Can the a person who has completed IVA be an Executor of a Will?

SeanLac

My sister, who has previously (with her husband, as both had to complete the IVA at the same time) gone through and completed an IVA process is also the Executor of my Mum's will. Recently there are some signs that she may be getting back into financial trouble, although this has not yet been confirmed. Can anything be done to take pre-emptive action? She has previously shown signs of not behaving in a legal manner concerning my Dad's will (before he passed away a couple of years ago) as she suggested to me in 2024 to distribute his money straight away as soon as he died in contravention of his Will which stated that the assets should all go to my mother - unfortunately the evidence for this intention only consists of something she said out loud in front of me before … After probate, the wishes of my Dad's will were honoured and the money was not distributed as she originally planned to do. I am therefore concerned that she is not a fit person to hold the position of Executor of My mum's will. Can you advise of what can be done in this case? Thank you.

poseidon1

Inability to manage one's own financial affairs is a big red flag to me when it comes to executorship of a deceased estate. Generally I would consider such persons inappropriate for the role, but there is no automatic bar from acting for people previously or currently subject to an IVA or even bankrupts (mores the pity!).

However, since I assume your sister is also a beneficiary of your mother's estate, if she is on the threshold of perhaps entering another IVA you will see from the article below she is duty bound to notify the IVA firm of her windfall which would ordinarily mean the firm liasing direct the estate solicitor/executor to ensure the terms of the IVA are not breached.

https://debtcamel.co.uk/inherit-dmp-dro-iva-bankruptcy/comment-page-1/#:~:text=If%20the%20inheritance%20is%20more,the%20OR%20will%20claim%20it.

This is where a potential conflict of interest can arise if your sister is an active executor of the estate. Can she be trusted to keep the IVA firm in the loop and once the estate administration is complete, meet her debt obligations?

In the circumstances you could ask her to step back and elect to have her executor's powers reserved and you go forward as sole active executor, but you can't forced her to do so. In the meantime you should be very wary of any proposals she might make during the estate administration that hints at her trying to defeat the claims of any of her creditors.

born_again

Is your mother still alive?

If so then voice your concerns with her.

elsien

https://forums.moneysavingexpert.com/discussion/comment/81931205#Comment_81931205

The OP has not said that they are also an executor.

Hermann

You ask what can be done.

The answer is your Mum decides who she nominates as her Executor.

From your post it sounds like your Mum is still alive and you wish to take 'pre-emptive action'. It is for your Mum to take any action if she felt it necessary and that action would be to change her will.

There is no action for you to take beyond discussing the situation with your Mum if you feel there is something she should be aware of.

SeanLac

https://forums.moneysavingexpert.com/discussion/comment/81931287#Comment_81931287

Yes she is but her affairs are now managed by my other sister under an enduring Power of Attorney, and that sister is the other Executor of the estate (and of course beneficiary in the will) - I am just a beneficiary…..

SeanLac

I cant directly ask my mum as she is deemed to be of not mental capacity to make decisions as the Enduring Power of Attorney has been registered with the Office of the Public Guardian. Thanks for your comments.

SeanLac

https://forums.moneysavingexpert.com/discussion/comment/81931291#Comment_81931291

I am only a beneficiary

SeanLac

https://forums.moneysavingexpert.com/discussion/comment/81931287#Comment_81931287

She is but is deemed to have lost mental capacity due to an Enduring Power of Attorney and her affairs are now controlled by my elder sister

SeanLac

She is deemed to be not having mental capacity as my elder sister holds an enduring power of attorney over her affairs

elsien

To make any challenge now to the power of attorney or later to the will require requires evidence, not vague suspicion.
As things stand, I don’t think there is anything that you can do.