NSW Distribution of Estate under duress

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Kaina

Active Member
15 November 2017
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I am one of two Executors for the Estate of our late mother. The terms of the Will state that I have been given a life's residency right for as long as I wanted to live here. The other Executor, my older male sibling has begun to pressure me to place the property on the market by end for March 2018.

The terms of the Will stated that when I no longer wanted to live here, then it was up to me to place the property on the market. Now, my older sibling has sent me text messages, stating when the property should go onto the market.

I feel as though I am under duress at this point and that he is attempting to exert undue pressure on me in order to sell the property.

He also has dumped the entire process of the selling, giving away to charity, or however else the household items are to be disposed of onto me, when replying to my question of what he wanted to do with the furniture he had purchased for our late mother. In short, he has ensured that he has removed himself of any involvement that is a part for his duties as a nominated Executor in this final stage. We are both beneficiaries as well.

I have felt terribly overwhelmed.
 
28 February 2018
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I am not a lawyer but a Life Residency is a valuable asset, given the cost of rental. You would still be responsible for rates and utilities, insurance and maintenance.
One reason your brother may be pressuring you to sell is that he needs or wants "his" money/share and the other is that after two years, if the property of a deceased person is sold, it attracts Capital Gains tax. So that would be his concern.
You do not state whether you receive part of the proceeds if the property is sold, nor do you mention a mortgage.
There are a number of accounting, legal and social issues to be considered.
If you remain in residence your brother is likely to continue hounding you but he cannot do any more than that. It depends on what value you place on the relationship. If you get half the estate, then it may be worth your while to sell the property and keep the harmony in the family. If you do not get any benefit from the sale, then why would you sell? In this case, you could work out what the cost/benefit would be to him to give you a portion of the proceeds, say 50% for selling now. Otherwise, why would you sell a perfectly good, cost-effective roof over your head? Your mother provided for you in this way. It is worth at least $15,000 pa in rent plus you could get a student to give some additional income. There are creative ways of solving this problem.
Having discussed some possible issues and scenarios, none of which constitute legal advice, I suggest you visit your account re tax issues and general advice and find a good lawyer for advice on how to proceed with whatever solution you come up with. Do not make any agreements with your brother without getting them legally signed and witnessed. When money is concerned, people change.
Regarding the rest of the administration just do it, record everything you do, get receipts, then charge the estate for your work. Or employ an executor to do it if neither of you know how. But it's cheaper if you can do everything yourself. Just document everything, including phonecalls and text messages from your brother. If it gets ugly you may need a restraining order.
It all depends on a number of factors only you know i.e. How strong is your relationship with your brother, how much does he need some money, etc.
I cannot emphasise enough that you have a wonderful opportunity in life to cut living expenses and save and invest for your future. But I would sell before you get married or get a strong pre-nup so that your brother's share is not compromised by divorce property settlements. Tell your brother that the property will appreciate in value and he'll get more later. Okay. That's all the angles and issues I could come up with for you to consider. Best of luck and get professional advice but make sure you go to a lawyer with expertise in this area.