When Margaret Thompson, a 72-year-old retired teacher from Melbourne, sat down with her solicitor to finalise her will, she faced a dilemma that confronts many Australians: who should she appoint as executor of her estate? With two adult children—David, a successful barrister living in Sydney, and Sarah, a nurse who lived nearby but had limited experience with financial matters—Margaret’s choice would ultimately determine how smoothly her estate would be administered.
This scenario reflects the real challenges faced by countless Australians when making one of the most important decisions in estate planning. The choice of executor is not merely a formality; it’s a decision that can mean the difference between a seamless transition of assets and years of costly legal disputes and family friction.
Understanding the Executor’s Role
In Australia, an executor is the person legally appointed in a will to administer the deceased’s estate. This role carries significant legal responsibilities that extend far beyond simply distributing assets. The executor must navigate complex legal requirements, manage financial obligations, and often mediate family dynamics during an emotionally charged time.
The executor’s primary duties include securing and valuing all estate assets, paying outstanding debts and taxes, obtaining probate from the Supreme Court, and distributing the remaining assets to beneficiaries. In Margaret’s case, her estate comprised a family home worth $850,000, investment properties valued at $400,000, and various other assets totalling approximately $300,000.
Under Australian law, executors have a fiduciary duty to act in the best interests of all beneficiaries, maintain detailed records, and complete the estate administration within a reasonable timeframe. Failure to fulfil these duties can result in personal liability for any losses incurred.
The Case for Multiple Executors
After careful consideration, Margaret decided to appoint both David and Sarah as joint executors. This decision reflected a growing trend among Australian families to distribute the executor role among multiple trusted individuals, each bringing different skills to the estate administration process.
Multiple executors offer several advantages. Firstly, they provide a system of checks and balances that can help prevent errors, fraud, or poor decision-making. David’s legal expertise balanced with Sarah’s practical, hands-on approach and local presence ensured that all aspects of estate administration would be properly addressed.
Secondly, multiple executors can share the substantial workload. While David could handle complex legal documents and court proceedings from Sydney, Sarah could manage practical aspects like securing the family home, organising valuations, and dealing with local service providers.
The arrangement also provides continuity. Should one executor become unable to act due to illness or other circumstances, the remaining executor can continue without significant delays or court intervention to appoint a replacement.
Navigating Probate with Multiple Executors
When obtaining probate—the legal process that validates the will and grants authority to administer the estate—multiple executors have several options under Australian law. Margaret’s solicitor explained that David and Sarah could have both names appear on the grant of probate, requiring them to act jointly in all major decisions. Alternatively, they could designate one as the “proving executor” while the other would have “leave reserved.”
The concept of “leave reserved” proved particularly valuable. Under this arrangement, David became the proving executor, taking primary responsibility, while Sarah had leave reserved. This meant Sarah retained the right to step in and act as executor if needed, but wasn’t required to be involved in every decision during normal administration.
This flexibility proved invaluable when David’s demanding legal practice required extensive travel. Sarah stepped in seamlessly, using her reserved authority to handle urgent matters like property maintenance and beneficiary communication, while David continued overseeing complex legal and financial aspects remotely.
Balancing Skills and Practical Considerations
Margaret’s executor arrangement highlights the importance of matching appointments to specific estate needs. David’s legal background proved invaluable for complex property transactions, tax obligations, and beneficiary disputes. His understanding of legal procedures ensured all requirements were met correctly.
Meanwhile, Sarah’s local presence and practical skills were equally important. She could respond quickly to property emergencies, coordinate with real estate agents, and provide emotional support to family members. Her nursing background meant she was comfortable with detailed paperwork and record-keeping—essential skills for estate administration.
The geographical consideration was significant. While technology allows many tasks to be completed remotely, having a local executor proved invaluable for tasks requiring physical presence, such as attending settlements and meeting with valuers.
Managing Potential Challenges
Despite the advantages, Margaret’s solicitor explained potential challenges. The most significant risk is disagreement between executors, which can cause delays and increased costs. To mitigate this, Margaret included specific provisions outlining dispute resolution, including mandatory mediation before court action.
The will specified that for major decisions involving amounts over $10,000, both executors must agree. For routine matters below this threshold, either could act independently, provided they kept the other informed. This balanced oversight needs with practical efficiency.
Conclusion
The appointment of executors is one of the most critical decisions in estate planning. Margaret Thompson’s story illustrates how thoughtful consideration of multiple executors, combined with clear communication and proper legal arrangements, can ensure efficient and harmonious estate administration.
For Australian families facing similar decisions, the key is considering not just trustworthiness, but who has the skills, availability, and circumstances to handle specific estate challenges. The flexibility of Australian probate law, including joint executors and leave reserved arrangements, provides families with tools to create effective executor appointments.
By understanding these options and planning carefully, families can ensure smooth estate administration that preserves both family relationships and estate value for future generations.
This article is for general information purposes only and does not constitute legal advice. Individuals should make an appointment for advice specific to their circumstances.