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ESTATE ADMINISTRATION

Brenda R. Hildebrandt Brenda R. Hildebrandt Law Office

Box 526 Moosomin, SK S0G 3N0

Not to be used or reproduced without permission - Saskatchewan Legal Education Society Inc.

Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration

ACKNOWLEDGMENT

A portion of this material was prepared by Pamela J. Haidenger-Bains, Q.C. and is used with her permission

Revised August 2004 Not to be used or reproduced without permission - Saskatchewan Legal Education Society Inc.

Saskatchewan: Bar Admission Program i Wills and Estates – Estate Administration

TABLE OF CONTENTS

I. INTRODUCTION .......................................................................................................... 1

II. PRELIMINARY MATTERS ......................................................................................... 1

A. THE INITIAL INTERVIEW ................................................................................ 1 1. Informing the Beneficiaries ............................................................................. 2 2. Duties and Compensation ................................................................................ 2 3. Income Tax and GST Requirements ................................................................ 5 4. Authority to Invest ........................................................................................... 7 5. Securing the Assets .......................................................................................... 7

B. INVENTORY AND VALUE OF THE ASSETS................................................. 8 C. OTHER PRELIMINARY MATTERS .................................................................10 1. Canada Pension Plan Benefits..........................................................................10 2. Life Insurance, RRSP’s, Superannuation, Private Pensions ............................11 3. Assets Owned Jointly with Right of Survivorship...........................................11 4. Cheques Made Payable to the Deceased..........................................................11 5. Canadian Wheat Board ....................................................................................11 III. APPLICATION FOR A GRANT...................................................................................12

A. TYPES OF GRANTS ...........................................................................................12 1. Letters Probate .................................................................................................12 2. Letters of Administration .................................................................................12 3. Letters of Administration with Will Annexed .................................................12 4. Resealed Letters Probate or of Administration ................................................12 5. Ancillary Grants ...............................................................................................13 6. Letters of Administration de bonis non............................................................14 7. Letters of Administration Granted Pursuant to a Power of Attorney ..............14

B. THE APPLICATION FOR A GRANT ................................................................14 1. Rules of General Application...........................................................................14 2. Application for Grants of Probate....................................................................18 3. Grants of Administration .................................................................................21 4. Letters of Administration with Will Annexed .................................................23 5. Resealed Letters Probate or Letters of Administration....................................24 6. Ancillary Grants ...............................................................................................27 7. Letters of Administration de bonis non............................................................27 8. Letters of Administration by Power of Attorney .............................................28

C. MATTERS CONCURRENT WITH THE APPLICATION.................................29 1. Notify the Beneficiaries ...................................................................................29 2. Advertising for Creditors .................................................................................29

Revised August 2004 Not to be used or reproduced without permission – Saskatchewan Legal Education Society Inc.

Saskatchewan: Bar Admission Program ii Wills and Estates – Estate Administration III. CALLING IN THE ASSETS AND THE PAYMENTS OF DEBTS.............................31

A. TRANSMISSION OF THE ASSETS...................................................................31 B. INVESTMENT OF ESTATE FUNDS .................................................................32 C. PAYMENT OF DEBTS........................................................................................32 IV. PRE-DISTRIBUTION CONSIDERATIONS ................................................................34

A. TAX CLEARANCE CERTIFICATES.................................................................34 B. ADEMPTION OF ASSETS..................................................................................35 C. SIX MONTH WAITING PERIOD.......................................................................35 D. COMPARATIVE TAX RATES ...........................................................................36 V. PASSING OF ACCOUNTS ...........................................................................................37 VI. THE OFFICE OF THE PUBLIC GUARDIAN AND TRUSTEE .................................39 VII. COURT APPLICATIONS AND CONTENTIOUS BUSINESS...................................44

A. PROOF IN SOLEMN FORM...............................................................................44 B. COMPELLING PRODUCTION OF THE WILL ................................................46 C. ISSUES ARISING DURING THE ADMINISTRATION ...................................47 D. THE FILING AND PASSING OF ACCOUNTS.................................................48 E. REVOCATION OF A GRANT ............................................................................48 F. REMOVAL OF AN EXECUTOR OR ADMINISTRATOR ...............................48 APPENDICES APPENDIX A – Estates Checklist ........................................................................................A – 1 APPENDIX B – Documents To Be Filed Checklist..............................................................B - 1 APPENDIX C – Estate Information Sheet ............................................................................C – 1 APPENDIX D – GST INFORMATION ...............................................................................D – 1


Saskatchewan: Bar Admission Program iii Wills and Estates – Estate Administration PRECEDENTS

PRELIMINARY MATTERS: Authority to Invest Trust Funds.............................................................................................P – 1 Notice of Appointment of Attorney.......................................................................................P - 2 Suggested Procedure for Dealing with Motor Vehicles ........................................................P - 3 Form Letters...........................................................................................................................P - 4 TIPS ON DRAFTING APPLICATIONS FOR A GRANT...................................................P - 19 THE PUBLIC GUARDIAN AND TRUSTEE’S INVOLVEMENT IN THE TRANSFER OF ASSETS........................................................................................P - 25 SAMPLE ACCOUNTING: Preliminary Distribution - Simple Estate...............................................................................P - 27 Final Distribution - Simple Estate .........................................................................................P - 31


Saskatchewan: Bar Admission Program 1 Wills and Estates – Estate Administration

I. INTRODUCTION

The Administration of Estates Act, S.S. 1998, c. A-4.1 was proclaimed in force July 1, 1999.

This separate piece of legislation replaced former sections 100 to 141 of the Queen’s Bench Act

dealing with the administration of estates, which had previously been located in the Surrogate

Court Act prior to 1992. While the principles of estate administration have remained the same

over the years, and much of the wording in the new legislation is similar to the previous, the

organization of the legislation has been altered significantly. Additionally, some matters of

substantive law have been moved from the Queen’s Bench Rules to the Act.

II. PRELIMINARY MATTERS

A. THE INITIAL INTERVIEW

Your first contact with the estate client generally arises shortly following the death when you

meet with the proposed executor or administrator of the estate. This will often be a difficult time

for your client as he/she may still be grieving the loss of a loved one. Good communication

skills are essential to provide reassurance to your clients and to properly acquaint them with the

anticipated procedures.

At this stage you should obtain as much information as possible, to simplify and streamline the

estate administration process. Most law firms will have some form of estate questionnaire which

assists in the gathering of this information. These questionnaires are designed to address the

matters which must be included in later estate documentation and help to ensure that potential

complications are identified early in the process.


2 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration

1. Informing the Beneficiaries

There is no legal requirement that a formal reading of the Will be held. However, some solicitors

find this to be a useful practice in that it provides an opportunity to meet with those persons with

whom they will be dealing on a regular basis. It can help to instill the sense of trust that is required

for smooth dealings in an estate. It can also be used as an opportunity to outline to those persons

present some realistic expectations about the administration of the estate. Beneficiaries in particular

should be prepared for delays which will inevitably occur before they receive their shares. If the

solicitor cannot convey the information in person, then it should be done by letter.

Although this contact with the beneficiaries is useful, one must always bear in mind that the

client is the estate and instructions are taken from the executor or administrator and not the

beneficiaries. The solicitor’s first duty, therefore, is to the executor or administrator. The

purpose in keeping the beneficiaries informed is to try and prevent complaints from arising

during the course of administration, which complaints make the executor’s/administrator’s job

and the solicitor’s job more difficult.

2. Duties and Compensation

The solicitor and the executor/administrator should have a clear understanding of the terms of

engagement and the respective duties of each party. The legal fees chargeable in connection

with estate administration are set forth in Rule 745 which reads as follows: “745(1) Subject to subrule (3), the lawyer retained by the personal representative shall not accept payment for services to the personal representative or to the estate in excess of that provided in tariff Schedule I “C”. (2) The lawyer shall provide the personal representative with a copy of this rule and tariff. (3) Where a lawyer and a personal representative agree that the lawyer should be paid a fee greater than the fee provided for in the tariff, the lawyer shall be entitled to that fee if the beneficiaries, after being provided with a copy of this rule and tariff Schedule I “C”, approve the agreement.”



Pursuant to Schedule I “C”, the lawyer is entitled to charge a percentage fee “for all necessary

services rendered preparing all papers leading to grant; for preparing and filing any estate tax

and succession duty or like return and the settling of any tax or duty assessed (not including

attendance in court or chambers in proceedings with respect thereto); for transmitting title to all

estate assets to the personal representative and the transfer thereof to a beneficiary; for

publishing Notice to Creditors; for obtaining the Public Guardian and Trustee’s Certificate; for

ordinary attendances and correspondences.” However, under Paragraph 3 of Schedule I “C”, if

the executor/administrator performs the bulk of the duties of the executorship or administration,

then the legal fees shall be reduced by 40%.

Presumably, Schedule I “C” delineates the scope of the services rendered by a solicitor in an

ordinary estate. This leaves to the executor/administrator the tasks of securing the assets,

performing inventory of the assets, ascertaining the creditors, preparing and filing income tax

returns and obtaining Tax Clearance Certificates, selling assets (if required), paying out all

creditors, investing and managing the estate assets, assembling an accounting and obtaining

releases. Often the lawyer will perform many of these services for the same fee as allowable

under Schedule I “C”; however, it should be recognized that these are in fact services over and

above those required.

The issue may become important when determining the amount of any compensation payable to

the executor or administrator. A personal representative cannot charge for services which have

been rendered by the solicitor for the estate, nor is a solicitor entitled to receive compensation for

services performed by the executor which would otherwise have been performed by the solicitor.

Re Nash Estate (1955), 17 W.W.R. 246 (B.C.S.C.)

Re Lloyd Estate (1954), 12 W.W.R. 445 (Man. C.A.)

An excessive charge by an executor or administrator for compensation could therefore result in

either the proposed compensation or the solicitor’s bill being reduced for the areas of overlap.



Paragraph 3 of Schedule I “C” implies that a lawyer does in fact carry out administrative duties

thereby reducing the effectiveness of the argument that the services under Paragraph 2 of

Schedule I “C” relate only to legal documentation.

The executor or administrator should be advised from the outset to keep track of his time spent,

services performed and disbursements incurred if it is anticipated that a claim for compensation

may later be made.

With respect to compensation payable to an executor, the Saskatchewan Queen’s Bench case of

Re Verbonac (1984), 31 Sask. R. 161 reiterated the considerations previously expounded by our

Court of Appeal. These were:

(a) the magnitude of the trust; (b) the care and responsibility springing therefrom; (c) the time occupied in performing the requisite duties; (d) the skill and ability displayed; and (e) the success which attended its administration. In Verbonac, the accounts were approved based on percentages in the range of 1% to 5% for

each phase of the estate. Commenting on this in the case of Re Preboy Estate (1989), 72 Sask.

R. 33, affirmed (1989) 74 Sask. R. 223 (C.A.), Mr. Justice McLellan noted that, while courts

have often resorted to the use of percentage figure on the value of the asset involved in each

specific phase of the administration, such a method is only a guide to which the court can refer,

and along with the five considerations, determine a reasonable allowance.

In the more recent case of Gerrand et al v. Safian (1995), 134 Sask R. 229 (C.A.), the Court of

Appeal referred to Preboy Estate and Re Verbonac with approval. The Court of Appeal further

made it clear that in determining a fair and reasonable allowance it is difficult to consider an

appropriate amount of compensation where sufficient information of time expended is not

provided. Therefore, all executors seeking compensation should keep records of the time

expended in pursuit of their duties. The Gerrand decision has been relied upon in such recent

decisions as Re Dimmock Estate, [2002] S. J. No. 606.



If the beneficiaries perceive that any delay in the administration of the estate is attributable to the

executor, the quantum of the executor’s compensation may well become a contentious issue

when the time comes for execution of the final Releases.

Pursuant to Rule 745(1) the lawyer cannot accept a fee greater than that set forth in Schedule I

“C” unless there is compliance with Rule 745(3). The lawyer must also provide the executor or

administrator with a copy of Rule 745 and Schedule I “C”, which together outline the fees

chargeable by the lawyer. It is best to provide a copy of this information at the outset so that it is

not overlooked at the time of billing. This practice also helps to ensure that the client knows the

basis upon which legal fees are charged.

