Grant of Letters of Administration

What is a Grant of Letters of Administration?

Losing a loved one is a difficult time, and dealing with the estate can add further stress, especially when there's no will. If your loved one passed away without leaving a will (intestate), you may need to apply for a Grant of Letters of Administration.

A Grant of Letters of Administration is a legal document issued by the Probate Registry that authorises someone (the administrator) to manage the estate of a person who died without a will.

It's similar to a Grant of Probate, but it applies when there's no executor named in a will (or where there is a Will but no Executor willing or able to act). This document gives the administrator the legal authority to collect assets, pay debts, and distribute the remaining estate according to intestacy rules.

When do you need a Grant of Letters of Administration?

You may need a Grant of Letters of Administration when someone dies intestate (without a will). This means they did not leave a valid will outlining how their assets should be distributed. This grant is essential for the administrator to handle the deceased's financial affairs legally.

You'd also need Grant of Letters of Administration where the deceased's will is invalid, where their will does not name an executor, and where the named executor is unwilling or unable to act as the executor of the Estate.

What's the difference between a Grant of Probate and a Grant of Letters of Administration?

The key difference lies in the presence of a will. A Grant of Probate is issued when there's a valid will, and it authorises the executor named in the will to administer the estate.

A Grant of Letters of Administration is issued when there's no will or no executor, and it authorises an administrator (appointed by the court) to handle the estate. Here's a quick comparison:

Who can apply for a Grant of Letters of Administration?

The right to apply for Letters of Administration is determined by a specific order of priority, defined by law. This order ensures that the closest relatives have the first right to administer the estate. The typical order is:

• 1Surviving spouse of civil partner.

• 2Children.

• 3Parents.

• 4Siblings.

• 5Grandparents.

• 6Aunts and uncles.

• 7Other relatives.

If no one is willing or able to apply, or if there are disputes, the court can appoint someone else, such as a solicitor or a professional administrator.

What's the process for applying for Letters of Administration?

The application process is similar to applying for probate, but there are some key differences due to the absence of a will. You'll need to:

• 1

  Determine eligibility

  Firstly, identify who is eligible to apply based on the order of priority. This often involves communication with family members and gathering necessary documentation to prove your relationship with the deceased.

  Once instructed as your solicitor, SB Lawyers can advise you on your eligibility and gather the necessary evidence.

• 2

  Complete application forms

  You'll need to complete the relevant application forms (except in cases where the application is to be made online) The primary form is:

  • Probate Application Form (PA1A): This form provides details about the deceased and the administrator.

An Inheritance Tax Account might need to be completed and sent to HMRC before you apply

• 3

  Value the Estate

  Accurately valuing all assets and liabilities is crucial. This includes everything from property and bank accounts to investments, vehicles, and personal possessions.

  Professional valuations may be necessary for complex assets. A solicitor will typically work with professional valuers if needed to ensure accuracy.

• 4

  Pay Inheritance Tax (IHT) - if applicable

  Inheritance Tax (IHT) is payable on estates that exceed a certain threshold. While the IHT return is submitted before or with the application for Letters of Administration, the IHT itself generally must be paid before the Grant of Letters of Administration is issued.

  A solicitor will advise you on the correct timing and handle the IHT payment on your behalf. Refer to the government website for current IHT rules and thresholds.

• 5

  Submit the application

  Your solicitor will then submit the completed forms, the Inheritance Tax Return, the death certificate, and the appropriate court fees to the Probate Registry. They will also handle all communication with the Probate Registry on your behalf.

How much does a Grant of Letters of Administration Cost?

The costs associated with obtaining a Grant of Letters of Administration are similar to those for probate. They include:

• 1

  Probate Registry fees

  If the Estate's value is over £5,000, the application fee is £300. There is no application fee to pay if the Estate is valued under £5,000.

  It also costs an extra £20 if you're making a second application after probate or letters of administration have already been granted.

• 2

  Legal fees

  If you choose to instruct a solicitor to undertake this work on your behalf, there will be legal fees to pay. SB Lawyers' fees start from £1387.50 + VAT for a non-taxable estate and £1850 + VAT for an estate with a full Inheritance Tax service.

  If you require a full estate service, our fees start at 0.15% of the overall estate's value.

Can a Grant of Letters of Administration be contested?

Yes, a Grant of Letters of Administration can be contested. Challenges can arise regarding:

• Eligibility to administer the Estate

  Someone might dispute the administrator's claim to be the rightful person to administer the estate, based on the order of priority.

• Validity of Intestacy

  Someone might come forward with a will after Letters of Administration have been granted, challenging the basis of the intestacy.

• Estate asset distribution

  Disputes can arise among beneficiaries regarding how the estate is being distributed, especially if the rules of intestacy are unclear or there are complex family relationships.

  If a dispute arises, it's crucial to seek legal advice immediately to protect your interests.

How SB Lawyers can help

At SB Lawyers, our experienced team can guide you through the intestacy process, ensuring all legal requirements are met and protecting your interests. We can:

• Determine eligibility for Letters of Administration.
• Assist with completing all necessary forms.
• Accurately value the estate and handle inheritance tax matters.
• Represent you in any disputes or challenges.

Contact SB Lawyers today for a confidential consultation. We're here to help you with compassion and expertise during an already tough time.

029 2046 1480help@sblawyers.co.uk