrates their inability to handle finances and their failure to meet the financial obligations in their own affairs. They may therefore be deemed not suitable for managing the estate.
Mental incapacity
If, for any reason, it can be proven that the person is not of a sound mind and does not have the mental capacity to handle such responsibilities.
What happens if the estate trustee dies?
While in most cases, the estate trustee will be able to complete the tasks assigned to them by the testator or the court. If the trustee were to pass away before the affairs of the estate were settled properly, then the will’s provisions, if any, for assigning the successor or alternate trustee will come into effect. Most wills and estate lawyers will recommend multiple or successor estate trustees to account for such scenarios. If the deceased trustee had a will naming the successor trustee, then this person may be appointed to the position through a court process. If that is not the case, then the court will appoint a trustee for the estate. If you are dealing with a similar situation, reach out to our wills and estate lawyers for legal guidance and assistance.
On what grounds can you remove an estate trustee?
It is possible to remove the estate trustee by approaching the court or through the process, if any, laid down in the will. Some of the common grounds for removing a trustee are as follows.
- Incapacity.
- Misconduct.
- Not acting in the best interests of the estate.
- Conflict and hostility with the beneficiaries.
If you are planning to legally remove the estate trustee, reach out to our wills and estate lawyer to explore the best course of action.
Can I refuse to become the estate trustee?
Yes. However, you might have to submit a signed form of declination to the court or the successor trustee mentioned in the will. If there are no provisions for a successor trustee provided in the will, you are under no legal obligation to take up the responsibilities in this regard. One of the beneficiaries may have to approach the court to initiate the process of appointing a new trustee for the estate if none of the trustees or successor trustees are willing to take over the responsibilities of managing the estate. For any further clarification, please contact our wills and estate lawyer with the particular details of your case.
Can an estate trustee withdraw funds?
Yes. It is inevitable that the estate trustee will have to withdraw funds from time to time to pay for the various obligations and financial requirements of the estate. However, this must be done through the process laid down in the will by the testator. Such withdrawals must meet the restrictions and obligations as mentioned in the will. If this is not done properly, one of the beneficiaries is likely to challenge the transfer of funds in court, and they might even request the removal of the trustee on these grounds.
