Trust companies and banks are often appointed by the courts to act as an Estate Trustee During Litigation (“ETDL”). They are sometimes considered the “best choice” because of their experience, resources, objectivity and integrity. However, in recent years many accountants and solicitors have taken on ETDL appointments. Given that they do not have the experience of the banks, this blog post seeks to provide practical advice and consideration for those who are contemplating taking on the role of an ETDL.

The courts have awarded attorneys a “special fee”, in addition to any compensation permitted under the power of attorney document or in the tariff, where extra or specialized work by the attorney was necessary in the administration of the grantor’s property or their personal care.

Lawyers are often the first and most important line of defence in ensuring that a client is able to express their testamentary wishes freely in an estate plan and Will. Moreover, a lawyer who does not take reasonable steps to protect his or her client against undue influence may become personally liable (and subject to professional discipline).

The COVID-19 pandemic has caused a precedent-setting drop in the stock markets across the globe. Could executors be held liable for the estate’s losses in their stock portfolios? The case of Groome Estate v. Groome, 2016 ONSC 7850 (“Groome”) is a cautionary tale to those estate trustees that make speculative investments on behalf of an estate.

The task of an estate trustee is rarely an easy one. Much less so when a beneficiary of the estate was born in 1925, is believed to have lived in the United Kingdom, and whose whereabouts are not forthcoming from any of the deceased’s family members.  On top of this, he is rumoured to have had an affair with his sister-in-law, after which he was threatened by his brother and may have had reason to go into hiding.The above facts are drawn from a real case, Steele v. Smith, which was recently decided in Ontario. Did the estate trustee in this situation have an obligation to attempt to find the elusive beneficiary?  What should he have done if he couldn’t find him? These questions, and other related legal issues, will be discussed in this blog.

Subject to certain exceptions, as a general rule, only an executor, administer and/or trustee of an estate or trust has standing to commence proceedings on behalf of the estate or trust. While this general rule is one of long-standing, in some situations it may effectuate an inequitable result.