ADMINISTRATION OF THE ESTATE
insolvent estate.
ASSETS AND ADMINISTRATIONS
 Estate includes all property, real and personal,
tangible and intangible, owned or to which the
decedent was entitled to by law/equity at the time
of his death
 Include any income that accrues to the estate after
his death
 RE HEE CHUN MENG
Other assets include rights which the deceased held at the
time of his death such as debts owed to him and the right
to royalties in respect of his published works, including the
right to damages.
 Admin of decedent’s estate is within jurisdiction of
Probate court- 2 functions
i. Where the deceased leaves a Will, the court must
determine whether it complies with statutory
requirements of WA
ii. court supervises the admin of decedent’s estate-
locating and collecting the estate (ascertaining and
paying necessary duties)
 Letters of admin are not usually granted to
representatives:
a) Executors, who are appointed usually by a testator
in his Will
b) Administrators, i.e representatives of someone who
has died intestate
c) In settlement made by the deceased before his
death without leaving, then to rep known as
trustees to the settlement
d) Where the estate is solvent and the deceased died
without making a will or under special
circumstances, then to a rep such as creditor of the
e) If any beneficiary is an infant or if a life interest
arises under the Will or intestacy, administration
shall be granted either to Trust Corp/to less than 2
indv.
 Probate/letter of admin not usually granted to
more than 4 indv in same property- if there’s a
minority of interest/life interest arises under Will, it
will be granted to Trust Corp with/without an indv/
not less than 2 indvs
EXECUTORS
1. APPOINTMENT OF EXECUTORS
 Usually by testator in his Will-if not named in the
Will, can ascertain the intention of the deceased as
to whom he had contemplated to appoint as
executor.
 RE BROWN’S GOODS
The deceased may have appointed someone to carry out
the duties , without naming him as executor
 RE RUSSELL’S GOODS
He may have used the words ‘trustee to carry out the Will’
 RE COOKE’S GOOD
Although a simple direction to pay the deceases funds will
constitute the person appointed for that purpose as an
executor.
 Where a person has left a Will but has failed to
appoint an executor in the will, the court will have
to appoint someone to administer the deceased’s
estate in accordance with the prov of the Will = a
grant of administration “with the Will annexed”.
 Circumstances to grant:
i. Where the executor has died either before the
deceased death/ afterwards but having failed
to apply for grant.
ii. Where the executor has renounced his claim
for grant
iii. Where the executor is under the age if eighteen
or is a person who has become insane or a
person leaving outside MY/Singapore- in such a
case administration with the Will annexed is
given to another person until such time as the
executor either reaches the age of eighteen, or
has become stable in mind or comes to live
within country to administer the estate.
iv. In circumstances where the deceased having
his domicile abroad died leaving a Will
appointing an executor but the Will had not
been made in accordance with the law of the
land in which the deceased was living.
v. Where the Will provides for an executor to deal
with the estate after a certain period from the
deceased’s death but there is no executor in
the meantime, and
vi. Where the Will appoints a corp as executor
other than a Trust Corp in which case grant of
administration is given to its legal rep.
2. DUTIES OF EXECUTORS
 Carry out the funeral rites of the deceased in
accordance with the terms of the Will to prove the
Will, to collect the estate and as necessary to
convert it into money, to pay the testator’s debts in
the proper order, to pay the legacies and to
distribute the residue among the persons entitled.
 The executor may bring action against persons who
are indebted to the testator or are in possession of
property belonging to the estate.
 When several executors are appointed and only
some of them proved the Will, they are called
proving/acting executors. Others are renounced
probate.
 A person appointed as an executor cannot charge
any fees unless it is authorized specifically by the
Will. Executor can decide not to act in which case
he can renounce it in writing. No one can force a
person to act as an executor.
 Usually, to executors are named in the Will, if both
decline the act, then probate will be granted to the
chief beneficiary under the Will.
 A bank/professional person is unlikely to act unless
the Will makes provisions for fees.
 Probate court has discretion to allow the executors
a commission not exceeding 5% on value of assets
collected by them.
3. RIGHTS AND POWERS OF EXECUTORS
 Personal rep has power to sue in respect of all
causes of action that survive the deceased and may
exercise the same power for the recovery of debts
due to him at the time of his death as the deceased
had when living.
 Admin may not without previous permission of
court mortgage, charge/ transfer by sale, gift,
exchange/otherwise deal with any immovable
property vested in him situated in any State/lease
any such property for a term exceeding 5 years
 GRENIER & ANOR V RYAN
The intention of the legislature is to ensure that every
transfer of immovable property should be reffered to court.
 HAJI SAUD V HAJI AHMAD
An admin can enter into an agreement for the sale of
immovable property but the agreement is unenforceable
unless the permission of court is obtained.