3. Income Tax and GST Requirements

The executor/administrator and the beneficiaries should be advised of certain income tax and

GST requirements which will impact on the administration of the estate.

Under section 159 of the Income Tax Act, an executor or administrator cannot distribute any

part of the estate without first having obtained a Tax Clearance Certificate from the Canada

Revenue Agency. If distribution of the estate proceeds without a Tax Clearance Certificate and

taxes are later found to be owing, then the executor or administrator can be held personally

liable to pay the outstanding taxes. The process of obtaining the Tax Clearance Certificate,

however, will be the major source of delay in distribution of the estate. A Clearance Certificate

cannot be obtained until all relevant tax returns have been filed and processed. Therefore, it

can take from six months to a year to obtain the necessary clearances, although Canada

Revenue Agency has been endeavouring to speed this process. The executor/administrator

must therefore be forewarned of this potential delay.



Section 270 of the Excise Tax Act similarly requires that a personal representative obtain a

Clearance Certificate in connection with remittance of GST. Failure to obtain a Clearance

Certificate will leave the personal representative liable under section 270(2) for unpaid past or

future GST, which would include any GST collectible by the estate on supplies of property from

the estate to the beneficiary.

In the period shortly following the implementation of the Goods and Services Tax, some offices

of Revenue Canada Customs and Excise were unwilling to issue Clearance Certificates in estates

where the deceased was not registered for GST purposes. From the perspective of the personal

representative, this type of response was not satisfactory. Depending upon the nature of the

property, there can be liability for GST on the transfer of assets to beneficiaries. Also, it is

possible, particularly if the death occurred in the so-called transition period following the

implementation of the GST legislation, that the deceased should have been registered for GST

purposes or the estate should have been registered for GST purposes but was not. As a result,

there could be GST liability even though neither the deceased nor the estate was registered. The

prudent course of action would be to insist upon obtaining an actual Clearance Certificate,

however, this may become more difficult to do given amendments to the Excise Tax Act in recent

years.

If the executor/administrator is also the sole beneficiary of the estate, then the decision might be

made to distribute without waiting for the Clearance Certificate. As the executor/administrator

in such circumstances is also the person who receives the assets, it makes little difference

whether any outstanding taxes are paid by the estate or by the personal representative/beneficiary

after distribution.

Revised 2000 Not to be used or reproduced without permission – Saskatchewan Legal Education Society Inc.


4. Authority to Invest

If it is anticipated that the lawyer will be handling funds on behalf of the estate it is common

practice to have the executor (or administrator, when appointed) execute an Authority to Invest

Trust Funds, a sample of which is found in the precedent materials. The purpose of such a form

is twofold.

First, there are those practitioners who feel that the form is necessary and required in all

situations where funds are to be invested on behalf of a client because of the provisions found in

the Legal Professions Act and the Rules of The Law Society of Saskatchewan regarding payment

of interest to the Law Foundation and the handling of trust funds.

Secondly, the investment of estate monies is a discretionary power of the executor/administrator

which cannot be usurped by the solicitor. It is therefore in the best interests of both the

executor/administrator and the solicitor that written instructions as to the investment of funds

appear on the file in the event that such investment is required of the solicitor. In this regard, it

should be noted that both the Trustee Act and Part 13 of The Law Society Rules limit the type of

investment which the solicitor can make.

5. Securing the Assets

The executor or administrator may find it necessary to protect the assets of the estate prior to

even obtaining the grant of probate/administration. Some suggestions as to the types of actions

which might be necessary are found in the Checklist in these materials. The executor or

proposed administrator should, however, resist intermeddling in the estate to the greatest extent

possible so as to avoid incurring liability should there be a problem with the grant.



B. INVENTORY AND VALUE OF THE ASSETS

Prior to applying for a grant, it is necessary to prepare an accurate inventory of the estate assets.

This inventory will serve more than one purpose so it necessary to spend some time and effort in

ensuring that it is as accurate as possible.

An accurate inventory is first required for filing with the petition documents, as Rule 701

requires an inventory which is verified under oath. Form 104, referred to in Rule 701, indicates

that the statement of assets is divided into Parts One and Two. Part One lists all of the assets

which will pass through the estate and which are within the jurisdiction of the Saskatchewan

grant. Part Two lists all of the assets which do not pass through the estate (for example, jointly

owned assets) or which are not within the jurisdiction of the Saskatchewan courts (for example,

real property in another province). The values shown are the fair market value as of the date of

death.

In a case relating to former Surrogate Court Rule 23, Mr. Justice Baynton provided clarification

of exactly what is meant by the term “at the time or date of death”. He indicated that Rule 23

(which in large part is reproduced in Rule 701 and Form 104) only makes sense if the words

“property of the deceased at the time of death” or “at the date of death” are interpreted to mean

“the property that this deceased owned just before he died”.

See Re Brown Estate, [1993] 2 W.W.R. 513 (Sask. Q.B.)

This analysis, which appears correct in law, is not, however, being followed in relation to

Canada Pension Plan death benefits. In the fall of 1997, The Law Society of Saskatchewan

published a notice indicating that the Judges of the Court of Queen’s Bench had recently agreed

that the estimated Canada Pension Plan death benefit should be included in Part One of the

Statement of Assets.



More recently, section 8 of the Administration of Estates Regulations was made effective.

Section 8(3) lists those assets which are not to be considered as property of the deceased person.

Of these, item (c), concerning Canada Pension Plan payments, delineates only payments to a

surviving spouse or child.

The estate inventory will also be examined by Canada Revenue Agency prior to its issuing a Tax

Clearance Certificate. It is therefore necessary to be as accurate as possible so that the statement

reflects the taxable status of the deceased. A well-prepared Statement of Assets is very useful to

the accountant in preparing the income tax returns.

Additionally, the probate fees charged by the court and the legal fees are both based upon the

gross value of the assets as shown in the inventory.

The form letters which appear in the precedents relate to the collection of the information

required to prepare an accurate inventory of the assets. Examination of the sample Statement of

Assets provided indicates that it is usual to include items such as the accrued but unpaid interest

on such assets as bank accounts, term deposits and Canada Savings Bonds. This information

also becomes very useful at the time of preparing the income tax returns for the estate. The

Checklist found in the materials indicates the different methods of valuation for the different

types of assets.

While it would appear that the job of assembling the inventory of assets belongs to the executor

or proposed administrator, this service is most often actually performed by the solicitor because

of his or her greater familiarity with the information required.



C. OTHER PRELIMINARY MATTERS

It may take a month to six weeks to receive back all of the information required to prepare a

complete Statement of Assets. In the meantime, there are often preliminary matters which can

be undertaken. In particular, assets which can be transferred without receiving a grant can be

collected in at this time.

1. Canada Pension Plan Benefits

Where the deceased had contributed to the Canada Pension Plan for any three years after 1996,

the estate will be entitled to certain benefits from the Plan. Forms can be obtained from the

federal Department respecting the various applications for benefits.

The estate is entitled to receive a Death Benefit, the amount of which is based on past

contributions. Its purpose is to assist in defraying the funeral expenses. It is therefore paid to

the estate, and not to the surviving spouse. It must therefore be applied for by the

executor/administrator. It will be reported as income earned by the estate, on the T-3 Trust

Return.

The surviving spouse is entitled to receive a monthly payment which continues for life or until

remarriage occurs. The surviving spouse, therefore, applies for this benefit, not the

executor/adminstrator.

Monthly payments are also available for children under the age of 18 years, and for children over

18 who are attending school or university. Again, these applications are made by the surviving

spouse or the adult child, and are not the responsibility of the executor/administrator.



2. Life Insurance, RRSP’s, Superannuation, Private Pensions

Where assets such as life insurance, retirement savings plans, superannuation or private pension

plans have a designated beneficiary for the policy or plan, the proceeds of the policy or plan can

be applied for immediately. Each company will have to be contacted for its requirements for

payment out.

3. Assets Owned Jointly with Right of Survivorship

Assets which are owned jointly with a right of survivorship can be transferred immediately to the

surviving joint tenant. However, it is the responsibility of the surviving joint tenant to arrange

for or give instructions for the transfer and pay for the costs of the same.

4. Cheques Made Payable to the Deceased

The banks may refuse to deposit cheques which are made payable to the deceased, after he or she

has died. It is therefore a common practice to return cheques made payable to the deceased to

the issuer, and request that they be made payable to the estate.

Additionally, this serves as a useful safeguard to ensure that the deceased is still entitled to

receive the cheque. For example, the estate is entitled to keep the Canada Pension cheque

received in the month of death, but must return all other Canada Pension cheques of the deceased

which are thereafter received.

5. Canadian Wheat Board

The Canadian Wheat Board will not permit grain to be hauled in on a deceased person’s permit

book. It is therefore important to have the plastic plate re-issued in the name of the estate so that

grain can be hauled if a quota opens.



III. APPLICATION FOR A GRANT

A. TYPES OF GRANTS

Prior to preparing the documents which are required for the grant, it must first be determined

what kind of grant is to be sought. The following are some of the more common types of grants:

1. Letters Probate

Where the person dies leaving a Will which names an executor, and the executor is willing to

act, the grant applied for is that of Letters Probate.

2. Letters of Administration

Where the person has died without a Will, the person applying is seeking a grant of Letters of

Administration.

3. Letters of Administration with Will Annexed

Where the person died leaving a Will, and the Will fails to name an executor, or the executor and

any alternate executor is unable or unwilling to act, an application is made for Letters of

Administration with Will Annexed.

4. Resealed Letters Probate or of Administration

If a grant of probate or of administration has been received in any other province or territory, in

the United Kingdom, in any other country of the British Commonwealth or in any state of the

United States of America, then the executor or administrator so named can apply in

Saskatchewan to have the original grant “resealed”. Once the original grant has been resealed,



then it is as effective in the new jurisdiction as if it had originally been granted here. Only the

person named in the original grant can apply for a resealing.

The reason for resealing, or applying for an ancillary grant which will be discussed later, is to

deal with property located outside the original jurisdiction. Under the English law of conflicts, a

grant made within any particular jurisdiction is effective with respect to all assets located in that

jurisdiction. It does not extend to any immoveables (real property) located outside the

jurisdiction. There is some dicta to the effect that where the deceased died domiciled in, for

example, Saskatchewan, then a Saskatchewan grant extends to all of his movables (personal

property), wherever located. There is some dispute as to the correctness of this position. [See

Dicey & Morris, The Conflicts of Laws, 11th edition, Rule 129, Comment (1)]; however, a grant

from one Canadian province is generally recognized elsewhere in Canada as being effective for

dealing with Canadian movables. The most common reason, therefore, for applying for a

resealing or ancillary grant is to deal with real property in another jurisdiction.

5. Ancillary Grants

Where a grant has been received in some jurisdiction other than a Canadian province, territory,

the United Kingdom, a British Commonwealth country or one of the states of the United States

of America, an application for resealing cannot be made. Additionally, if the grant was

originally from one of the above jurisdictions but the executor or administrator cannot for some

reason (such as death) apply, then a resealing cannot be sought. Instead, application is made for

an ancillary grant. It recognizes, however, that there is already a primary grant in existence to

which it is merely ancillary or secondary.

See Re Dunning Estate (1984), 28 Sask. R. 204.



6. Letters of Administration de bonis non

Where an administrator fails to complete the administration of an estate before his or her own

death, then another grant must be obtained in order to complete the administration of the estate.

This grant is known as Letters of Administration de bonis non.

Where an executor dies before completing his or her administration of the estate, the rights of

executorship will pass on down to his or her executor, assuming that the first executor left a Will

naming an executor, and that second executor has taken out Letters Probate. If the chain of

executorship is broken, then application is made for Letters of Administration de bonis non with

Will Annexed.

7. Letters of Administration Granted Pursuant to a Power of Attorney

In some circumstances the person or persons entitled to apply for Letters of Administration (with

or without Will Annexed) will not wish to act for the time being, but also do not wish to

renounce. Such person(s) may give power of attorney to someone else to apply for Letters of

Administration by means of a power of attorney. An executor cannot give a power of attorney to

someone else to apply for Letters Probate.

B. THE APPLICATION FOR A GRANT

The basic rules of practice regarding the application for grants are found in sections 4 through 19

of the Administration of Estates Act and Rules 690 through 723.

