Regulate the Probate Services Industry | Campaigns by You

Regulate the Probate Services Industry | Campaigns by You.

 
A petition to call on all probate service providers to be regulated in some way.

Because not all people who provide legal advice are regulated.  This means they may or may not be qualified to give legal advice.  They may or may not carry insurance.  They may or may not sign up to any standards of professional behaviour.

Because this is a time when families are vulnerable and where financial details are being exchanged, and the public needs to have some certainty that they can trust their advisers to do a proper job (and if they do not, there will be compensation) to not sell on their details, to administer the estate as efficiently as possible, whilst taking a reasonable amount of care.

Vulnerable people should be treated with respect, and not merely fodder for the mincing machine.  They need to be protected, because of their vulnerability at a sensitive time.

An unregulated business has no interest in anything but their profit, and remaining within the confines of the law. Whilst an unregulated business may choose to ascribe to a code of ethics, if that is not regulated, then how can it be enforced?  There is no obligation on such a company to even profess such concepts.

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What is a grant of probate?

A grant of probate is the word used to describe the process of confirming the right of named individuals to deal lawfully with the estate of a person who has died.

If a person has died leaving a will, then the people who are named as executors are those people entitled to take out the grant of probate. The authority of an executor to act stems from the will itself, and is confirmed by the grant of probate.

If the person has died without leaving a will, or has died leaving a will, but the executors have predeceased, then there is a statutory order of who is entitled to take out the grant of letters of administration. The authority of the administrators stems from the grant of letters of administration itself.

In order to pass through the process of the court, the executors, or prospective administrators must complete an oath, whereby they swear the extent of the estate, the full name and address of the person who has died, details of the deceased’s birth and death and age at death, together with any other names by which the deceased was known. The Personal Representatives also swear that the deceased was domiciled in England and Wales and that the will attached was the last known will of the deceased.

In addition to citing the basic facts, the PRs also state that the estate was of a certain value. They then go on to promise that they will deliver up to the court accounts of the estate if requested, will gather in and distribute the assets and pay the liabilities lawfully.

If the assets are relatively few, and Inheritance Tax does not need to be paid (and there are no complicating features of the estate), then the probate registry will accept a short Inland Revenue form citing the values of the items in the estate. If the value of the estate is high (or if there are complicating features) then the longer form needs to be filled in. This long form asks more detailed questions, but both documents need to be completed with a care for the detail that is appropriate – it is not enough to make an estimate of value if you are not making an effort – if in doubt, employ someone who can tell you how much that Meissen china or that Georgian silverware is worth. If your dad was into antiques, then get a valuation – if it is all reproduction, then perhaps it might not be a high value after all. If you are claiming a transferrable tax band, then you will also need to be able to show this on the relevant form – whether it is a short form that is appropriate or a long form.

So – you tell the Inland Revenue what the estate is worth, and pay the tax (or a proportion of the tax). You take the oath and swear (on the Bible, Koran, other religious text, or solemnly affirm) the oath saying you will do the right thing. And then submit the documents to the probate registry, who, in due course, send a grant of probate. Congratulations – the will has been proved, is now a document of public record, against which you can be held to account. You may now collect in the assets, pay debts, and deal with the estate according to the law. In the case of there being no will – your authority starts now, and you may collect in assets and enter into contracts on behalf of the estate (as opposed to in your own name).

What is an executor? What is an executrix?

An executor is a legal person (this can include a trust corporation) who carries out the wishes of a person who has died, and is appointed by a Will. If the executor is female, then they may be called an executrix. If all executors are female, then they may be called executrices.

If there is no will, then the people who do the same job as executors can only take authority by order of the court. They are called the Personal Administrators of the estate.

In both cases, collectively Executors and Personal Administrators can be called Personal Representatives (“PRs”).

Sometimes, the Executors of an estate look after assets for others in the longer term. In this case, they can also have the role of Trustees.