 HAJI OSMAN B ABU BAKAR V SAIYED NOOR BIN
SAIYED MOHAMED
A personal rep must honour any contract entered into by
the deceased prior to his death
 SHARIKAT BAKTI V AMAR SINGH
Once letter of admin has been granted, admin may ratify
acts done after death of the testator and before the grant
was obtained for benefit of estate.
4. ACCOUNTS OF THE ESTATE
 Personal rep- determine the assets and liabilities of
the deceased and act diligently in realizing the
assets of the deceased and distributing them in
accordance of the Will/rules of intestacy.
 Personal rep hold fiduciary position in
administration of deceased’s estate and in position
of trustee upon vesting deceased’s estate.
 In case of total intestacy, a trust for sale
automatically arises and the powers are conferred
on personal reps.
 Estate Duty Act 1941- personal rep are accountable
to deliver an estate duty affidavit within 6 months
of the death of the deceased.
 Personal rep- must keep and render clear+ accurate
accounts of deceased’s estate include account of
trust admin
 RE TAN SOH SIM DECEASED
Personal rep as admin- not to initiate litigation between
legal beneficiaries and parties adversely claiming to them.
5. LIABILITIES OF EXECUTORS
 Personal rep hold a fiduciary position in respect to
the admin of the deceased’s estate. They may not
purchase, directly/indirectly, any part of the
property of the deceased. Such sale-voidable at the
instance of any other person interested in the
property sold.
 If personal rep distribute the estate imprudently i.e
by paying beneficiaries before creditors-liable
 Court has power to relieve personal rep-acted
honestly and reasonably and ought fairly to be
excused.
 SARASPATHY & ANOR V KANAGASUNDRAM
Both admin signed a promissory note-acknowledging a debt
$1K due to R as bonus for period he had worked with
deceased and jointly and severally promised to pay it within
4 months from the date. Judgment-against them personally-
appeal, HC held promissory note was sufficiently clear to
pay debt due to estate at future date, makes such a debt to
be satisfied by his own goods.
EXECUTORS: LAND DEALINGS
Estate of a person dying testate vests in executor named in
the Will.
i. Contracts entered into by vendor prior to his
death
 Specific performance of contracts entered into by
vendor prior to his death may be granted against
executors who on date of decree had not obtained
the grant of probate.
 ANGULLIA V ESTATE AND TRUST AGENCIES
A had named as executor in Will of MY executed in 1927.
Testator’s death in 1929, A obtained probate an had to
honour the testator’s contractual obligations with
contractor in building of 6 shophouses which had been duly
completed, balance of $16K still to be paid to contractor. A
paid a sum of $17 276, the sum due to contractor. 1932,
deceased’s Will was set aside and A’s probate was revoked
on ground the Will not properly executed and court
appointed R as admin of MY’s estate. A in his account filed
in court, credited himself 2 sums of $17276 and $2 702.96
as being properly payable out of the estate but this was
disallowed by court except for so much as would’ve been
fair to pay contractor for breach of contract if the contract
had been broken at MY’s death. The appeal at COA=
dismissed and appeal to Privy Council. Held= it was the duty
of A as MY’s apparent legal rep to honour MY’s obligations
under contract unless any other arrangement could’ve been
made with contractor –have been advantage to estate he
administered. A entitled to credit himself in estate accounts
with amounts disallowed
 RE ESTATE OF KAVENA MOHAMED YOOSUF
DECASED
Executor of Will expended a sum $17, 726 on completing
the houses. COA held cost of completing the 6 houses
should fall on personal estate of testator.
 LIM EOW THOON V LIM FANG TEE & ORS
A in administering estate of deceased had to sell his own
land for $140,000 to pay for funeral expenses, estate and
other incumbrances on the lands comprising estate. He
appealed against order of judge allowing him $4,516 Straits
currency in respect of land sold by him during Japanese
occupation period arguing the price of land, then and now
and income that it would produce if not sold should be
taken into account. Held= what A has paid was money and
not land- the measure of repayment of money is money
and remuneration for use of money is interest.
 AMARJIT SINGH SIDHU V TAN SIEW ENG
Ds as executors+trustees of estate ha overlooked securing
provs for expenditures incurred in the admin of estate in an
earlier order an main issue in appeal was whether court
was empowered to make supplementary order as prayed.
Held= Ds would in normal circumstances have been entitled
to deduct all the expenses incurred by them as trustees and
no doubt that court would have on basis of evidence now
produced, sanctioned the expenditure if so requested.
ii. CONTRACTS OF SALE ENTERED INTO BY
EXECUTORS
 Executor may charge, mortgage or transfer all or
any property vested in him as he thinks proper-
subject to restriction imposed in Will of deceased
 Executor wishes to dispose of the property not in
accordance with Will- it would be prudent that he
first obtain a court order authorizing him to do so.