1. Rules of General Application

Some of the Rules and sections in the Administration of Estates Act must be considered in every

application. These provisions are discussed in the following.



(a) Section 4(1) of the Administration of Estates Act;

“4(1) Letters probate or letters of administration may be granted under the seal of the court on proof: (a) that the deceased:

(i) resided in Saskatchewan at the time of death; (ii) resided outside of Saskatchewan at the time of death and left real or personal property within

Saskatchewan; or (iii) resided outside of Saskatchewan at the time of death but the executor or administrator will be

a party to an action within Saskatchewan; and (b) of the will or of the fact that the deceased died intestate.”

(b) Rules 698 though 703.

These Rules set out the basic information that must appear in every application for a grant.

Rule 698 provides that the various Queen’s Bench forms, appropriate to a request for the various

types of grants, must be followed. The application must be signed and verified by an affidavit of

the applicant [Rule 700]. Specific forms for these affidavits are also provided in the Rules.

Every application for a grant must set out the following information as required by Rule 699(1):

i. the name and address and relationship to deceased of every person entitled to share in the deceased’s estate;

ii. the age and marital status of the deceased at death; and

iii. that the applicant is of the full age of 18 years, or is a trust company.

By Rule 699(2) the application for a grant must state whether or not the deceased is survived by

a child or dependent adult. Where a child or dependent adult is interested in the estate, or may

have a claim under the Dependants’ Relief Act, 1996 or the Family Property Act, this

information must be included in the application and a notice to the Public Guardian and Trustee

or the Property Guardian, as the case may be, in Form 101, must be filed, in duplicate, with the

application.



To obtain a certificate that no infants are interested in the estate, a request is made to the local

registrar in accordance with subsections (2) and (3) of section 4 of the Administration of Estates Act: “4(2) On the request of the applicant, where the local registrar is satisfied that no infants are interested in the estate of the deceased, the local registrar shall provide the applicant with a certificate to that effect, together with the letters probate or letters of administration. (3) An executor or administrator may apply to the public guardian and trustee for a certificate that no minors are interested in the estate of the deceased: (a) where the local registrar does not issue a certificate stating that no minors were interested in the estate at the time when the letters probate or letters of administration were granted; or (b) where letters probate or letters of administration were granted by the Surrogate Court for Saskatchewan before November 15, 1992.”

It is important to remember to request the certificate that no infants are interested at the time the

documents in connection with the application for the grant are submitted to the Court House.

With respect to section 3(a) of the Act, an example of the situation where the Public Guardian

and Trustee will become involved in the issuance of the certificate is where a certificate cannot

be obtained right away. For instance, an infant may be interested in the estate, but the estate is

awaiting passage of the six-month period in connection with a potential claim under the

Dependants’ Relief Act, 1996.

An application for grant must also contain a statement in Form 104 showing all the real and

personal property of the deceased at the time of death. This statement is to be verified by an

exhibited to the applicant’s affidavit [Rule 701(1)]. This statement is divided into two parts, the

first of which sets out all the assets which will pass through the estate and be subject to the

jurisdiction of the Saskatchewan court. Part Two sets out the assets which either fall outside the

estate or are not within the Saskatchewan jurisdiction.

As noted earlier, the value of the assets must be set out in the statement. The value which is

given is the current or fair market value as of the date of death. It is important to try and

ascertain the values as closely as possible to this date as it will have certain income tax

consequences.



Additionally, if it is a very old estate which is now being probated, the value as of the date of

death may well be significantly lower than the current value.

The value of the assets to be shown is the gross value. No deduction is made for the debts of the

deceased unless the debt is a loan, mortgage or agreement for sale relating to the real property in

excess of any insurance proceeds which will be used to discharge that debt. The deduction of the

mortgage or loan is shown in relation to the particular piece of property involved and is not

shown as a general deduction from all of the assets. It is also not necessary to include a

statement of debts with the application, although it is useful to get information concerning the

debts of the estate at the time of your initial interview. Such information may be required in

connection with preparation of the income tax returns as well as in connection with dealings with

the Public Guardian and Trustee.

Where a second grant is being sought (that is, a grant de bonis non, a resealing, or an ancillary

grant), then only the value of the unadministered property or the property to be administered in

Saskatchewan is to be listed in the statement [Rule 701(2)].

If the death occurred before January 1, 1977, then, pursuant to Rule 702, the application must

also include a succession duty or estate tax return, or the waiver of the Government that it does

not require the filing of the return. Whether it is a succession duty or estate tax return which is

required will depend upon the time period involved. The collection of death taxes rotated

between the federal and provincial governments during different time periods. These time

periods are as follows:

(a) Death before April 1, 1947 - the province collected succession duty tax.

(b) Death between April 1, 1947, and December 31, 1958 - the federal government collected succession duty tax;

(c) Death between January 1, 1959, and December 31, 1971 - the federal government collected estate tax;

(d) Death between January 1, 1972, and December 31, 1976 - the province collected succession duty tax.



The practice has been to contact the appropriate government authority to obtain either the forms

regarding filing of the returns or a waiver of collection of the tax. Provincially, Saskatchewan

Finance has determined that, given the very few estates that would require processing in this

fashion this many years post-1976, it is not expedient to retain this requirement. As such,

Saskatchewan Finance has authorized the Information Services Corporation to automatically

allow transfers to proceed without the filing of the return/waiver. Given the provincial position,

Canada Revenue Agency likewise considers the matter to be a non-issue. Therefore, from a

practical perspective, neither returns nor waivers will be in effect regarding succession duty or

estate taxes for death occurring in the period April 1, 1947 through December 31, 1976, the

years respecting which such taxes have in the past been collected. Rule 702 may then possibly

be read as precautionary, in the event that succession duty or estate taxes are ever reinstated in

the future.

2. Applications for Grants of Probate

The following discusses the Rules and sections of the Administration of Estates Act applicable to

applications for grants of probate.

(a) Section 8 of the Administration of Estates Act: “8(1) The due execution of a will is to be proved in the form and manner prescribed in the rules of court. (2) In addition to the proof mentioned in subsection (1), a judge may require: (a) an affidavit of plight and condition; (b) any further or other proof that the judge considers necessary; or (c) proof in solemn form.”

Further information concerning proof of execution of the will is found in Rule 707.

(b) Rules 704 through 710.

This portion of the Rules directs itself to the documentary evidence which must be produced for

proof in common form. A Will is said to have been proved in common form when it is proven

upon the oath of the executor. That is, the technical requirements for validity are proven by

affidavit rather than viva voce evidence. Proof in solemn form therefore occurs when a trial of

the issue is taken and the evidence proving the Will is heard in open court.



Many of the technical requirements of this portion of the Rules are clearly embodied in Form 98

which is the application for grant of probate form. These requirements come, for the most part,

from Rule 706. Form 98 is quite detailed and draws attention to potential problem areas. The basic minimum information required by Form 98 must in all cases be supplied. However, in

certain circumstances where there is an unusual element to the estate, additional information may be

required. For example, if one of the primary beneficiaries has died after the testator but before the

application, special mention should be made of this fact in the application. As a general rule, the

solicitor may add information to the application but should never delete any information required by

the form. In some circumstances, the solicitor may be aware of a potential problem with the Will which

will likely require proof in solemn form. Often unhappy family members will give notice to the

court of the potential problem by placing a caveat against the estate leading to an order for proof

in solemn form. Occasionally, however, there is no one who is sufficiently disturbed by the

issue who wishes to file the caveat. The solicitor for the estate then must decide as to the

appropriate manner of placing the issue before the court. The accepted practice in this province appears to be to present an application in common form

drawing attention to the problem area by the presentation of the additional necessary facts in the

application or by separate affidavit. If the examining judge feels proof in solemn form or other

evidence is necessary to decide the issue, an order to that effect is made [Rule 707(7)]. The application for grant is always made by the executor named in the Will. An executor cannot

give a power of attorney to someone else to apply on his behalf. If an executor does not wish to

act, he may renounce prior to applying for Letters Probate. The renunciation must be in Form

105 [Rule 704(2)]. If an alternate executor is named, that alternate may then apply for Letters

Probate. The application, however, must show the reason why the alternate executor is applying

instead of the primary executor [Rule 704(3)]. If the executor or executors all renounce such

that there is no named executor to apply for Letters Probate, the application to be made is that for

Letters of Administration with Will Annexed.



By Rule 705, the testamentary document in respect of which the grant is sought must be

exhibited to the affidavit of the applicant. Execution of the Will is proven by one of the

subscribing witnesses thereto by an affidavit in Form 107 [Rule 707(1)]. It is therefore usually

necessary to locate one of those witnesses. If no witness can be located, then Rule 707(2)

permits verification of the execution of the Will by other means. Where such other means are

employed, an affidavit should also be provided setting out the facts as to why the witnesses

cannot be located and what search was made for them.

Occasionally you may be presented with an Affidavit of Execution of Will which was prepared

and sworn at the time of the signature of the Will. This Affidavit is only acceptable if the Will

and the Affidavit were deposited in the local registrar’s office, pursuant to Rule 707(3). If the

Affidavit and Will were not deposited, then the Affidavit cannot be submitted with the Petition,

and a fresh Affidavit must be obtained.

The execution of a holograph Will is proven in accordance with Rule 707(5) with the use of

Form 108, which establishes that the entire Will, including the signature, is wholly in the

handwriting of the deceased.

Any interlineations, erasures or omissions on the Will, whether initialled or not, require that an

affidavit as to plight and condition in Form 109 be filed [Rule 707(6)].

All documents referred to in the Will or other documents believed to form part of the Will must

be produced or their non-production accounted for [Rule 708].

The common law respecting wills does allow a copy of Will to be probated or a Will to be

reconstructed from verbal evidence, where the court is satisfied that the original has not been

destroyed for the purpose of revocation. Rule 709 therefore allows a grant upon such evidence

as the court may require.



If the Will is in another language, it must be translated and accompanied by an affidavit of

translation in Form 110 [Rule 710].

There is no requirement in Saskatchewan that an executor, whether resident in province or out of

province, must be bonded. However, some other jurisdictions do impose a bonding requirement

on non-resident executors.

3. Grants of Administration

The legislative provisions relating grants of administration include sections 13, 16, 20 and 21 of

the Administration of Estates Act and reference should be made to these provisions.

As with the application for Letters Probate, the forms set out in the Rules for application for

Letters of Administration are very complete and self-explanatory. Many of the technical

requirements set out in Rules 711 through 720 are embodied in the forms.

Rule 712 sets out the priority of the persons who are entitled to apply for Letters of

Administration. Essentially, the grant will be given to that person who is the next of kin of the

deceased, as it is that person who had the most immediate interest in the due administration of

the estate. It must be shown that the person applying has a beneficial interest in the estate or that

she has a power of attorney for a person having a beneficial interest. The person must also be

considered to be fit in accordance with section 17 of the Administration of Estates Act

[Rule 713]. A trust company cannot, therefore, apply for Letters of Administration in its own

right. It is neither in the list set out in Rule 712 nor does it have a beneficial interest. A trust

company, therefore, can only apply by means of a power of attorney, in accordance with section

16 of the Administration of Estates Act.



At certain levels there may be more than one person who is entitled to apply; for example, the

deceased may have died leaving children but no spouse. In such a case, all the persons of the

same level have an equal right to apply. Therefore, either all of the persons of the same level

will be applying to act as joint administrators or those who do not wish to apply will renounce.

The renunciation is in Form 105 or 106.

No grant will be made to an applicant unless all persons having an equal or prior right to apply

have been cleared off by renunciation or by court order [Rule 714(1)]. No grant will be made to

more than three persons [Rule 715]. If there is a dispute as to who should be applying, an

application may be made to a judge for a determination [Rule 714(4)].

If the solicitor is in the position of having one or more persons entitled to apply, but that person

or those persons wish someone lower on the list to apply, there are only two alternatives. First,

all those of equal entitlement with or priority to the person wishing to act can renounce. In that

case, however, they are taken to have renounced absolutely, and this may cause problems if the

person appointed then dies without completing the administration. Alternatively, the person or

persons entitled to act can give a power of attorney to the person they wish to act. The power of

attorney is effective for so long as those giving it do not wish to apply. Therefore, if a problem

arises in the administration, those originally entitled can step back into the administration of the

estate. Rule 716 authorizes execution of such a power of attorney, which is to be in Form 111.

