Petition For Letters Of Administration

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MALAYSIA LEGAL PROCESS

INTESTACY (Without A Will) – LETTERS OF ADMINISTRATION

HOW TO PETITION FOR LETTERS OF ADMINISTRATION

Procedure and Appointment of an Administrator
The petition will be filed by a beneficiary who has priority over other beneficiaries.  Every other beneficiary must renounce his/her right to petition.  These beneficiaries must sign a letter called the Renunciation of Administration.  If this is not done, a notice has to be served on those who refuse to sign when the petition comes up for hearing.  If any person wants to object, he/she can do so and the petition will have to proceed as a contentious one.  But, if he/she does not appear at the hearing, he/she is deemed to have renounced his/her right to administration.

Administration Bond (Security)
An administration bond is required before the grant of Letters of Administration can be extracted.  The administration bon is in the form of security of the due administration of the deceased’s estate.  It means that the administrator must get two sureties to sign the bond before the grant can be extracted and the sureties must have assets within the jurisdiction equivalent to the value of the deceased’s estate.  The sureties must ensure that the property will be properly administered and the accounts, properly rendered.
The court has the discretion to decrease the number of sureties or dispense with them, or may reduce the amount of the bond.   Sureties can be dispensed with if a trust corporation is appointed as the administrator or if the administrator is the sole beneficiary.

SUMMARY ADMINISTRATION AND SMALL ESTATES

Without a Will, gross value of estate is less than equal RM600,000

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                                                 Movables Only                                           Wholly/Partly Immovable

           S.17 Public Trust Corporation Act 1995:                                           Small Estate (Dist) Act 1955:

                                        Amanah Rakyat Bhd                                           the jurisdiction to deal with the estate

           (formerly known as the Public Trustee)                                           vests in the District Land Administrator

             can administer the deceased’s estate                                            who  will issue a Distribution Order.

                         without the need for sureties.                                            Sureties are not required in this case.

LETTERS OF ADMINISTRATION WITH WILL ANNEXED

Valid Will and a Grant of Probate is not petitioned for, but Letters of Administration instead.  In such cases, the person named as executor in the Will may:

(a) have predeceased the testator;
(b) have died after the testator’s death, but before proving the Will;
(c) be insane or suffer from other disability or handicap;
(d) be resident outside the jurisdiction;
(e) not come forward to petition; or
(f) the testator had completely overlooked the naming of an executor.

With valid Will, but proving No Executors

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> RM600,000 High Court (Letter of Admin. and Will annexed)
Surety required

With valid Will, but proving No Executors

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Less than or Equal RM600,000

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                                                  Movables Only:                Wholly/Partly Immovables:
                             Amanah Rakyat Bhd           High Court (Letter of Admin. and Will Annexed)
S.17 Public Trust Corporation Act 1995

 

ADMINISTRATION De Bonis Non

Situation where a person who has taken out a probate or Letter of Administration has not completed the administration of the estate due to abscondment, incapacity or death.

This involves the same procedure as that of obtaining any Letters of Administration and can be made only to the persons who would have been entitled to the original grant (i.e. the persons entitled under the rules of priority for Letter of Administration).

The Administration De Bonis Non acts under the Will of the  deceased in the event of testacy.  If the estate is an intestate one, his authority derives from his appointment as administrator, and he carries out the functions of his predecessor.   In such case, the administrator’s role is restricted to finalising the estate’s administration.

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