 Executor-certain circumstances deal with property
without sanction of court.
 CHONG WAN KUM V WAN CHOONG
Held= s. 72 Probate Admin Act provides before any
property can vest in any person it must be sanctioned by
order of court. Although under ss. 50 and 51 Trustee Act
where property is transferred to a purchaser by an executor
in exercise of his power to deal with the land- it is doubtful
that such order may not be necessary.
 Consent of beneficiaries- s.60 Probate Act not
required consent of all beneficiaries as necessary.
 GAN KHAY BENG & ORS V NG LIAT CHENG
‘I do not think that there is any stringent law/procedure
that all beneficiaries must serve especially when they’re
descendants of beneficiaries named in Will and their
whereabouts are unknown when an application is made to
court for leave to convert land into money for purposes of
distribution’.
TRUSTEES
i. APPOINTMENT OF TRUSTEES
 Any person who has capacity to hold property can
be appointed as trustee.
  Original trustees/new trustees appointed by court
must be vested with trust property in them jointly
with continuing trustees if any.
 Trustee are appointed in cases where:
a) Land is vested in trustees for charitable or public
purposes
b) Where the net proceeds of the sale of land are held
for those purpose
c) Trust for sale and settlements of land are vested to
trustees for a term of years absolute limited by
settlements/trusts for raising money, or a like term
created under statutory remedies relating to annual
sums charged on land; or
d) Any benefiaciary is an infant. If life interest arises
under a Will/intestacy, admin is granted either to a
Trust Corp/ to not less than 2 indvs
ii. DUTIES OF TRUSTEES
 A trustee is responsible for the property that is
placed in the trust fund. If more than 1 trustee-
liable for any loss occurs where he has left the
management of trust to co-trustee
 Should ensure proper inventory of all trust
property- trust settlement which enables surviving
spouse to stay on a property for the rest of his life
and goods on the property that form part of trust-
he should make sure the inventory is signed by
surviving spouse who occupies the property.
 New trustees appointed by court-trust property
should vest in them jointly with the continuing
trustees, if any.
iii. POWERS OF TRUSTEES
 Testator provide instructions in his Will to give
authority to the trustee-handle the affairs of the
estate
 Testator may confer powers upon trustee even not
included in statute.
 Some trust confer duty/power to invest money in
the trust fund
iv. LIABLILITIES OF TRUSTEES
 Failure to carry out the duties properly/acting
against the terms of trust constitute a breach of
trust. Trustee is liable for B.o.t which arises through
his own fault.
 General measure of damages resulting from a
breach of trust is loss caused to estate.
 Trustee fails to sell unauthorized investment when
under a duty to so he will be liable to make good
difference between the price eventually obtained
and the better price which could’ve been obtained.
 KNOTT V COTTEE
Where he makes unauthorized investment he may be liable
for loss which results when he is realized.
 CANN V CANN
Trustee who fails to invest trust fund for an unreasonable
period of time will be charged interest. If a trustee has been
directed to purchase a specified security and he makes no
investment at all, he may be ordered to purchase the
amount of securities, he may have obtained had he
purchased them at the correct time.
 Liability of trustee usually for actual loss of each
transaction-so that a loss in one transaction may
not be compensated by a gain in another.
 B.o.t from action of 2/more trustees, their liability
is joint and several- each is liable for whole loss,
even though all are not equally blameworthy
 Trustee is not liable for defaults of his co-trustees.
Exception to the rule-where the trustee hands trust
property to a co-trustee without taking steps to
 ensure its correct application; where trustee allows
a co-trustee to receive trust property without
enquiry as to his dealings with it; where trustee is
aware of a contemplated/actual b.o.t and fails to
take appropriate steps to prevent this occurring
 A.G V DAUGARS
Where several trustees are guilty of b.o.t, those who are
obliged to pay may exact contribution from others
v. LEGAL PROVISIONS AFFECTING TRUSTEES
 Probate and Admin Act-statutory rules for order of
application of assets where the deceased’s estate is
solvent.
 Bankruptcy law- rules of payment of debts when
deceased’s estate is insolvent-applied after funeral
and paid testamentary expenses.
 Trustee Act provides for trustees to advertise in
local newspapers or Gov gazettes for persons to
submit claims in respect of liabilities against
deceased’s estate within a specified period of time-
give protection to a trustee who distributes estate if
no claims lodged.
vi. PERSONAL LIABILITY OF THE TRUSTEE IN
CONTRACT
 As trustee they must honour contracts entered into
by the deceased before his death except those
contracts with a personal element which are
brought to an end by his death.