Under section 20 of the Administration of Estates Act, every person receiving a grant of

administration must post a bond to ensure due performance. Rule 719 sets out the technical

requirements for the bond. However, in most circumstances, the estate will bee seeking an order

dispensing with the posting of the bond. The bond will only be dispensed with if the conditions

in subsections (3) and (4) of section 20 of the Administration of Estates Act are met. These are

as follows:

(a) the value of estate does not exceed $5,000; (b) the proposed administrator is the sole beneficiary; or (c) all of the beneficiaries and creditors have consented to dispensing with a bond.



This information must be set out in affidavit form with the application [Rule 720(1)]. As well,

the application must clearly request the dispensing of the bond.

In circumstances where the ground for dispensing with the bond is that all parties have consented

to such dispensation, this consent is often merged into the renunciation form if it is one and the

same person who is giving a consent and a renunciation. In order to give the consents, all of the

beneficiaries must be ascertained of full age and have sufficient mental capacity. If any of the

beneficiaries are children or dependent adults, the Public Guardian and Trustee may consent on

their behalf [Rule 720(3)]. If some of the beneficiaries are contingent and therefore

unascertained, it may be impossible to meet the requirements of the Rules and a bond will

therefore be required.

If the next of kin who would have been entitled to apply for administration appoints a trust

company as his attorney, this must be a trust company within the meaning of the Trust and

Loans Corporations Act, 1997. Under section 41(5) of that Act, the following is noted:

“(5) Notwithstanding any rule or practice or any provision of any Act of Saskatchewan requiring security, but subject to an order of a court or judge, no trust corporation licensed pursuant to this Act is required to give security for the performance of its duty in any office described in subsection (1).”

4. Letters of Administration with Will Annexed

The requirements for obtaining a grant of Letters of Administration with Will Annexed are a

hybrid of the requirements for Letters Probate and Letters of Administration. By Rule 711, the

application for grant of Administration with Will Annexed “shall also comply with the

applicable rules relating to grants of probate”.



Under Rule 704, the priority is established for those persons entitled to apply for Letters of

Administration with Will Annexed. This is as follows:

(a) executors;

(b) residuary legatees or devisees in trust;

(b) residuary legatees or devisees for life;

(d) ultimate residuary legatees or devisees or where the residue is not wholly disposed of, the person entitled upon an intestacy;

(e) the legal personal representative of persons named in (d);

(f) legatees or devisees or creditors;

(g) contingent residuary legatees of devisees or contingent legatees or devisees or persons having no interest in the estate, who would have been entitled to a grant had the deceased died wholly intestate; and

(h) the Crown.

Clearly, this priority list differs substantially from that ordering used for Letters of

Administration on an intestacy.

The balance of the requirements, including the provisions regarding the bond, relating to an

application for Letters of Administration also apply to an application for Letters of

Administration with Will Annexed.

5. Resealed Letters Probate or Letters of Administration

Theoretically, a resealing should be a procedure of less formality than an ancillary grant because

it assumes that the original grant came from a country, province or state whose laws have their

origin in British common law. However, in practice the procedure is just as complicated as

applying for an ancillary grant. The applicable Rules and sections of the Administration of

Estates Act are discussed in the following.



(a) Sections 38 and 39 of the Administration of Estates Act

“38(1) A person who has been granted letters probate, letters of administration or another document purporting to be of the same nature by a court of competent jurisdiction in any province or territory of Canada, in the United Kingdom, in any other member of the British Commonwealth or in any of the states of the United States of America may apply for resealing pursuant to this section.

(2) An applicant for resealing shall: (a) produce the document to be resealed to a local registrar and deposit a copy of it with the local registrar; and (b) pay the fees as prescribed in the regulations for a grant of letters probate or letters of administration.

(3) Subject to subsection 39, under the direction of the court, the letters probate, letters of administration or other document shall be resealed by the local registrar with the seal of the court.

(4) A document resealed pursuant to subsection (3): (a) has the same effect in Saskatchewan as if it had been originally granted by the court; and (b) is subject to any orders of the court or the Court of Appeal as if letters probate or letters of administration had been granted in Saskatchewan.

(5) For the purposes of this section, the following have the same effect as an original: (a) a duplicate or an exemplification of letters probate, letters of administration or other document purporting to be of the same nature that is sealed with the seal of the court that granted it; (b) a copy of letters probate, letters of administration or other legal document purporting to be of the same nature that is certified as correct by or under the authority of the court that granted it. 39(1) Letters of administration shall not be resealed pursuant to section 38 until: (a) a certificate of the clerk or registrar of the court that issued the letters is filed, stating that security has been given in that court in an amount that is sufficient to cover the assets within the jurisdiction of that court and the assets within Saskatchewan; or (b) in the absence of a certificate described in clause (a), security is given to the court that covers the assets in Saskatchewan in the same manner as for an original grant of letters of administration.

(2) Notwithstanding that a certificate has been filed pursuant to clause (1)(a), the court may refuse to reseal letters of administration until security is given in an amount that is sufficient to cover the assets in Saskatchewan.

(b) Rule 722

Under Rule 722(1) the application to reseal a foreign grant must be in Form 117 and verified by

an affidavit in Form 118. As noted in the instructions included in Form 117, the application

must generally comply with the provisions relating to an application for Letters Probate. If the

resealing is with respect to Letters of Administration or Letters of Administration with Will

Annexed then the provisions regarding the giving of security must also be met. Alternatively,



under section 39 of the Administration of Estates Act, it must be shown that sufficient security

was given in the original jurisdiction to cover the Saskatchewan assets. Even in such

circumstances the court, pursuant to section 39(2), may still refuse to reseal Letters of

Administration until security is given in an amount that is sufficient to cover the assets in

Saskatchewan.

Under Rule 722(2) if the resealing involves a Will which affects “immoveable property,

including real property and a leasehold or other interest in land in Saskatchewan”, the manner of

making the will, the validity and effect of the Will must be shown to be in accordance with the

laws of Saskatchewan. This may be proven by either an original Affidavit of Execution of Will

or by producing a court certified copy of the same affidavit which was filed in the original

jurisdiction.

However, Rule 722(2) itself causes some problems in interpretation as to what is to be provided.

The Rule states that the manner of making, the validity and effect must be proven. Does the

Affidavit of Execution of Will prove only the manner of making or does it also prove that the

validity and effect of the Will is the same as in Saskatchewan? Some judges have taken the

position that only an Affidavit of Execution has to be produced, as all other issues affecting the

validity and effect of the Will are verified in the application. Others take the position that an

additional document is required. For example, what if the originating jurisdiction does not

recognize holograph wills, and there was a holograph Will in existence which was not admitted

to probate in the original jurisdiction for that reason? The holograph Will would be recognized

in Saskatchewan as a valid Will, and therefore the wrong Will would be admitted for resealing.

Under Rule 722(3) at the time of the application the original grant or a court certified copy of the

same must be produced, together with a notarial copy of the original grant. The original or court

certified grant will be returned to the applicant, with the resealing endorsed on the grant. The

notarial copy is left as a record on the file.



6. Ancillary Grants

An ancillary grant amounts to an original grant from a second jurisdiction. Under Rule 723(1),

therefore, the application for an ancillary grant must comply with all the Rules relating to

probate or administration as the case may be.

Under Rule 723(2) a certified copy of the original foreign grant must be exhibited to the affidavit

of the applicant. Rule 723(3) also requires the applicant to show why an application is not being

made for a resealing.

7. Letters of Administration de bonis non

The term “de bonis non” is an abbreviation for “de bonis non administratis” which means “of the

goods not administered”. The materials required for an application for Letters of Administration

de bonis non are essentially the same as of an ordinary application for Letters of Administration

although the wording of the application varies slightly [see Form 114].

The rule specifically applying to an application of de bonis non is Rule 717. Subsection (5)

thereof requires that the original grant, or a court certified copy thereof if the original has been

lost, be submitted with the application as an exhibit to the affidavit verifying the application.

Where the original grant has been lost, this needs to be stated in the affidavit. The affidavit must

also exhibit a statement in Form 104 showing all the property which remains to be administered,

pursuant to paragraph 3 of Form 115.

The application in Form 114 makes reference to the death of the first executor/administrator. In

circumstances where it is an executor who has died, the application goes on to explain that there

is no other executor to carry on the administration of the estate. This would occur in



circumstances where the first executor died without naming an executor for his own estate.

When the chain of executorship is broken in this fashion, then the application is really one for

Letters of Administration de bonis non with Will Annexed [Rule 717(2)].

An application for Letters of Administration de bonis non should be made to the same judicial

centre from which the original grant was issued. This is in accordance with section 26 of the

Administration of Estates Act that reads as follows:

“26(1) After letters probate or letters of administration are granted, all actions or matters with respect to the estate shall be carried on at the judicial centre where the grant is made, unless otherwise ordered by the court. (2) An application for a transfer of the records with respect to an estate from one judicial centre to another may be made ex parte or on any notice that a judge may direct.”

8. Letters of Administration by Power of Attorney

The rules and sections of the Administration of Estates Act applicable to this type of grant are as

follows:

(a) Section 16 of the Administration of Estates Act;

“16(1) The next of kin regularly entitled to administer an estate may appoint an individual or a trust corporation within the meaning of the Trust and Loan Corporations Act as his or her attorney to apply for and receive a grant of letters of administration. (2) A judge may grant letters of administration to an attorney appointed pursuant to subsection (1).”

(b) Rule 716.

The materials for an application for Letters of Administration (with or without Will Annexed)

which are intended to be granted pursuant to a power of attorney will be essentially the same as

that required in other grant applications. By Rule 716(2) the application is in Form 112. The

executed Power of Attorney must be in Form 111 [Rule 716(1)] and the application must be

verified by affidavit in Form 113 [Rule 716(3)].



C. MATTERS CONCURRENT WITH THE APPLICATION

1. Notify the Beneficiaries

All beneficiaries who have not yet been notified should now be advised as to their interest in the

estate. For residual beneficiaries a copy of the Will and a copy of the Schedule of Assets should

be provided. Again, beneficiaries should be warned as to the possible time delays in the

distribution of the estate.

2. Advertising for Creditors

Sections 32 and 33 of the Administration of Estates Act state: “32(1) Subject to subsection (3), an executor or administrator may cause a notice to claimants in the form prescribed in the rules of court to be published once a week for two successive weeks in a newspaper described in subsection (2).

(2) A notice mentioned in subsection(1) is to be placed in : (a) the newspaper published nearest to the last residence of the deceased; or (b) any other newspaper designated by the court on an ex parte application by the executor or administrator.

(3) By an order that may be obtained on an ex parte application, a judge may dispense with publication of the notice in the case of: (a) an original grant of letters of probate or letters of administration, where the value of the estate does not exceed $5,000; or (b) letters probate, letters of administration or other legal documents purporting to be of the same nature that are duly resealed in Saskatchewan.

33(1) At the expiration of the time fixed in the notice mentioned in subsection 32(1), the executor or administrator may, unless otherwise ordered, distribute the assets of the deceased, or any part of the assets of the deceased among the persons entitled to them, having regard only to the claims of which the executor or administrator then has notice.

(2) An executor or administrator who distributes assets pursuant to subsection (1) is not liable for the assets so distributed to a person of whose claim the executor or administrator did not have notice at the time of distribution.

(3) Nothing in this section prejudices the right of a claimant to follow the assets into the hands of the person who receives them.”

According to Rule 736 the Notice to Creditors must be in a Form 122.



As is evident from a reading of sections 32 and 33 of the Administration of Estates Act, the

principal purpose in advertising for creditors and other claimants is to protect the

executor/administrator from claims which appear after distribution has taken place. If

advertising for creditors has been properly undertaken, then the executor/administrator has no

liability to pay those creditors who appear after all of the assets have been distributed. Without

advertising for creditors, the executor/administrator can be held personally liable if any creditors

later appear, and there are insufficient assets to pay those debts.

There are also those practitioners who feel the wording of the sections is broad enough to protect

the executor or administrator from all types of claimants, for example, the illegitimate child of

whom no one was aware.

As with the Tax Clearance Certificate, it may be that where the executor or administrator is also

the sole beneficiary, he may decide to dispense with advertising for creditors, as it will no make

no difference whether he later pays creditors in his capacity as executor/administrator or as a

beneficiary.

