Legal and Ethical Challenges in Estate Administration

Legal and Ethical Challenges in Estate Administration

Estate administration is a familiar process for probate solicitors, yet it remains fraught with legal complexities and ethical dilemmas. Beyond the procedural aspects, solicitors must navigate evolving case law, potential disputes, and the increasing scrutiny placed on their fiduciary duties. The challenge is not simply to administer an estate efficiently but to do so in a way that minimises risk, ensures compliance, and upholds professional integrity.

Managing the Risks of Personal Liability

Solicitors advising on or acting as personal representatives must be acutely aware of the personal liability risks associated with estate administration. Errors in asset distribution, failure to settle debts correctly, or even delays in the probate process can lead to claims against the estate – or against the solicitor personally. The principle of devastavit, which holds personal representatives liable for mismanagement, remains a serious concern.

One key area of risk is the identification of beneficiaries, particularly in intestacy cases where family structures can be complex. Failing to conduct sufficient due diligence when tracing heirs can result in the wrongful distribution of assets, leading to claims from overlooked beneficiaries. To mitigate this, many firms now routinely engage probate research specialists, such as Finders International, to verify lineage and avoid costly errors.

Another growing risk is executor disputes. Disagreements among co-executors can delay administration and lead to litigation. Solicitors must carefully manage these relationships, ensuring that all parties understand their roles, obligations, and potential liabilities. Where necessary, the courts can intervene under Section 50 of the Administration of Justice Act 1985 to remove an executor, but this should be a last resort rather than a routine solution.

The Ethical Challenges of Beneficiary Disputes

Contentious probate claims are becoming more frequent, with challenges under the Inheritance (Provision for Family and Dependants) Act 1975 continuing to rise. Solicitors are often caught in the middle of emotionally charged disputes, particularly in cases involving estranged family members, second marriages, or blended families. The solicitor’s role is to maintain objectivity and ensure that claims are assessed based on legal merit rather than emotional persuasion.

Ethical dilemmas also arise when beneficiaries pressure solicitors to accelerate distribution or act in ways that favour their interests over others. Under the Solicitors Regulation Authority (SRA) Code of Conduct, legal professionals must maintain independence and transparency, resisting undue influence from beneficiaries while ensuring fair treatment for all parties involved.

Another ethical challenge is handling estates with unclaimed assets or missing beneficiaries. In such cases, solicitors must take reasonable steps to locate rightful heirs, ensuring that assets do not fall into the hands of the Bona Vacantia division without due diligence. The use of professional probate researchers can provide an extra layer of certainty and protection in these scenarios.

Navigating the Increasing Scrutiny of Probate Practice

The probate sector has come under increasing regulatory scrutiny, particularly regarding delays in estate administration and transparency over legal fees. The Competition and Markets Authority (CMA) and the Legal Services Board (LSB) have both highlighted the need for clearer pricing structures and better client communication in probate matters. As a result, solicitors must ensure that their probate fees are transparent and justifiable, avoiding the risk of client complaints or regulatory intervention.

Technology is also reshaping the probate landscape, with digital wills, blockchain-based estate planning, and automated probate processes becoming more prominent. While these innovations offer efficiency, they also present new challenges in terms of verifying authenticity and ensuring compliance with traditional legal principles. Solicitors must stay informed about these developments, ensuring that new technologies align with the core principles of estate law. 

How Finders International Can Help

Finders International is a leading probate research firm that specialises in tracing missing beneficiaries, verifying family trees, and locating unclaimed assets. 

Our expertise helps legal professionals mitigate the risks associated with intestacy cases, ensuring that estate distribution is carried out correctly and lawfully. 

By conducting thorough genealogical investigations and providing indemnity insurance options, Finders International offers solicitors an added layer of protection against potential claims. Our services not only streamline the probate process but also help firms uphold their professional and ethical obligations by ensuring that all rightful heirs are identified and accounted for.

By Finders International