Some people become personal representatives because an individual asked them to take on that responsibility. Those who draft estate plans before they die often put a lot of thought into the selection of their personal representatives. They want to choose someone fastidious, trustworthy and responsible.
Other times, if a decedent did not have an estate plan on record, individuals close to the deceased individual might volunteer to help oversee the probate process. Estate administration requires the fulfillment of personal responsibilities.
Personal representatives can also carry out the last wishes of a testator based on the will or trust documents they left behind. Estate administration can be a lengthy process, and there are many opportunities to make potentially serious mistakes. The three errors below are among the most common mistakes and oversights during estate administration.
1. Failing to act quickly
Numerous tasks become the immediate responsibility of the personal representative. They must initiate probate proceedings. They must secure estate resources, such as the residence previously occupied by the decedent.
They must also communicate with interested parties, including beneficiaries, heirs and creditors. Procrastinating about estate administration might result in interested parties going to court to seek the removal of a representative.
2. Ignoring financial obligations
It can be a pleasant experience to distribute estate resources to beneficiaries. Paying off debts is far less exciting and emotionally rewarding.
Personal representatives may open themselves up to not just the possibility of removal but also the risk of personal financial responsibility if they fail to fulfill the financial obligations of the decedent, which become the responsibility of the estate.
3. Deviating from the estate plan
In scenarios where a testator provided clear instructions about the distribution of their property, the personal representative typically has to follow those instructions. Even if they question the decisions of the testator, it is their obligation to fulfill their last wishes rather than to impose their own desires on the estate.
In scenarios where a personal representative refuses to make distributions to certain beneficiaries or otherwise puts their own preferences ahead of the testator’s wishes, they may be at risk of removal from their position.
Typically, the estate itself can cover the costs associated with representation for the personal representative. Securing support early during estate administration can help people avoid common mistakes that could have financial consequences. Personal representatives may need help reviewing documents and understanding their legal responsibilities.