There is some dispute among lawyers as to the appropriate time for advertising. Some feel that

advertising should never take place until after the grant is received, as the administrator, in

particular, has no authority to act until that time. Others, however, feel that no such restrictions

appear in the sections and will begin advertising concurrently with submission of the application

for the grant.



III. CALLING IN THE ASSETS AND THE PAYMENT OF DEBTS

A. TRANSMISSION OF THE ASSETS

Once Letters Probate or Letters of Administration have been obtained, the process of

transmitting the assets from the name of the deceased into the name of the executor or

administration can begin. For some assets, such as bank accounts, this will be as simple as

requesting the closure of the account or the transfer of the funds into an estate account. For other

assets, such as land, the preparation of formal transmission documents is required. Once all of

the assets have been transmitted (that is, reduced into the possession of the executor or

administrator), then the estate will be in the position of being able to complete the transfer of the

assets to the beneficiaries as it is required.

It would appear from the wording of Tariff Schedule I “C” that transmission of title to the

personal representative is one of the duties of the estate solicitor.

The checklist in the materials lists some of the most common assets, and the methods of their

transmission. On some occasions, for example, where the executor/administrator is the sole

beneficiary, transmission and transfer to the beneficiary may take place at the same time. Also,

the transmission and transfer of share certificates often occurs at the same time. Sometimes the

executor/administrator or the solicitor may choose to delay transmission until such time as the

estate is also in a position to transfer. However, in many circumstances there will be a lapse of

time between transmission and transfer.



B. INVESTMENT OF ESTATE FUNDS

The lapse of time between transmission and transfer, or the nature of the estate itself, will

generally require that estate funds be invested until the time of distribution. The power of an

executor/administrator to invest arises from two different sources. First, there is a Will (where a

Will is involved). A testator may give any directions, discretions or powers to an executor to

invest as the testator sees fit. The executor may be limited in the types of permitted investments,

or may be given a complete discretion as to the types of permitted investments.

In addition, there are the investment powers given to executors/administrators under the

Trustee Act. If the Will does not stipulate the powers of investment, or if there is no Will, the

executor/administrator will be limited to investing in only those securities and in that manner

permitted under the Trustee Act.

Sometimes the solicitor will undertake to handle the matter of investment for the

executor/administrator. However, the solicitor must realize the power of investment is a

discretion which cannot be delegated. Therefore, while the solicitor may assist the

executor/administrator by advising what investment alternatives are available pursuant to the

Will and legislation and by assisting with the administrative details of investment, it is the

executor or administrator who must make the decision as to where and how the funds are to be

invested.

C. PAYMENT OF DEBTS

For most estates, there will be sufficient personal property in the residue that very little

consideration has to be given as to how the debts are to be paid. However, in those estates where

there is insufficient personal property in the residue to pay all the debts and any general or

specific legacies which have been given, then some thought must be given as to the order in

which assets will be used to pay the debts. This is called “marshalling the assets”.



Saskatchewan has very little case law which speaks to the marshalling of assets. There is no

current statute law which governs marshalling, and therefore Saskatchewan is governed by the

old English common law on this matter. Care must be taken in research, however, as the order

of marshalling was varied in England in 1925.

The traditional viewpoint was that real property was to be preserved to the greatest extent

possible, and therefore the ordering took this into account. According to Jarman on Wills (8th

edition, p. 1895), the pre-1925 ordering for use of assets, unless the Will specifies otherwise, is

as follows:

(a) personal property not specifically bequeathed, retaining a fund sufficient to meet general pecuniary legacies (that is, the personal property in the residue or inherited on an intestacy); then

(b) realty specifically appropriated for or devised in trust for the payment of debts; then

(c) realty that descends to the heir (that is, real property inherited on an intestacy); then

(d) realty charged with the payment of debts; then

(e) the fund retained to pay the general legacies; then

(f) realty devised specifically or by general description and personally specifically bequeathed, pro rata and pari passu (that is, specific devises of real property, real property passing in a gift of the residue, and specific bequests all abate pro rata); then

(g) property which did not belong to the deceased but which is appointed by his Will in exercise of any general power of appointment.

Most of the above are reasonably self explanatory. However, some additional explanation is

required for the fourth category, regarding real estate charged with the payment of debts. The

evolution of the cases show that if a Will is involved, and the Will, in its preliminary clauses

directs the payment of all just debts, this will usually be sufficient to “charge” the real estate in

the residue with the payment of debts. If, therefore, the solicitor is required to marshall the

assets, and there is a Will which directs payment of debts, it would appear that real property in

the residue will be elevated for use from the sixth category to the fourth category.



IV. PRE-DISTRIBUTION CONSIDERATIONS

Once the assets have been called in and the debts have been paid, the estate is in the position of

being able to consider whether a distribution should be made. Before making any distribution,

however, there are certain matters which should be considered.

A. TAX CLEARANCE CERTIFICATES

As discussed earlier, it is necessary that the executor or administrator obtain income tax and GST

clearance certificates prior to distribution, in order to avoid personal liability for any outstanding

taxes which may be owed by the deceased. With respect to the income tax clearance certificate,

the greatest potential for unforeseen tax liability occurs with the return to the date of death, and

any reassessment for prior years. However, in 1997 Revenue Canada changed its procedure with

respect to the issuance of Clearance Certificates. It will no longer issue Clearance Certificate

Forms for Date of Death (TX21A), or for Partial Distribution (TX21B). A Final Distribution

Clearance (TX21) will be issued only when no further returns are to be filed.

Previously, the appropriate returns could be filed and a Tax Clearance Certificate to Date of

Death requested. Then the executor or administrator, in conjunction with advice given by the

accountant, could distribute the majority of the assets of the estate, leaving a small holdback for

future taxes. With the change, if preliminary distributions are contemplated, there is necessarily

a heavier reliance upon accountants and a larger holdback is recommended. The executor should

also be clearly advised of the risks.

With respect to the GST Clearance Certificates, amendments have been made to section 270 of

the Excise Tax Act dealing with Clearance Certificates effective with respect to distributions

made after 1992. The amendments provide that only a representative of a registrant is required

to obtain a Clearance Certificate. This amendment has the effect of removing the requirement to

obtain a Certificate in cases where the deceased, estate or trust is not a registrant.



The procedure of obtaining a Clearance Certificate is not set out in the Excise Tax Act or in any

part of the official materials published by Canada Revenue Agency to date. The prescribed form

for applying for a Clearance Certificate is GST 352, Application for Clearance Certificate. This

form is quite brief, however, and as such, it will be necessary to provide Canada Revenue

Agency with further information by way of a covering letter.

B. ADEMPTION OF ASSETS

Prior to 1990, if the Testatrix had given a specific gift in her Will which she then later sold or

otherwise disposed of, the gift was said to have been adeemed. The effect of ademption is that

the beneficiary is not entitled to receive the asset or its proceeds, unless the Will states

otherwise.

In a 1990 amendment to the Wills Act, 1996, however, if the Testatrix makes a Will giving a

specific gift of land, and then sells the land under an Agreement for Sale or takes back a

mortgage or grants an option to purchase the land, then, unless the Will states otherwise, the

beneficiary is entitled to receive the Testatrix’ interest in the Agreement for Sale, the mortgage

or the option to purchase.

C. SIX MONTH WAITING PERIODS

In certain circumstances, the executor/administrator is compelled to wait six months from the

issuance of the grant before distributing.

If the deceased was survived by a spouse, common-law partner and/or dependent children, then

under section 17 of the Dependants’ Relief Act, 1996, the executor/administrator is prohibited

from distributing any part of the estate without the consent of the dependents or the authorization

of the court, unless he is making an advance for maintenance of those dependents. If a

distribution is made in contravention of the section, then the executor or administrator may incur

personal liability if an order is later made under the Act.



In practice, therefore, if the deceased died leaving only a spouse/common-law partner or a

spouse/common-law partner and non-dependent children, then it is usual to make an early

distribution with the written consent of the spouse/common-law partner. If however, the

deceased died leaving dependent children, then the six month period must elapse before a

distribution is made or the consent of the Public Guardian and Trustee must be obtained, as

infant children have no ability to consent to an earlier distribution.

Following the six-month period, an application may still be made to the court on behalf of a

dependent, but it can only pertain to that portion of the estate which remains undistributed.

[See W. (D.J.) (Litigation Guardian of) v. w. (L.) Estate, [1996] 2 W.W.R. 593 (Sask (C.A.).]

Similar time frames are found in the Family Property Act (see sections 30 and 33) regarding the

surviving spouse’s right to make an application. If a distribution earlier than six months

following the date of the grant is contemplated, a waiver by the surviving spouse is required. It

is prudent to ensure that the surviving spouse receives independent legal advice before providing

the waiver.

Finally, section 13 of the Wills Act, 1996 permits a beneficiary who has witnessed a Will, or

whose spouse has witnessed a Will, to apply to court within six months of the issuance of the

grant to show that her gift is not null and void. However, the section does not appear to impose

any liability on the executor/administrator if an earlier distribution takes place.

D. COMPARATIVE TAX RATES

As a testamentary trust is created upon the death of a testator, an estate can file testamentary trust

returns and pay the taxes in the estate for at least two years. This may be more advantageous to

the beneficiaries, depending upon the respective tax brackets. Thus, advice should be sought

from the accountant before proceeding with distribution of estate funds.



V. PASSING OF ACCOUNTS

All trustees are required at common law to account to the beneficiaries for the handling of the

trust assets. An executor or administrator is always a trustee because of the nature of the

appointment. The duty to account, therefore, has always existed at common law for the personal

representative of an estate. The process is outlined in Rules 737 through 744.

Rule 739 requires that the accounts be verified by affidavit in Form 123 and sets forth what must

be included in the accounting materials.

The accounts are then filed with the local registrar; and at the same time or within 30 days

thereafter, the executor or administrator makes an ex parte application for an appointment for the

examination of the accounts. At the time of considering the application, the judge will designate

the local registrar or another person, although it is generally the local registrar, as the person to

examine the accounts; will give directions as to the persons to be served with the appointment

and the accounts; and will authorize the local registrar to designate a time and place for

examining the accounts [Rule 740].

At the time of examination of the accounts, the executor or administrator will be expected to

produce all documentation required to substantiate the accounts, such as all invoices and

receipts. It is therefore very important to ensure that the executor, administrator, or estate

solicitor keeps all such documentation in case a formal passing of accounts is required.

Any terms which are disputed at the examination may be referred to a judge for a decision

[Rule 741]. Once the examination is complete, the examining officer will file a certificate with

the court in Form 124 [Rule 742]. The executor or administrator or any other interested party

may then apply for an order allowing and passing the accounts. If it is a final accounting, the

executor or administrator would also be applying for a discharge. The effect would be,

therefore, to give court approval to the executor or administrator for his handling of the estate,

and discharge from all liability regarding the same.



In accordance with Rule 737(2), an executor or administrator shall file the accounts for passing:

(a) when the administration of the estate is completed; or

(b) within two years of the issue of the grant, unless the time has been extended by order; or

(c) when the personal representative desires to be discharged; or

(d) when the administrator wish to substitute or reduce the security.

If the executor or administrator fails to file accounts within the times set out above, then any

beneficiary can serve a notice requiring the executor/administrator to file the accounts within

30 days [Rule 738(1)]. If the executor or administrator then fails to file the accounts, the

beneficiary can apply to the court for an order compelling the filing of the accounts

[Rule 738(2)]. Additionally, a beneficiary can at any time apply for an order compelling the

executor or administrator to produce the accounts, where negligence or wasting of the assets is

alleged.

In practice, however, it is very seldom that a formal passing of accounts is taken. Under Rule 744,

an executor or administrator who wishes to be discharged without the passing of accounts may

apply ex parte after filing the releases of all the beneficiaries and proof that all the debts are paid.

In straightforward estates, therefore, it is more common to see the following steps taken:

(a) All specific legacies and devises, and general legacies are paid or transferred to the beneficiaries, and releases obtained with respect to the same.

(b) The accounts are prepared and forwarded to the residual beneficiaries for their approval,

together with releases. The solicitor provides an undertaking that the release, when returned, shall be held in trust and shall be of no force and effect until such time as the beneficiary has actually received her gift.

