Choosing an Executor, Liquidator, Trustee, Guardian, Tutor
One of the most
important decisions you can make when preparing your Will is choosing
who is going to carry out your wishes. This responsibility falls on the
Executor(s), Liquidator(s), on the Trustee(s) and on the
Guardian(s), Tutor(s).
The
person(s) you choose to act for you should have the appropriate competences and
attitudes that allow you to have full confidence in their ability to
carry out your wishes.
Examples of these desirable competences would be:
1. Familiarity with basic Will, Estate, Property and Trust law
2. Knowledge of Taxation issues related to Estates, Property and Trusts
3. Ability to appraise and valuate property (Real estate, Business assets, Financial instruments, etc.)
4. Competence with Insurance matters, Property management, Business management and Financial investments generally.
5. Capable of keeping accurate bookkeeping records for the estate.
6. Comfortable dealing with the various professionals needed to
administer or transfer the various assets making up an estate.
On a personal level, the person(s) chosen as Executor/Liquidator, Trustee or Guardian should exhibit the following qualities:
- Willing and able to do the job, when the time comes
- Conscientious, responsible, diligent
- Honest, trustworthy
- Organized, detail-oriented
- Available to devote sufficient time to the task, including time away from work and/or family
- Able to be objective and impartial towards your beneficiaries
- Good listener, empathetic to the needs and wants of loved ones
- Capable of exercising good judgment in the above skill areas
- Administrative skills
- Good communications skills: written and spoken
- Able to bear the
financial risk of potential legal liability for any mistakes made in settling,
administering, or implementing the estate.
Here are some of the common problems encountered with Clients' choices of Executors/Liquidators/Trustees/Guardians:
o
Unwillingness to act when the time comes (person named did not even
know they had been appointed as their Executor, Trustee or Guardian - Client never asked them)
o Potential conflicts of interest have arisen, causing mistrust and new family strife
o Person chosen has moved away, died or is incapable of acting now due
to health issues (Client did not keep their Will up to date)
o Settlement involves long delays due to the distances now involved
o Executor doesn't really have the time, or the ability to deal with the
demands of the estate, causing serious delays in the settlement and distribution of assets
o Overlooking the naming of one or more substitutes as a backup, in case the first choice is unable or unwilling to act
o Naming an Executor without also naming a Trustee (Trusts exist)
o Naming a Trustee without also naming a Guardian (Minors exist)
o Person named shows unjustifiable bias in their administration and their decision-making
o Executor overlooks some minor legal steps resulting in litigation from
disgruntled family members who may have been excluded from the estate
under the Will.
One solution to many of these problems is to appoint a neutral legal professional to provide assistance in settling the estate.
Our
firm has many years of experience in assisting and settling both simple
and complex estates. We have the necessary skills and resources to
execute the multitude of tasks, both effectively and efficiently.
The advantages of having our professional assistance include:
- objectivity and impartial decision-making
- competence in legal and tax matters
- property & business administration competences
- reduced risk of liability for the Estate
- faithful execution of your wishes
- quicker settlements
- time and money savings
Our professional estate assistance services include all of the steps
required from the initial gathering and protection of assets, through
to any interim administration, sale and disposition, and then
ultimately to
the final after-tax distributions being made to your intended
beneficiaries.
We can also act as a co-executor with your spouse or other named
executor, to ensure impartiality and wise counsel. All of the minor
decisions concerning administrative formalities could be left in our
hands, but the major ones would all be made jointly.
For more information on the nature and costs of these services, please contact us.
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