 Where they refuse to fulfill the contract, third
parties may seek specific performance to enforce
the contract.
 Trustees can enter into an agreement involving
immovable of the deceased after his death in a rep
capacity such agreement is unenforceable unless
the permission of court has been obtained
vii. RETIREMENT AND REMOVAL OF TRUSTEES
 A trustee may voluntarily retire from the trust
under an express power in the trust-if he desires to
be discharged from all or any of the trust he may
retire on appointment of new trustee in his place.
 Express power of removal of trustees is commonly
found in an equitable mortgage to a bank by a
deposit of title deeds, when a mortgagor often
declares himself a trustee of the legal estate for the
bank, which is given an express power to remove
the mortgagor as trustee and appoint itself/some
other person in his place.
 NG MOO YIN & ANOR V NG CHEE KONG & ANOR
Court dealt with an application to set aside an earlier order
of court appointing the R as trustees of the estate of Ng Teik
Chye(deceased)- original order was made pursuant to an ex
parte application- As had a right to set aside the order
obtained ex debitio justitiae.
viii. REMUNERATION OF TRUSTEES
Although trustees must not receive any remuneration for
his work unless it is specifically authorized by the terms of
trust-he is entitled to receive payment for costs and
expenses incurred in admin of trust.
TRUST: LAND DEALINGS
i. TRUSTS UNDER NLC
 Trusts are not recognized by the NLC as dealings in
land-section 344(1)
 Section 332+333 NLC-only trustee are the person
creating trust can enter a caveat.
 Registrar cannot enter a registrar’s caveat merely to
protect the interest of beneficiaries under a trust.
 Section 320- enter registrar’s caveat for the
prevention of fraud/improper dealing/ for
protecting the interest of any person who is a
 minor/ under disability of mental
disorder/unsoundness of mind
ii. POWERS OF TRUSTEES TO SELL LAND
 Has no inherent power to sell trust property-
primary duty of trustee is to preserve trust property
for benefit of beneficiaries
 Power to sell land if must be conferred on trustee
under trust instrument by legislation/ order of
court.
 Power of sale need not be express but may be
implied-duty of trustee under trust instrument is to
“divide/distribute” trust property-may be implied
that the trustee has power to sell property for
purposes of such division/distribution amongst the
beneficiaries
 Section 21 TA- statutory powers of sale but the
power to sell not apply where trustee hold property
for charitable purposes-so trustee ,may apply to
court under s.59 to authorize the sale of trust
property
 Court will only make order if it is for benefit of trust
as a whole-not indv beneficiary only.
iii. RIGHTS OF PURCHASERS TO TRUST PROPERTY
 Section 20(1) SRA, a decree of specific performance
may not be granted in favour of purchaser if the
contract of sale entered into by trustee is in excess
of his powers/b.o.t
 Where a purchaser acquires property from a
trustee with full knowledge that the trustee is
acting outside his powers/with knowledge that
beneficiaries interest would be adversely affected-
purchaser cannot be acting in good faith.
 DAN SIN WAH V CHAN HAI SWEE
Registered title of purchaser was set aside on grounds that
at the time of the purchase, purchaser knew that the leave
of court must be obtained before the land could lawfully be
sold to him-purchaser knew that rights of infant
beneficiaries would be affected.
iv. PURCHASER’S RIGHT UNDER THE TRUSTEE ACT
 Purchaser need not be concerned to determine
whether the amount of money paid as purchase
price is adequate for the purpose for which trust
property was sold.
v. DEPRECIATING CONDITIONS
 Trustee in selling trust property must endeavor to
obtain the best possible price for benefit of
beneficiaries-any depreciating cond included in sale
agreement which influences purchaser in offering
to purchase trust property at a lower sum than the
true value of property may under general law
render sale open to challenge by beneficiaries
 A purchaser purchases trust property wth
knowledge of depreciatory conds he is deemed to
have notice of a possible b.o.t by trustees- allowed
purchaser subsequently to refuse completion of
contract for sale of trust property.
 S.17 TA- no sale made by trustee may be
impeached by any beneficiary upon ground any
cond subject to which sale was made may have
been unnecessarily depreciatory unless it also
appears consideration for the sale was rendered
inadequate.
vi. REGISTRATION OF POWER OF ATTORNEY GIVING
POWER TO BORROW
 Intention of R was to delegate her duties from Hong
Kong of her powers ad rights as administratix to
one Wan Sow, the power should have been
registered in manner prescribed in s.27 of Trustee
Enactment 1961
 Authority of exercise of power is the instrument
itself and instrument is legally ineffective without
registration of Statutory Declaration under s.27 and
cannot be relied upon.