(c) The practice at this point in time will vary. Some solicitors will merely hold the

accounts, releases and proof of payment of debts on file, on the assumption that the materials are there and ready, if a formal discharge is ever required. Other practitioners will take the further step of applying for a formal discharge.



Strictly speaking, Rule 744 does not require that the residual beneficiaries review and approve

the accounts prior to signing the release. However, from a practice standpoint, it is always better

to ensure that the beneficiary is giving an informed consent at the time of signing the release. In

that way, the release is less vulnerable to attack at a later point in time on the grounds that the

beneficiaries were not adequately informed.

Additionally, from a practical point of view, it is better not to distribute any of the residue until

all of the releases have been returned, duly executed. The solicitor and executor/administrator

are in a very difficult position if most of the estate has been distributed, and one of the remaining

beneficiaries then chooses, for example, to dispute the scheme of distribution.

VI. THE OFFICE OF THE PUBLIC GUARDIAN AND TRUSTEE

The Public Guardian and Trustee for Saskatchewan is a corporation solely established pursuant

to the provisions of the Public Guardian and Trustee Act.

The mandate of the Public Guardian and Trustee is to administer and guard the estates of infants

and dependent adult persons. An infant is defined to be anyone under the age of 18 years. A

dependent adult is defined in section 2 of the Public Guardian and Trustee Act to be a person

with respect to whom the Public Guardian and Trustee acts pursuant to an order made under the

Adult Guardianship and Co-decision-making Act. The Public Guardian and Trustee does not

have authority over the estates of infants or mentally disordered persons who are registered

Indians. Those estates are administered by the Department of Indian Affairs and Northern

Development Canada under the Indian Act.

Neither an infant nor an adult lacking capacity is, of course, capable of giving consents or

granting releases or discharges. In many instances, therefore, the Public Guardian and Trustee is



given the power by statute to consent on behalf of the infant or dependent adult. As well, the

Public Guardian and Trustee must usually be served with notice of all court applications

involving infants or dependent adults.

The Public Guardian and Trustee has a large role to play in the administration of assets of infants

and dependent adults which have been acquired from someone or something other than an estate.

For example, currently the Public Guardian and Trustee must be involved on behalf of the infant

in any settlement process for damages arising with respect to a claim under the Fatal Accidents

Act. The Public Guardian and Trustee is empowered to receive life insurance proceeds and death

benefits under the Automobile Accident Act, on behalf of an infant. The Public Guardian and

Trustee is empowered to receive life insurance proceeds and death benefits under the Automobile

Accident Act, on behalf of any infant. The Public Guardian and Trustee may negotiate, on behalf

of any infant, any settlement regarding an encumbrance on land in which the infant has an

interest or regarding any encumbrance on land in which the infant has an interest or regarding

any encumbrance owned by the infant on any land. Additionally, the Public Guardian and

Trustee administers all of the inter vivos assets of the dependent adults with respect to whom she

acts as property guardian. Of primary concern here, however, is the role of the Public Guardian

and Trustee in estates.

The first involvement of the Public Guardian and Trustee will arise upon submission of the

application for grant to the court. By Rule 699(2) where a child or dependent adult is interested

in the estate or may have a claim under the Dependants’ Relief Act, 1996 or the Family Property

Act, the application for grant shall include information to this effect and a Notice to the Public

Guardian and Trustee or the Property Guardian, as the case may be, in Form 101 must be filed,

in duplicate, with the application.

This Notice must therefore be filed where the deceased died leaving: (a) any infant children; or (b) a dependent adult child; or (c) a dependent adult spouse; or (d) any beneficiaries who are infants or dependent adults.


Saskatchewan: Bar Admission Program 41 Wills and Estates – Estate Administration The local registrar will retain one copy of the Notice on the court file and will forward the other

copy of the Notice to the Public Guardian and Trustee or the Property Guardian, as the case may be. If the deceased died leaving any infants or any dependent adult children or spouse of whom the

Public Guardian and Trustee acts as Property Guardian, and, in the opinion of the Public

Guardian and Trustee, such person or persons are not sufficiently benefitted by the distribution

proposed under the Will or under an intestacy, the Public Guardian and Trustee may elect to

bring an action under the Dependants’ Relief Act, 1996 and/or the Family Property Act to

increase that person’s portion of the estate assets. With respect to infants, the Public Guardian and Trustee takes its most active role on behalf of

those infants for whom there is no guardian (i.e., no guardian of the property of an infant

appointed or constituted under the Children’s Law Act, 1997), or for whom there is no trust

being administered under a Will with the executor named as trustee. If the infant has either a

guardian or an executor-trustee administering her estate, the Public Guardian and Trustee will

step back into merely a supervisory role. With respect to dependent adults, the Public Guardian and Trustee takes his most active role on

behalf of those for whom he acts as property co-decision-maker or temporary property guardian

in accordance with section 29 of the Public Guardian and Trustee Act. If someone else has been

appointed property guardian under the Adult Guardianship and Co-decision-making Act or if the

Will contains a trust administered by the executor or a trustee on behalf of the dependent adult,

the Public Guardian and Trustee will again step back into a supervisory role. If estate assets are inherited by an infant (where there is no guardian or trustee) or by a

dependent adult for whom the Public Guardian and Trustee acts as co-decision-maker or

property guardian (and there is no trustee), then the estate assets must be paid or transferred to

the Public Guardian and Trustee, to be held in safekeeping for the individual until he or she

reaches the age of 18 years, or regains his/her mental competency. Liquid assets will be invested

in a common fund, which has traditionally shown a good rate of return.


42 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration However, if the gift to the infant is for $10,000 or less, the Public Guardian and Trustee can

authorize payment of those funds to a responsible adult acting on the child’s behalf. [See section

16(1) of the Public Guardian and Trustee Act.] Where funds are held in trust by the Public Guardian and Trustee for an infant, arrangements can be

made for payments for the maintenance, education or benefit of the infant, up to a yearly maximum

amount fixed by regulation. If the funds are held by some other trustee, and the terms of the trust

are insufficient to allow payment out of those funds, the Public Guardian and Trustee can authorize

the trustee to apply an amount not exceeding $10,000 for the maintenance and education of the

infant. Section 17(2) of the Public Guardian and Trustee Act sets forth how such maintenance and

education amounts are to be comprised. The amount in any year is not to exceed:

(a) $3,600 for maintenance of the infant;

(b) the actual cost of tuition fees, books and equipment required by the infant in connection with his attendance at an educational institution; and

(c) any additional amounts that, in the opinion of the Public Guardian and Trustee, are required to meet special circumstances or expenditures in the best interests of the infant.

Where funds are held in trust by the Public Guardian and Trustee for a dependent adult, he can

make any provision deemed expedient for the maintenance and benefit of that dependent adult or

for the support and maintenance of any person dependent upon the dependent adult [section 30

of the Public Guardian and Trustee Act]. The Public Guardian and Trustee may be involved in an estate regardless of whether there are

infants or dependent adults interested therein if the transfer of land is required. As noted earlier,

the provisions of the Administration of Estates Act and the Rules of Court provide that the local

registrar can issue a certificate that no infants are interested in the estate. Under section 4(3) of

the Administration of Estates Act, however, where the certificate is not obtained from the

registrar, this will have to be sought from the Public Guardian and Trustee. All transfers of land (that is, transfers following transmission) will require either a certificate that

no infants are interested in the estate issued by the local registrar in Form 96 or issued by the



Public Guardian and Trustee or the consent of the Public Guardian and Trustee to transfer

involved. [See section 39 of the Land Titles Act,2000. See also section 40 regarding the

requirements where a dependent adult has an interest.]

The Public Guardian and Trustee’s consent to the transfer must be obtained for any present or

potential infant who has a present or future interest in any of the estate assets. It therefore will

be required in estates where unborn issue may have a future contingent interest. Unless the Will

contains a trust for sale (that is, a direction to the executor that he must sell all of the estate land),

then the consents are obtained on a transfer by transfer basis. If the Will contains a trust for sale,

then one general consent can be obtained for all present and future transfers. The criteria for

obtaining a consent can be complicated depending upon the particular circumstances.

Information regarding the role of the Public Guardian and Trustee is available online. See the

precedents section “The Public Guardian and Trustee’s Involvement in the Transfer of Assets”

for access information.

The certificate that no infants are interested in the estate can be filed with the Information

Services Corporation at any time prior to transfer of the land. It need only be filed once in each

land registration district in which the land is situated. The criteria for obtaining a certificate

from the Public Guardian and Trustee are available online. See the precedents section “The

Public Guardian and Trustee’s Involvement in the Transfer of Assets” for access information.

The criteria for issuance of a similar certificate by the local registrar will likely mirror these

criteria.

If the estate has small specific bequests to infants, it is often better to pay out those bequests

prior to transferring the land. Thereafter, the appropriate affidavit can then be taken that no

infants are interested in the estate. Otherwise, the more lengthy and expensive procedure of

asking for consent would have to be undertaken.



VII. COURT APPLICATIONS AND CONTENTIOUS BUSINESS

The majority of estates will flow smoothly, with relatively few problems. However, there

occasionally will be an estate which requires court action of one form or another.

A. PROOF IN SOLEMN FORM

As discussed previously, it may be decided by the executor or close family members that proof

in solemn form is required instead of proof in common form. For example, there may be an

issue as to what document was intended to be the Last Will and Testament of the deceased. Rule

734 appears to permit any person who is interested or may be interested in an estate to give

notice that he desires the Will to be proven in solemn form. However, the practice appears to be

that if no one is stepping forward to place a caveat against the estate, the executrix will raise the

perceived problem in her materials for proof in common form. The examining judge will then

either approve the application, or order proof in solemn form.

Alternatively, someone may allege that the Will in question is not valid or raise other grounds

opposing proof of the Will in common form. The most common practice in those circumstances is

for that person to place a caveat against the estate pursuant to Rule 726. The caveat is in Form 121.

It will lapse after three months unless extended by court order. While in effect, the caveat operates

to prevent the grant from issuing.

Once the caveat has been filed, the registrar will notify both the applicant and the caveator.

Under Rule 731, either the applicant or the caveator can then apply by notice of motion for

resolution of the matter. This application is to be made to the court at the judicial centre at

which the application for grant was filed.

At the time of hearing of the notice of motion, the caveator will usually show reasonable grounds

as to why the grant should not issue. This generally amounts to showing cause (such as an

allegation of lack of mental capacity) or may even be as simple as a request that the Will be

proven in solemn form. If the caveat is based upon grounds unrelated to either the validity of the



Will or the competence of the executor or administrator, (for example, a claim by a person that

he was promised the estate), the caveat will most likely be discharged. If, however, a request for

proof in solemn form is made, it will most often be granted.

On occasion, the issue in question will be very narrow and based more in law than in disputed

fact. In such case, the parties can usually agree to a trial of the issue on affidavit evidence, rather

than a full trial for proof in solemn form.

Related to the issue of proof in solemn form is section 37 of the Wills Act, 1996, which states: “37 The court may, notwithstanding that a document or writing was not executed in compliance with all the formal requirements imposed by the Act, order that the document or writing be fully effective as though it had been properly executed as the will of the deceased or as the revocation, alteration or revival of the will of the deceased or of the testamentary intention embodied in that other document, where a court, on application is satisfied that the document or writing embodies: (a) the testamentary intentions of a deceased; or (b) the intention of a deceased to revoke, alter or revive a will of the deceased or the testamentary intentions of the deceased embodied in a document other than a will.”

The concept embodied in this section was first enacted in 1990. It opened the door for further

potential issues in estate litigation.

For the courts’ consideration of these provisions and what constitutes sufficient substantial

compliance with the formal requirements of the execution, the following cases may be reviewed:

Re Balfour Estate (1990), 85 Sask. R. 183

Re Steeden Estate (1992), 106 Sask. R. 161

Re Holyk Estate (1993), 103 Sask. R. 1 (Sask. Surr. Ct.); 100 Sask. R. 266 (C.A.); and 110 Sask. R. 39 (Q.B.)

Jensen Estate, [1993] 4 W.W.R. 673

Re Bunn Estate, [1992] 4 W.W.R. 240 (C.A.)

Re Knauff Estate 128 Sask. R. 84

Re Lang Estate 102 Sask. R. 41


46 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration B. COMPELLING PRODUCTION OF THE WILL

On occasion, there will be an executor who refused to take out probate or produce the Will.

