This is the next post in our series on the obligations and duties of an executor during a Hartford, Connecticut probate. Our last article discussed the tasks one must complete as an estate executor. While the role of an executor may not seem complicated, it is important to realize how quickly things can become complicated. An experienced attorney can help one to navigate the process. This article will discuss the fiduciary duties which are placed upon one who is administering an estate. If you or a loved one are in need of assistance, then contact our office today to speak with a lawyer.
The executor of an estate owes what is known as a fiduciary duty to the heirs. This means that they have an obligation to protect the interests of the beneficiaries. A failure to live up to this duty can result in one being removed as executor or, worse, personal liability (meaning the heirs may file a personal lawsuit against the executor). There are several requirements of an executor which fall under the umbrella of fiduciary duty. These requirements include, but are not limited to:
- Protecting, preserving, and maximizing the assets of the estate – An executor must ensure that they have control of all the estate’s assets and that they are being protected. An example of this would include protecting a home that is owned by the estate. The executor may be required to file an eviction action to remove unpaying tenants which could include unpaying family members living on the property. The executor also has a general duty to maximize the estate’s assets. So, for example, if a large amount of value is tied up in an asset which is likely to depreciate rapidly, then the executor has a duty to attempt to move that value somewhere else (typically with court approval).
- Staying in regular communication with the heirs – Executors must take reasonable steps to ensure that the beneficiaries are kept up to date as to the status of the probate. It is often best to communicate with the beneficiaries in writing as much as possible. This helps to avoid disputes over whether communication was had.
- Avoiding conflicts of interests or self-dealing – Executors must act on behalf of the estate and not use the estate’s assets to further their own interests. This means that they cannot sell assets at less than their fair value to friends or business associates. They also cannot sell assets to themselves at a reduced price. Engaging in this type of conduct is a claim that is often brought against estate executors.
Retaining a qualified attorney is an important step towards ensuring that everything one does as an executor is considered “above board.” Counsel can provide guidance throughout the process.
Executors who breach their fiduciary duty can face serious consequences. These consequences can include an individual being removed as the executor, or they can even include beneficiaries bringing a personal lawsuit against the executor. Damages which the beneficiaries may seek can include unnecessary reductions in the value of the estate assets which can be the result of excessive delays, the requirement that property be returned to the estate when self-dealing has occurred, and more. The nature of the claims that would be involved in any lawsuit will always depend on the specifics of the case.
If you are an executor of an estate and are in need of assistance, then contact our Hartford probate lawyers today. Our firm has been serving the greater area for decades and we are honored to be part of the local community. We strive to provide the highest level of service to our clients, and we look forward to being of assistance. We also service the Connecticut areas of Wethersfield, New Britain, Bristol, Rocky Hill, West Hartford, East Hartford, Glastonbury, and Manchester, as well as the Middlesex County cities of Middletown and Cromwell.
