Executor disputes in Victoria

The categories often overlap. A family dispute about who inherits can become a dispute about the executor's conduct, or the reverse. Identifying which legal question is really in issue usually makes resolution easier.

Where there are several executors, they generally need to act together in the administration. If they cannot agree, the estate can stall. Common causes include differences about selling a property, timing distributions, dealing with a beneficiary's request or handling a claim.

• Keep written records of proposals and decisions.
• Focus on the executors' duties and the will's terms, not personal positions.
• Consider independent advice to all executors jointly.
• Consider mediation where the disagreement is entrenched.
• Where the proper course remains genuinely uncertain, consider seeking the Court's directions.

Sometimes the dispute arises because the will is unclear. A gift may be ambiguous, a beneficiary may have died, or an asset may no longer exist. The Supreme Court can determine the proper construction of a will and give directions to executors about the administration.

An executor who acts in accordance with the Court's directions is generally better protected than one who makes a contested decision alone. Directions are not needed for ordinary decisions, but they can be valuable for genuinely difficult questions.

Beneficiaries are generally entitled to be kept reasonably informed about the administration. Many disputes arise simply because beneficiaries do not know what is happening. Regular, factual updates by the executor can prevent them.

Where information is not provided, a beneficiary may request an account. The Supreme Court publishes Probate Office forms, including an administration account form and a request for an administration account. In some circumstances the executor may be required to file and pass accounts, which allows them to be examined.

Good records throughout the administration make this straightforward. The executor duties checklist sets out a practical record structure.

The Court has power to remove or replace an executor or administrator. The central question is the due administration of the estate and the welfare of the beneficiaries. Removal is not a punishment for past conduct, and the Court does not remove an executor simply because beneficiaries dislike them or disagree with their decisions.

Matters that may be relevant include serious conflict of interest, prolonged failure to administer the estate, a breakdown in relations that makes proper administration impractical, or conduct inconsistent with the executor's duties. Whether removal is appropriate depends on the facts, and the Court's approach should not be assumed.

Executors owe duties to the estate and beneficiaries, including duties to act honestly, to avoid conflicts, to keep proper records and to administer the estate with appropriate care. Where a beneficiary alleges that the executor's breach caused loss, the executor may be personally liable to make good that loss in some circumstances.

Allegations of this kind are serious. They should be based on evidence and preceded by a clear request for an explanation. An executor who receives such an allegation should seek advice promptly and keep communications factual.

If a grant has already been made but someone contends that it should not have been, for example because a later will has been found or the will proved was invalid, the question is whether the Court should revoke the grant. Before a grant, the equivalent step may be a probate caveat.

Validity disputes turn on matters such as capacity, knowledge and approval, undue influence and proper execution. They are distinct from disputes about how the estate is being administered.

A claim that the will fails to make adequate provision for an eligible person is a family provision claim, not an executor dispute, although the executor is usually the defendant. The executor's role and distribution risk are discussed in family provision risk for executors.

Many estate disagreements are described loosely as executor disputes, but they involve different questions and different pathways. Identifying the real issue early avoids taking the wrong step.

Executors should keep complete records: an asset and liability register, bank statements for estate accounts, receipts, valuations, correspondence and notes of decisions. Beneficiaries raising concerns should keep copies of what they have been told and when. Good records often resolve a disagreement without further steps.

Where assets are at risk, such as an empty property, perishable business assets or funds that may be dissipated, interim steps to preserve them may be needed while the dispute is resolved. These can range from agreed arrangements to urgent applications to the Court. The appropriate step depends on the risk and should be considered with advice.

Information for beneficiaries

Beneficiaries generally have an interest in knowing how the estate is being administered. Regular, factual updates on assets, liabilities, steps taken and expected timing reduce suspicion. The extent of information an executor must provide depends on the beneficiary's interest and the circumstances.

Mediation and costs

Mediation is common in estate disputes and may be ordered by the Court. Costs in estate proceedings are in the Court's discretion. Whether costs come from the estate or are paid by a party depends on the nature of the proceeding and how the parties have acted, and should not be assumed.

• Treating every disagreement as grounds for removal.
• Starting proceedings before identifying the real legal question.
• Executors failing to give beneficiaries basic information.
• Co-executors acting alone where joint action is required.
• Using estate funds to pursue a personal position.
• Making allegations of misconduct without evidence.

We can help identify what kind of dispute is involved, explain the realistic pathways, and assist with steps such as requests for accounts, directions or negotiated resolution. We do not predict outcomes of Court applications, which depend on the evidence and the Court.

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