Under Rule 732, if the executor fails to file the Will for probate within 60 days of the death of

the testator, any person interested in the estate may serve a notice of motion on the executor

requiring him to produce the Will and accept or refuse probate or to show cause why Letters of

Administration with Will Annexed should not issue to someone else.

Section 14 of the Administration of Estates Act echoes this provision and enables a judge to set a

time limit in which the person named as executor in the Will must either apply for Letters

Probate or renounce probate. The consequences of failing to meet the time limits imposed by the

court are set out in subsection (2): “2. Where a person named as an executor by a will fails to apply for letters probate or renounce probate with the time specified by a judge pursuant to subsection (1): i. the person’s rights with respect to the executorship and any trusteeship pursuant to the will cease;

and ii. any subsequent application by the person must be made and dealt with as if the person had not been

named as an executor or trustee.” Section 47 of the Administration of Estates Act addresses the issue of production of testamentary

documents. This section provides as follows: “47(1) Whether or not an action or matter governed by this Act is pending in the court with respect to a testamentary matter, a judge may, on application, order any person to produce and bring before the local registrar, or otherwise as the judge directs, any document that is or purports to be testamentary and that is shown to be in the possession or under the control of that person. (2) If it is not shown that a document described in subsection (1) is in the possession or under the control of the person mentioned in that subsection, but it appears that there are reasonable grounds for believing that the person has knowledge of it, a judge may direct the person to attend for the purpose of being examined before the local registrar or in open court respecting the document. (3) A person described in subsection (1) or (2): (a) must answer all questions and, if so ordered, must produce an bring in the document; and (b) is subject to the same process of contempt, in case of default in not attending, in not answering the questions or in not bringing in the document, as the person would have been subject to if the person had been a party to an action in the court and had the same default.”

There does not appear to be a rule which as clearly compels the next of kin to take out Letters of

Administration or renounce. However, it appears that Rule 714(4), which speaks to the right to

apply to court where there is contest over the right to administration, is worded broadly enough

to apply to the situation.



C. ISSUES ARISING DURING THE ADMINISTRATION

Often issues arise during the course of administration of an estate, following issuance of the

grant. For example, there may be an interpretation problem concerning certain of the Will

provisions. Pursuant to section 3 of the Administration of Estates Act, the Court of Queen’s

Bench has authority to hear and determine “all matters relating to the granting and revoking of

letters probate and letters of administration; and the interpretation of ills”.

An application concerning such issues is brought by Originating Notice in accordance with

Rule 452 which states: “452. The following proceedings may be commenced by originating notice: a. Applications by any person claiming to be interested under a deed, will or other written instrument

for the determination of any question of construction arising under the instrument and for a declaration of the rights of the persons interested.

b. Applications for the appointment of a new trustee with or without a vesting, or other consequential order.

c. Applications for a vesting order or other order consequential on the appointment of a new trustee, whether the appointment is made by the court or out of the court.

d. Applications by the executors or administrators of a deceased person, or the sureties for administrators, or the trustees under any deed or instrument, or any of them, or any person claiming to be interested in the relief sought as creditor, devisee, legatee or next of kin of a deceased person, or as cestui que trust under the trust of any deed or instrument, or as claiming by assignment or otherwise, under such creditor or other persons as aforesaid, for such relief of any nature or kind following as may by the notice be specified, and as the circumstances of the case may require, or for the determination of any of the following questions or matters: i. the administration of the estate of the deceased; ii. the administration of the trust; iii. any question affecting the rights or interests of the person claiming to be creditor, devisee,

legatee, next of kin, or cestui que trust; iv. the ascertainment of any class of creditors, legatee, devisee, next of kin, or others; v. the furnishing and vouching of any particular accounts by executors, administrators or

trustees; vi. the payment into court of any money in the hands of the executors, administrators of trustees; vii. directing the executors, administrators or trustees to do or abstain from doing any particular

act in their character as executors, administrators or trustees; viii. the approval of any sale, purchase, leave, compromise or other transaction; ix. the determination of any question arising in the administration of the estate or trust; x. an order that no action be brought, or that all actions and proceedings pending against trustee,

executors or administrators be stayed for such period, as the court may seem necessary or expedient, in order that sufficient time be allowed to such trustee, executor or administrator for the performance of the trusts imposed upon him;

Provided that the proceedings under this rule shall not interfere with, or control, any power or discretion vested in any executor, administrator or trustee, except so far as such interference or control may necessarily be involved in the particular relief sought.”


48 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration D. THE FILING AND PASSING OF ACCOUNTS

The filing and passing of accounts is governed by Rules 737 through 744, as previously

discussed.

E. REVOCATION OF A GRANT

On occasion, it may be necessary to apply for revocation of a grant. Normally speaking, this

only happens where facts have arisen which call into question the validity of the Will or the right

to apply for Letters of Administration; for example, where probate of one Will has been granted,

and a second Will is then found. Revocation of a grant is not used to replace a negligent

executor or administrator.

Rule 735 outlines the procedure for revoking a grant. The person seeking revocation must apply

by notice of motion at the judicial centre at which the grant was made or to which the estate has

been transferred. Case law indicates that the application may be made at any time as long as the

executor or administrator still has assets left to distribute.

Under sections 27 and 29 of the Administration of Estates Act, the executor or administrator is

protected with respect to actions taken and payments legitimately made during the course of

administering under the unrevoked Letters Probate or Letters of Administration.

F. REMOVAL OF AN EXECUTOR OR ADMINISTRATOR

The situation may arise where beneficiaries have become convinced, during the course of

administration of an estate, that the executor or administrator has been negligent in discharging

his duties or is defrauding the estate.

They may, therefore, wish to see that person removed. Alternatively, the executor or

administrator may wish to resign from the administration of the estate.



An executor or administrator can only be removed by court order. The application is made

pursuant to section 85 of the Trustee Act. Section 14 of the Act is not the appropriate section to

use, because it specifically prohibits the appointment of a personal representative under it. It

would appear from Rule 452 of the Queen’s Bench Rules that the form of the application is by

originating notice.

It should be noted, however, that where an executor or administrator wishes to resign because

the duties have become too onerous, alternatives are available. First, the executor may be

involved in the long term administration of a trust, for example, a spousal trust, which has led to

the wish to resign. Technically speaking, once the basic estate administrative duties have been

wound up (that is, the assets have been called in and distributed to the trust, and the executor is

then only administering the trust set up under the Will), the executor has changed roles from that

of executor to that of trustee. The executor, in his role as trustee, can use sections 15 and 21 of

the Trustee Act to resign from his duties as trustee and appoint someone else. This is done by

written instrument of the executor/trustee, and not by court order. However, the executor still

remains as executor, and technically will still have duties when the trust is completed.

Alternatively, the executor or administrator may consider delegating some of the duties. An

executor or administrator can never delegate the decision making powers; however,

administrative duties may be delegated, so long as an ordinary prudent business person would do

so, and so long as the executor or administrator shows the same care in the choice and

supervision of the agent as an ordinary prudent business person would. It is therefore possible

for the executor or administrator to delegate some of the more onerous tasks of administration,

so long as he continues to act in a supervisory capacity. There are some trust companies,

lawyers, and accountants, for example, who are willing to act as agents for estates by supervising

the estate assets, recommending investments, carrying out investment instructions, accounting,

attending to preparation of tax returns, etc. Such assistance may persuade the executor or

administrator to stay on as personal representative.


APPENDICES


Saskatchewan: Bar Admission Program A - 1 Wills and Estates – Estate Administration Appendix A – Estates Checklist

ESTATES CHECKLIST 1. INITIAL STEPS ____ 1.1 Interview client; obtain initial information on:

____ Is there a Will? If yes, names and addresses of beneficiaries and named executor

____ Did the deceased appear to die without a Will? If yes, obtain information on names and addresses of next of kin

____ Date of death; date of birth; marital status at death; domicile at death; former active occupation; social insurance number

____ 1.2 Obtain initial information on assets in the estate and debts in the estate. ____ 1.3 Provide executor or proposed administrator with a copy of Rule 745 and Tariff

Schedule I "C". ____ 1.4 Advise executor/proposed administrator to secure assets.

____ Notify insurance company if insured house is going to be empty; insure house if uninsured

____ Change over plate insurance on licensed vehicles within 60 days or within expiry of plate, whichever is earlier

____ Remove any assets of value and arrange for storage

____ If necessary, arrange for harvesting and storage of any grain

____ If necessary, arrange for the sale of any extremely perishable goods

____ If necessary, arrange to have someone look after livestock

____ Notify all legal tenants and advise them to whom they should be making rent payments until further notice

____ 1.5 Advise executor/proposed administrator as to the income tax and GST filing

requirements (see step 5.1 and 5.2). If an accountant will be required, as executor/administrator to attend to hiring an accountant, and advise you as to the name of same. Advise of Income Tax Act and Excise Tax Act requirements regarding Tax Clearance Certificates.


A - 2 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix A – Estates Checklist ____ 1.6 If necessary, search for Will.

____ Search of personal belongings by friends/family

____ Check safety deposit box

____ Check with other law firms in city or province

____ Check provincial wills registry 2. INVENTORY OF ASSETS ____ 2.1 Identify the assets which will appear on Part II of the Schedule of Assets, being

assets which either are not a part of the estate or are not within the jurisdiction of the Saskatchewan court [Rule 701(1), Form 104].

____ Joint bank accounts or any other kind of asset held jointly with a right of survivorship

____ Pensions, annuities, superannuation, RRSP's, life insurance proceeds which have been made payable to a designated beneficiary in the plan itself

____ Land held jointly with a right of survivorship

____ Canada Pension Plan benefits for surviving spouse or dependents

____ Personal property located outside Saskatchewan, where deceased was domiciled outside Saskatchewan

____ Real property outside of Saskatchewan ____ 2.2 Identify any land which is not within the province. You will require a resealing

of Letters Probate or of Administration if the other jurisdiction is within Canada, the United States, or the British Commonwealth. Otherwise you will have to apply for an ancillary grant. Contact lawyer in other jurisdiction for requirements for transfer.

____ 2.3 Determine requirements for valuation of assets which will appear in Part I of the

Schedule of Assets.

____ Will the value of the asset affect the reporting of income tax? If yes, then obtain a formal appraisal or valuation



____ Do you need an accurate value of the assets for the purpose of division among the beneficiaries? If yes, then obtain a formal appraisal of valuation, unless beneficiaries will be entering into an agreement as to distribution. (Note, however, that the even-hand rule may prevent executor/administrator from making an in specie distribution)

____ Do any of the beneficiaries wish to purchase estate assets? If yes, then obtain a formal appraisal or valuation, unless beneficiaries will be consenting to the terms of the sale

____ If none of the above, then may consider informal methods of valuation ____ 2.4 Determine the value of the assets:

____ Bank accounts, term certificates, guaranteed investment certificates: face value plus accrued but unpaid interest

____ Letter to banks, trust companies, credit unions for information on balances in accounts, on term deposits or GIC's, and for accrued but unpaid interest

____ Canada Savings Bonds: Face value of the bond plus any unclipped matured coupons/accrued unpaid interest

____ Letter/telephone call to Securities Department of Bank for accrued unpaid interest

____ Stocks, shares, bonds, debentures which are publicly traded: Fair market value at date of death

____ Value of shares can be obtained from financial reports in newspaper

OR

____ Contact stock broker for the information

____ Real Property

____ Formal valuation: Obtain appraisal report from land appraiser

____ Informal valuation:

Multiple of assessed value of the land OR Market evaluation by real estate agent OR Estimate of family and friends


A - 4 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix A – Estates Checklist

____ Deduct value of outstanding loan, mortgage, or Agreements for Sale which relates to the property, less insurance proceeds used to pay out that debt [Form 104, item A]

____ If the deceased owned a business/company which will continue to operate

____ Formal valuation (appraisal done by accountant)

____ Informal valuation

____ Estimate provided by a selling agent

____ Yearly income x 2.5 (or other currently used multiple) or the fair market value of the assets, whichever is greater

____ If the deceased owned a business/company which ceased operation with the death of deceased then will need the value of the assets of the business/company

____ Mineral leases

____ Formal valuation: obtain appraisal

____ Informal valuation: yearly income x 2.5 (or other currently used multiple)

____ Grain on hand: number of bushels/tonnes x price per bushel/tonne at date of death

____ Prices available from commodities reports in newspapers or other agricultural reports

____ Cattle/livestock: price per head if sold on open market at date of death

____ Agricultural reports ____ 2.5 Make an initial inquiry into the debts of the estate.

____ Funeral Home expenses

____ Have family go through personal papers

____ Have family enquire at places deceased normally conducted his/her business



3. DETERMINE THE HEIRS AND BENEFICIARIES ____ 3.1 Is there a Will which gives away all of the property (i.e., contains a residue

clause)? If yes:

____ List names and addresses of all living beneficiaries

____ If any of the beneficiaries have died, does the gift name an alternate beneficiary? If yes, list name and address of alternate beneficiary. If no:

____ Is the deceased beneficiary a child, grandchild or other issue of testator, or a

brother or sister of testator; and did the deceased beneficiary leave a spouse and/or issue of his own? If yes, see section 22 of the Wills Act, 1996 for alternate beneficiaries and distribution of share. If no, gift will lapse.

