Recently, two Queensland brothers aged in their late 50s made the news when they traveled all the way to Victoria in order to prevent their sister receiving the part of the profits of a house left behind by their mother. 

Their mother had left her estate (including the house) to be divided evenly amongst all her 3 children, with the sister as the executor of her mother’s estate. This decision was repeatedly challenged by both brothers but it is reported they eventually agreed to the house being sold.  

The day before auction of the property, the two brothers stole items from the home, hired an excavator to destroy the mother’s house and graffitied “Lois was murdered here” on the walls before drawing the outline of a body on the floor.  

The destruction process was filmed to the “amusement” of the brothers, who said that they would rather “pull it down piece by piece” than see their sister “getting a cent”  from the likely profits of the sale of the house. 

The brothers did not seem to care that they were destroying their own inheritance as well. In Court, Judge Cahill told the brothers that the “world is laughing at you for your stupidity” and the brothers apparently only avoided jail time as they pleaded guilty to the charges.  

Although a rather extreme example, family disputes are unfortunately an all too common occurrence when a loved one passes. Appointing one child as a sole executor over the other children or relatives can result in significant family tension. 

Despite an executor’s role being purely an administrative one with no financial benefit and often a burden on the person appointed, family members can mistakenly believe that being appointed as executor gives one sibling a greater entitlement to the estate or more importance than other relatives.  

If you or a loved one is concerned about their executor or determining who to appoint, it may be a good option to appoint a professional executor such as an accountant or lawyer, or a friend or relative who is removed from the situation.  

This way, your loved one’s estate can be managed at arms-length and potentially avoid any catastrophic arguments or consequences.  

To get in contact, send us an email or call 07 3220 1144 to discuss your personal circumstances. 

An executor or administrator of an Estate (known as the Legal Personal Representative) has a duty to administer the Estate according to the Will (if one exists) and the law.   

It is important to be aware, if you undertake this role, that issues can arise if the Estate is insolvent, that is, if there are insufficient funds to pay the Estate’s debts, or if the deceased was the sole director and/or shareholder of an insolvent company. 

A Legal Personal Representative who finds themselves in this situation should seek legal and insolvency advice as soon as they become aware of any issues.   

If a Legal Personal Representative suspects insolvency, they should consider appointing a trustee in bankruptcy (trustee) to the deceased estate and, if applicable, a liquidator of the company.  Otherwise, they may become personally liable for the debts of the Estate or the liabilities of the company.   

Generally speaking, in such circumstances, a Legal Personal Representative can, and should, apply to the Court for the appointment of a trustee.  Once a trustee is appointed by the Court, the Estate property will be administered by the Trustee for the benefit of the creditors of the Estate. 

If it is a company that is insolvent, then the Legal Personal Representative can, and should, appoint a liquidator over the company who will wind up the business and distribute its assets for the benefit of the creditors in a specific order of priority.  

As a Legal Personal Representative, you need to consider, and seek advice, if there is a concurrent bankrupt estate and insolvent company.  It may be that the trustee’s and liquidator’s roles give rise to irreconcilable conflict, and often the trustee and liquidator will be separate and unrelated insolvency professionals.  

Undertaking the role of Legal Personal Representative should be commenced cautiously and if any issue should arise, or there is a suspicion that an issue may arise, ensure you seek advice without delay from the relevant professionals.    

At Hillhouse Legal Partners, we have decades of experience in dealing with a variety of estate issues that a Legal Personal Representative may encounter.  We are more than happy to discuss any issue that may arise when the crucial role of Legal Personal Representative is undertaken. 

Send us an email or call 07 3220 1144 to discuss your personal circumstances.