inheritance question (small update p2)

I believe the executors make the final decision, that is what they are there for

I have vague memories that if the Executors haven't acted to wind up the estate within 6 months, the beneficiaries are entitled to force their hand.
However - I don't know if by putting the house on the market that counts as taking steps, and I don't know if it only requires a majority of beneficiaries.
Hmmm - I am not much help, am I?!

This might be of interest... obviously you don't want to get into a complicated fight, but it does at least indicate that you might have a right to challenge their actions.

From:https://www.hrjforemanlaws.co.uk/SS/Documents/Executors.doc
HOW LONG HAVE I GOT TO COMPLETE
THE ADMINISTRATION?

There are no strict rules on time limits except to say the administration should be completed within a ‘reasonable period#%92. Reasonable depends on all the circumstances and can can be challenged by an interested partyid="red">. It is important therefore that you take the time needed to ensure that the administration is carried out with care and accurately.

Also - executors have a duty to protect the value of the estate whilst dealing with it. Not sure how that fits with a falling housing market? (although, as your friend wants to sell cheaper to do it quickly, they may say they ARE preserving value)

Apparently you have to pay inheritance tax (if appropriate) within 6 months of the death - that may force their hand a bit over the speed of the sale?

Thanks IQ and MG. The Executor who is also a beneficiary is very elderly and doesn't seem to see the urgency. The worry is that the market will keep on dropping and they'll be forced to take a silly offer, whereas they could drop it significantly, and the hit is still spread between the 6 of them.
The inheritance tax has been paid and there was also some shares/cash etc but my friend hasn't seen any of that either.

Will speak to my friend tonight and pass on the info.?

quote:Originally posted by Eleda
Thanks IQ and MG. The Executor who is also a beneficiary is very elderly and doesn't seem to see the urgency. The worry is that the market will keep on dropping and they'll be forced to take a silly offer, whereas they could drop it significantly, and the hit is still spread between the 6 of them.
The inheritance tax has been paid and there was also some shares/cash etc but my friend hasn't seen any of that either.

Will speak to my friend tonight and pass on the info.?

id="quote">

if the IHT has been paid then surely they have probate assuming it was needed? the issue of the shares and cash should have been dealt with, and i would question right away the reason it has not been sorted unless probate hasnt yet been granted. you dont say when "last year" and probate can take some time.

IHT may have been paid from the sale of Shares & cash.

quote:Originally posted by Mrs JMP
IHT may have been paid from the sale of Shares & cash.

id="quote">

exactly. there s a lot we havent been told though in the OP.

quote:Originally posted by NickJ

quote:Originally posted by Eleda
Thanks IQ and MG. The Executor who is also a beneficiary is very elderly and doesn't seem to see the urgency. The worry is that the market will keep on dropping and they'll be forced to take a silly offer, whereas they could drop it significantly, and the hit is still spread between the 6 of them.
The inheritance tax has been paid and there was also some shares/cash etc but my friend hasn't seen any of that either.

Will speak to my friend tonight and pass on the info.?

id="quote">

if the IHT has been paid then surely they have probate assuming it was needed? the issue of the shares and cash should have been dealt with, and i would question right away the reason it has not been sorted unless probate hasnt yet been granted. you dont say when "last year" and probate can take some time.

id="quote">

Ta Nick. from what I can remember from what she told me, the elderly relative who is also an executor (an uncle) paid the IHT himself and then took this amount back from the estate. She'd left a sum to be sent to a church abroad and he plans to take this himself in cash, and is keeping back some of the money to cover this and his expenses. I know that sounds dodgy but she doesn't seem to think it is. The lady died last year in October, the Will was read to the family end of November and the IHT was paid in Jan. The impression she got was that the uncle was only going to divide up the money when the house was sold, and then everyone would get a lump sum. Does that make sense?

Even if the house sold to a cash buyer, it could take months still to go through legal channels.

All good things come to those who wait.

quote:Originally posted by Eleda
My friend's maiden aunt died last year and left her entire estate to be equally divided between her closest 6 relatives, of which my friend is one. The estate included her house, which has been on the market for 8 months and only had a few viewings. She would like to drop the price of the house considerably in order to get it sold quickly, and 2 of the other beneficiaries agree with her.
There are 2 executors and one of them is a also one of the 6 beneficiairies, and he thinks they should wait for a buyer.

Who has the right to make the final decision on what to do?

id="quote">

Where's the house then??

Sorry!?


But seriously, no idea.

Both of those things ARE dodgy.

the executors should account for every penny, with bank statements to match. and this amount to the church should be wired to their account, and a receipt should be issued.

take it himself in cash? wtf? who s paying his expenses? the estate? pfffffffffffft. i d be getting a grip of this tbh.

quote:Originally posted by NickJ
both of those things ARE dodgy.

the executors should account for every penny, with bank statements to match. and this amount to the church should be wired to their account, and a receipt should be issued.

take it himself in cash? wtf? who s paying his expenses? the estate? pfffffffffffft. i d be getting a grip of this tbh.

id="quote">

Yep, that's what i thought. The money is to go back to a church in India and he reckons it's the best way to get the money there blah blah. Should the executors automatically supply receipts etc to the beneficiaries or do they have to ask for them?

Bag, the house is in Tooting. All serious offers considered, I reckon!?

(into a meeting shortly but will check back soon)

In terms of timing, a reasonable time to dispose of the property is normally at least 12 months from death.

Its good practice for the executors to supply a full account to each beneficiary (in this case). that includes bank statements, contract notes for the sale of securities, the agents contract who s handling the house, all invoices in connection to the estate, everything.

the indian church will have a bank account. the money should be sent electronically. otherwise, how are they going to know the money was actually sent? technically, the beneficiaries cant control anything, but the other executor shoul dbe insisting on all this. he cant just take cash, its ridiculous.

similarly, he should not have paid his own cash to settle the IHT, and then take it back. how does the other executor know its even being paid?

no, from what you ve said, this isnt being handled professionally. the other exec should get more involved and insist that everything is accounted for correctly.

Thanks NIck and MrsJMP, it's helpful to get a second perspective on it all. Am seeing friend tonight and will pass all this on. ?

Small update:

Friend spoke to 3 of the other beneficiaries and they all think that dropping the price of the house to get rid of it, would be a good idea. Then she called the Uncle (who is also a beneficiary and executor) only to be put through to her aunt, who is also a beneficiary. She chatted to aunt and then dropped into conversation that a few of them thought they should drop the house price and the aunt snapped "That's up to your Uncle." End of.

So now she's got to face dominant uncle who doesn't see the need to give any information. So no further. Pah.