A warning has been issued about the potentially “devastating” consequences of relying on family and friends as executors and trustees for wills after it was revealed that mishandled estate claims have more than tripled.
Figures released by the High Court’s Chancery Division show that 368 claims for breach of fiduciary duty were lodged in 2013, up from 107 in the previous 12 months.
The claims range from theft by a will’s executor to fraudulent distribution of assets to favour certain beneficiaries.
And Macks solicitor Iain Atkinson is seeing alarming evidence of the national trend being repeated across our area.
“There is no doubt there has been a very significant increase in the number of cases I see involving wills which haven’t been prepared properly and where disputes arise between the executors and beneficiaries,” he said.
“Very often the problems of mishandled estates arise because executors simply do not understand what they are supposed to do.”
It is believed that increasing reliance on family members or acquaintances as DIY executors or trustees is one of the factors behind the rise.
The warning was echoed by Richard Roberts, chairman of the Law Society’s wills and equity committee, who says that while lay executors can often perform their roles perfectly well, the risks of mismanagement increase as more people take out probate themselves.
In some cases it can prove to be a false economy, ending in costly and often deeply distressing litigation that can tear families apart.
Mr Atkinson warned: “Simple mistakes or misunderstandings cause irreparable damage to family relationships at a time when emotions can run high.
“Sadly, there are also a number of cases of what can only be regarded as dishonesty by executors and beneficiaries alike.
“The lesson in all of this? When it comes to deciding what you want to happen to everything you have worked for throughout your life, it is essential that your will is carefully and professionally prepared and that your choice of executors has been carefully considered.
“If you don’t, then the consequences for the people that you leave behind can often be devastating.”
For free advice on any aspect of making your will, call Macks on 01642 252 828.
