Probate and Estate Administration
What is Estate Administration?
Estate administration refers to the process of finalising a deceased estate which includes locating property, shares and assets or household items in the estate, paying any debts and distributing the estate to the beneficiaries.
If you are an executor named in a Will you should consult an experienced Wills and Estates Lawyer to guide you through what can be a complicated and long process.
What is a grant of Probate?
Probate is a document issued by the Supreme Court of South Australia which asserts that your Will is valid and formally authorises your executors to carry out their duties according to law.
The grant of Probate is then produced to the relevant authorities and institutions which the executor is required to deal with during the administration of the deceased estate. For instance, the banks may require Probate to be produced in order to close the deceased’s bank accounts and release the funds held in those accounts to the estate. Also, if land is to be sold, Probate is required in order to transfer or sell real estate owned by the deceased person.
If there is no Will then a grant of Letters of Administration may be required instead of a grant of Probate.
What is a grant of Letters of Administration?
A grant of Letters of Administration is applied for when someone dies intestate, that is, without a Will. The grant is generally applied for by one of the beneficiaries of the estate.
Once it is determined who will apply for administration of the estate, the process is similar to that of applying for Probate.
It is highly recommended that you have an estate administration expert to assist you through this process as it can be long, complicated and emotional.
When is a Grant required?
An application for a grant may be required by your executors if you own real estate or other significant assets, if various gifts have been made including to charities or if a testamentary trust has been set up by the Will which may need careful examination. It essentially authorises your executor to carry out the wishes in your Will and distribute your estate.
A Grant will always be required if the deceased person owned real estate in their own name or if they held an interest in a property with someone else. The Land Titles Office will not transfer land to another person without a Grant.
However, it is worth noting that any real estate owned by the deceased as a joint tenant with another person cannot form the subject of a Grant (or part of a deceased estate) as any surviving joint tenant is automatically entitled to the property.
Generally speaking, if the deceased had minimal assets it may not be necessary to apply for Probate. Instead, the assets can be administered by the executor provided he or she has the original Will and Death Certificate.
Probate authorises an executor to carry out the wishes of your Will and distribute your estate.