In Malaysia, both executor and administrator play an important role in the administration of a deceased person’s estate. While the roles of executor and administrator in Malaysia may seem similar, they have significant differences that individuals should be aware of. It is important to understand these differences to ensure that the estate is administrated correctly and fairly.
What is an Executor?
An executor is a person who is named in a Will to administer the estate of the deceased person. The executor is responsible for carrying out the wishes of the deceased, distributing the assets to the beneficiaries, and settling any outstanding debts and taxes owed by the estate.
The executor is typically named in the Will by the deceased person. If the deceased person has not named an executor in their Will, the court may appoint someone to act as the executor. He or she will be responsible for carrying out the same tasks as the executor appointed under the Will.
The role of the executor is governed by the Probate and Administration Act 1959 in Malaysia. They have legal authority to act on behalf of the estate, and they are required to act in the best interests of the beneficiaries. This means that they must follow the instructions outlined in the Will and distribute the assets accordingly. The executor is also responsible for filing the necessary documents with the court, such as the application for grant of probate.
What is an Administrator?
An administrator is a person who is appointed by the court to administer the estate when the deceased person has not left a Will. The administrator is responsible for collecting the assets, paying off any outstanding debts and taxes, and distributing the remaining assets to the beneficiaries according to the law.
In Malaysia, the role of the administrator is governed by the Distribution Act 1958. Their role is to ensure that the assets are distributed fairly among the beneficiaries. They do not have the same legal authority as an executor, and they are not required to follow any instructions left by the deceased. Instead, they are responsible for distributing the assets according to the Distribution Act 1958.
Differences between an Executor and an Administrator?
Executors are appointed by the deceased person, while administrators are appointed by the court.
- Legal Authority
Executors have legal authority to act on behalf of the estate and are required to follow the instructions outlined in the Will. Administrators do not have the same legal authority and are not required to follow any instructions left by the deceased.
Another significant difference between an executor and an administrator is their duties. Executors are responsible for carrying out the wishes of the deceased, while administrators are responsible for distributing the assets according to the Distribution Act 1958.
- Filing of Documents
An executor is required to file an application for a Grant of Probate with the court, while an administrator is required to file an application for a Letter of Administration with the court.
Executors are also required pay any taxes or debts owed by the estate. In contrast, administrators are not required to file documents to the court unless they are requested to do so. They are also not required to pay any taxes or debts owed by the estate, although they may do so if they choose to.