Paying back loans to an estate as a debtor when also a beneficiary

faveted

My brother owes my mothers estate £5000. There are 5 beneficiaries, including himself. He says that the £5000 should come out of his 5th and then be split 5 ways, therefore he will receive £1000 of it back.

I'm not convinced and think that the £5000 should come out of his share and be split 4 ways between the rest of us (hence we receive £1250 each).

Who is right here? Thanks

HampshireH

He should pay the estate back then you split the whole estate five ways if that's what's inherited. This seems the simplist solution 

Or if you are all getting £5k for example and there is £20k plus his £5k he gets nothing as he already has it and you all get £5k each from the £20k

If £5k is the total amount the estate has then he keeps £1k and he pays £4k back you all get £1k. Why shouldn't he have his inheritance too?

Examples as you don't give overall figures.

Grumpy_chap

The £5k should be repaid to the estate first.

Then any debts of the estate and any taxes.

Then the distribution as per the will.

HampshireH

Grumpy_chap said:

The £5k should be repaid to the estate first.

Then any debts of the estate and any taxes.

Then the distribution as per the will.

This! I didn't factor in other debts in my comment

TBagpuss

faveted said:

My brother owes my mothers estate £5000. There are 5 beneficiaries, including himself. He says that the £5000 should come out of his 5th and then be split 5 ways, therefore he will receive £1000 of it back.

I'm not convinced and think that the £5000 should come out of his share and be split 4 ways between the rest of us (hence we receive £1250 each).

Who is right here? Thanks

He is.

The £5,000 is an asset that belongs to the estate. , so that is paid back and the value of the total estate goes up by £5,000. 

If the estate is left to you and the other 4 siblings equally then it, including the repaid £5,000, is split equally and you get £1,000 each.

Knocking £5,000 off his share has the same effect - it's as if he was given £5,000 of his share and immediately used it to repay the debt. 

Why do you think he isn't entitled to it?