Article

The Role of Executors and Trustee (Part Two)

A horizontal rectangle divided into two equal parts: the left side is gold, the right side is burgundy.
Two people shaking hands in an office setting, with focus on their hands and a blurred background featuring chairs and tables, signify the crucial role of trust between executors.

Segregation of Personal Monies with Estate/Trust

One of the most common issues for the individual executor or trustee is the failure to identify, divide and segregate the assets accordingly from the deceased’s estate account and their personal account.

This is especially so if the individual trustee needs to manage the estate monies and properties for young children & vulnerable elderly beneficiaries for many years, even up to decades. If the individual executor or trustee passes away before completing the estate administration process , the estate of the deceased may be mixed with the individual executor’s estate.

Keeping Record of Estate Account

Another problem is the failure in keeping proper accounts and records of the deceased’s estate. The executor or trustee is required to keep records of the estate account to show the in-flow and out-flow of monies and assets received under the deceased’s estate. Failure in rendering a proper estate account could lead to legal action and the estate monies could also be depleted due to unnecessary administration expenses and legal fees.

Conclusion

Appointing a trustworthy, accountable and unbiased party to act professionally as the executor or trustee has become a serious concern for most people. When a person writes their Will, they should consider appointing a professional trust company as the main Executor or the substitute Executor in cases where the main Executor is unable or incompetent to act.

Recent Estate Administration cases by Precepts

  • Challenging the validity of a forged deed of revocation and obtaining forensic reports relating to authenticity of signatures on documents.
  • Successful claim for damages in reported decision in medical negligence in high profile case.
  • Estate administration involving mediation convened at the Singapore Mediation Centre with a view to settlement.
  • Settlement of estate duties with the IRAS for deceased person dying intestate prior to 2008.
  • Dealing with and payment of estate and trust income taxes to the IRAS.
  • Application for Beddoe orders prior to litigation.
  • Application of Benjamin orders where beneficiaries are presumed to be missing or deceased.
  • Appointment as administrators to sell real estate assets and distribution of joint property owned by deceased and a mentally incapacitated co-tenant.
  • Administration of insolvent estates and distribution according to the First Schedule of the Rules as to Payment of Debts Where Estate Is Insolvent under the Probate and Administration Act.
  • Administering estate with family disputes involving an Eviction Order and Write of Possession.
  • Distribution of estate property to the deputy/administrators of beneficiaries who are mentally incapacitated or deceased.
  • Sale of private residential properties as part of trust administration in Singapore and Malaysia.
  • Transmission of title of assets of deceased’s estates relating to real estate and company shares to beneficiaries.
  • Administration of estate with overseas properties in Cambodia, Hong Kong, Thailand and etc.
  • Appointment as administrator through Letter of Administration De bonis Non.
  • Estate administration relating to deceased persons dying domiciled in Singapore and resealing of Probate in Malaysia.
  • Estate administration relating to deceased persons dying domiciled in Malaysia and taking up probate in Hong Kong.
  • Estate administration of deceased dying due to unnatural cause with difficulties claiming from relevant insurer.
  • Handling estate with tax disputes and management of the tax liabilities.
  • Involvement in citation proceedings relating to upholding validity of a Will.
  • Purchase of Residential Property as trustee for occupation by estate beneficiary in exercise of powers under S12(3) Trustees Act and setting up of property trusts.
  • Provision of loan upon security of charge over property to estate beneficiary in exercise of powers under S9 Trustees Act.

This article is first published on our newsletter, The Custodian Issue 7 on October, 2017. Click here to subscribe to our latest newsletter.

Schedule Your Consultation

We understand that navigating through complex matters can lead to questions and sometimes, uncertainties. That’s why we’re here to provide clarity and support when you need it most.

Please take a moment to fill out the form below, and our experienced team will promptly respond to your inquiry. Rest assured, we are committed to addressing any issue with the attention and expertise you deserve.

Contact Form (SEM)

Share this

A woman sits at a desk reviewing documents related to asset management, with a laptop in front of her and a notebook beside her. A bookshelf and plant are in the background.
Read More >
Five people, spanning three generations, sit on a bench outdoors, smiling at the camera. The group includes two men, two women, and a young girl in the front.
Read More >
A man in a suit sits at a desk with a laptop, pen and paper, and office supplies, looking thoughtfully at the screen, perhaps contemplating having a will prepared.
Read More >
An elderly couple sits at a table reviewing documents with a person across from them. The man holds papers related to having a will, and the woman smiles while holding her glasses.
Read More >
A man in a suit sits at a desk with a laptop, touching his jaw and looking concerned. Bookshelves are visible in the background, and an open book on the desk reads "What is an Executor.
Read More >
A family of four sits closely on a couch, smiling and looking at a tablet device together, perhaps exploring comprehensive will writing options to ensure their legacy protection.
Read More >

Join our Mailing List

on Estate Planning & Wealth Succession

A horizontal rectangle divided into two equal parts: the left side is gold, the right side is burgundy.
Subscription Form