Author: Marta Grzelak, Partner at McHale & Co Solicitors* (see website).
*McHale & Co Solicitors do not provide legal advice in Scotland
Losing a loved one can be very painful and traumatic. Dealing with their financial affairs may also prove to be a challenging process as it is necessary to begin a formal process of acting in the Estate. In England, unlike e.g. in Poland, there are no ‘inheritance proceedings’ and the whole process is rather formalised.
Firstly, status of the deceased’s Estate needs to be established. Effectively, we will need a list of everything that will be included in the Estate of the deceased such as property, bank accounts, insurance policies, stocks, shares, etc. It might be necessary to contact relevant institutions to gather all information in detail. Identifying all debtors as well as the level of all liabilities will also be required as all debts should be settled before the assets are distributed.
Next stage is obtaining Grant of Representation from Probate Court. Grant of Representation is a document which gives appointed persons a legal right and duty to administration of the Estate. In case of intestacy the next of kin need to seek Grant of Letters of Administration and in case where there is a will, an Executor must apply for a Grant of Probate. Grant of Probate allows not only to establish whether the will is valid, but also gives the executors the right to deal with the Estate according to the deceased’s intentions as stipulated in the will.
Usually these procedures are handled by solicitors on behalf of the executors. We do also prepare tax returns which then need to be submitted to HM Revenue & Customs. The tax must be paid before obtaining Grant of Representation.
Once we have the Grant to deal with inheritance (all institutions will be requesting this document), all assets need to be considered and subsequently all debts and overdue payments for which the deceased was liable need to be settled. An advertisement is then also placed in London Gazette and local press to find all the creditors of the deceased.
After all the liabilities are settled, the remaining assets can be redistributed among the heirs according to the contents of the will or statutory provisions in the event when there is no will.
Probate procedures are complex and bear significant amount of responsibility regarding the appropriate redistribution of assets. This is why it is always recommended to seek an independent advice of experienced solicitor. Naturally, I will be delighted to answer any questions in this area.