____ If any of the beneficiaries a divorced spouse of the deceased? If yes, see section 19 of the Wills Act, 1996

____ Are any of the gifts to a class of unnamed persons (e.g., "to all my children")? If yes:

____ Is anyone in the class illegitimate or the child of a common law marriage? If yes, see sections 40 and 42 of the Children's Law Act, 1997

____ Is anyone in the class legally adopted? Are entitled to inherit under the Adoption Act, 1998

____ Is there any uncertainty from the wording of the gift as to who was the intended beneficiary (i.e., has the testator made some error in describing the beneficiary which makes it difficult to decide who was intended to be the beneficiary)? If yes, advise executor that he/she will have to consider an interpretation application. See step 10.1

____ Does the Will adequately provide for the surviving spouse and/or infant children of the deceased? If no, note that spouse/children have a right to make application under the Dependants’ Relief Act, 1996 and or the Family Property Act

____ 3.2 If the Will does not dispose of all of the property, the assets which are not covered will be distributed on an intestacy. Complete step 3.1; go to step 3.3 to determine the rest of the beneficiaries.


A - 6 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix A – Estates Checklist ____ 3.3 If the deceased died without a Will or the Will did not dispose of all of the assets,

a distribution will takes place as set out in the Intestate Succession Act, 1996.

____ If there is a surviving spouse, had the surviving spouse left the intestate to cohabit with another prior to the death? If yes, see section 20 of the Intestate Succession Act, 1996

____ If children are entitled to inherit, are there any children who:

____ Are illegitimate? See sections 40 and 42 of the Children's Law Act, 1997

____ Are legally adopted? Are entitled to inherit under the Adoption Act, 1998

____ Do any of the persons entitled to inherit have half brothers and sisters? Note that kindred of half blood are entitled to inherit under section 13 of the Intestate Succession Act, 1996. Note that step children, who have no blood relationship with the deceased, are not entitled to inherit

4. CLASSIFY NATURE OF THE ESTATE ____ 4.1 If there is a Will which names an executor, determine whether or not the executor

wishes to act or whether he/she wishes to renounce. ____ 4.2 If there is no Will or Will does not name an executor or executor is unable or

unwilling to act, determine who is entitled to apply for Letters of Administration:

____ If there is a Will, see Rule 704

____ If there is no Will, see Rule 712

Determine whether the person who is entitled to apply wishes to act. If he/she does not with to act, determine whether he/she will renounce, or appoint someone else to apply under a power of attorney.

____ 4.3 Decide what kind of estate you have, for the purpose of determining the type of

documents to be completed.

____ There is a Will which names an executor, and the executor is willing and able to act. You will then be applying for Letters Probate.

____ There is a Will which names an executor, and the executor wishes to renounce. You will be applying for Letters of Administration with Will Annexed.

____ There is a Will which names and executor, but the executor has died or does not have mental capacity. You will be applying for Letters of Administration with Will Annexed.



____ There is a Will which does not name an executor. You will be applying for Letters of Administration with Will Annexed.

____ There is no Will. You will be applying for Letters of Administration. 5. PRELIMINARY MATTERS ____ 5.1 Assess the income tax filing requirements for the estate.

____ Did the deceased have any assets of the following nature which are not being transferred to a spouse:

____ Grain or cattle

____ Business/partnership income

____ Real property other than a principal residence

____ Shares in a private company

____ Personal Property which has been depreciated in previous returns

____ Shares, bonds, or debentures which have increased in value

____ RRSP's or RIF's

If yes, returns should be prepared by an accountant. Advise executor/proposed administrator to arrange to hire an accountant. If no:

____ Did the deceased earn income in the year of death which exceeds the amount of the personal exemption? If yes, then you or personal representative or accountant will prepare a T-1 Return (to date of death) (see step 9.3). If no:

____ Did the deceased earn less than the amount of the personal exemption in the year of death? If yes, you will not have to prepare a return, but can advise the Canada Revenue Agency by letter as to the status of the estate. See step 9.3

____ 5.2 Assess the GST requirements for the estate, if the deceased died with:

____ Business assets

____ Real property other than a residence


A - 8 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix A – Estates Checklist ____ 5.3 Are there any Canada Pension Plan death benefits or survivor benefits to be

received? If yes, have the executor/proposed administrator apply for same. ____ 5.4 Send for copy/copies of death certificate. ____ 5.5 Upon instruction from surviving joint tenant, transfer land held in joint tenancy.

Will require:

____ Application by Surviving Joint Tenant with Affidavit of Value

____ Original copy of Death Certificate

____ Duplicate Certificate of Title ____ 5.6 Upon instruction of surviving joint tenant, arrange to transfer over any other

assets held jointly with a right of survivorship. _____ 5.7 Upon instruction of designated beneficiary, arrange for payment out of all

RRSP's, life insurance, annuities, pension plans, and superannuation, which has a designated beneficiary.

(Note: this step is optional; it is the designated beneficiary who has the responsibility of arranging for these payments.)

____ 5.8 Send any cheques made payable to the deceased back to the issuer. Request that

they be re-issued in the name of the estate, and returned, if deceased is still entitled to the money.

____ 5.9 If an application for Letters of Administration will be made, make further

enquiries into matter of possible debts. Required for Affidavit as to Debts, if bond is to be dispensed with.

6. EXAMINATION OF WILL ____ 6.1 Gather all documents together which appear to be a Will or which appear to affect

the Will.

____ Does the document appear to be giving away property at death; and

____ Is it in writing; and

____ Is it the handwriting of the deceased and signed by the deceased? or



____ It is signed by the deceased in the presence of two witnesses?

If yes to all of the above, then the document or documents may be a Will or codicil; even if it is a very informal document. If there appears to be a technical deficiency in the document, consider possibility of application under section 37 of the Wills Act, 1996.

____ 6.2 Is there anything on the face of the Will or in the information you have received

which leads you to believe that the Will is not valid?

____ Duress

____ Lack of testamentary capacity

____ Deceased did not know and understand the contents

____ Does not meet the technical requirements of the Wills Act, 1996

If yes to any of the above, note that Will can either be challenged or you may bring the problem to the attention of the court in the application materials (in which case, proof in solemn form will likely be ordered).

____ 6.3 Are there any alterations on the Will? If yes, try to determine when the

alterations were made. Put any facts in Affidavit of Interlineation for submission with Application for Letters Probate.

____ 6.4 Did the deceased marry after he/she made the Will? Will is invalid unless it

contains a declaration that it was made in contemplation of marriage. ____ 6.5 Was the testator over the age of majority at the time he/she made the Will?

____ Over 21 if made before June 30, 1970

____ Over 19 if made between June 30, 1970, and June 1, 1972

____ Over 18 if made after June 1, 1972

____ If the testator was not over the age of majority, does he/she fall into any of the exceptions shown in the Wills Act, 1996? If no, Will is invalid

____ 6.6 Were any of the witnesses beneficiaries or spouses of beneficiaries? If yes, see section 13 of the Wills Act, 1996. Note, however, subsection (5) which

permits the beneficiary to apply for court order that the gift is not void.


A - 10 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix A – Estates Checklist 7. PREPARATION OF ESTATE DOCUMENTS ____ 7.1 Prepare required forms. ____ 7.2 Submit documentation to court.

Note: If applicable, request Certificate that No Infants Interested from local registrar [Rule 694].

8. MATTERS CONCURRENT TO APPLICATION ____ 8.1 Where estate has beneficiaries who have not yet been involved in estate matters,

send letter advising them of their inheritance. ____ 8.2 Advertise for creditors (see section 32 of the Administration of Estates Act).

Advertise once a week for two weeks in newspaper nearest deceased’s domicile. 9. CALLING IN THE ASSETS AND PAYMENTS OF DEBTS

When Letters Probate or of Administration have been received back: ____ 9.1 Arrange to call in or transfer into the control of the estate as many of the assets as

possible:

____ Call in all bank accounts, term deposits and investment certificates, unless the investments are at a highly preferential rate of interest and will be transferred directly to a beneficiary

____ Have executor/administrator empty the safety deposit box. Will need notarial copy of Letters Probate or of Administration, and key to the box

____ Have executor/administrator cash in Canada Savings Bonds, if they are not going to be transferred directly to a beneficiary. He/she will need a notarial copy of Letters Probate or of Administration

____ Arrange for transmission and sale of any stocks, bonds or debentures which are going to be sold for the purposes of distribution rather than transferred directly to a beneficiary

____ Contact stock broker; provide him with notarial copy of Letters Probate or of Administration and instruct him to sell



____ Arrange for the payment of all insurance, RRSP's, annuities and superannuation, where the policy or plan is payable to the estate rather than a designated beneficiary

____ Arrange for the transmission of land into the name of the executor or administrator. Land Registry will require:

____ Application for Transmission, with Affidavit of Value

____ Original Letters Probate or of Administration, and a notarial copy

____ Affidavit of Identity, if deceased’s name on title is different from that shown in Letters Probate or of Administration

____ Have executor/administrator arrange for the sale of land, where it is going to be sold for the purposes of distribution rather than transferred directly to a beneficiary

____ Obtain Certificate of Consent of Public Guardian and Trustee if Certificate not already obtained from local registrar. See step 10.6 and 10.7

____ See sections 11 and 12 of the Devolution of Real Property Act regarding consent of beneficiaries to the sale

____ Determine whether any of the land should be leased; advise executor/administrator or receive instructions regarding same

____ See section 15 of the Devolution of Real Property Act, regarding consents of beneficiaries to leases of more than one year

____ If land is already leased, determine whether it is necessary or advisable to terminate lease

____ Check written lease for provisions with respect to termination

____ Check common law re amount of notice required to terminate verbal lease

____ Consult with beneficiary of land to decide whether to terminate or to enter into written lease for remainder of term

____ 9.2 Deposit any funds received to trust or estate account. When investing, ensure that

it complies with permitted investments under the Trustees Act or as permitted in the Will.


A - 12 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix A – Estates Checklist ____ 9.3 Attend to handling of income tax matters.

____ Obtain written authorization from executor or administrator to deal with Canada Revenue Agency on income tax matters

____ If the estate will not require a return, write to Estate and Trusts office of Canada Revenue Agency in location nearest to executor or administrator, and advise on status of estate. Include in letter:

____ Authorization to deal with Canada Revenue Agency

____ Notarial copy of Letters Probate or of Administration

____ Schedule of Assets

____ Statement of Income Earned to death

____ If you will be preparing the return, (for simple estates only) then complete a T-1 Return (to date of death). Include in return:

____ Authorization to deal with Canada Revenue Agency

____ Notarial copy of Letters Probate or of Administration

____ Schedule of Assets

____ If accountant is preparing tax return, send copy of Letters Probate or of Administration, copy of Schedule of Assets and all information you have on interest earned, sale value of assets and cost base to accountant with request that he/she prepare the returns as soon as possible and request a Tax Clearance Certificate when able

____ 9.4 Attend to handling of GST matters. ___ 9.5 Upon receiving Notice of Assessment, forward written authorization (step 9.3)

and request for Clearance Certificate, if all necessary releases have been filed. (Form TX19 is used in asking for a Clearance Certificate.)

____ 9.6 Examine the extent of the liquid assets. Is there enough money to pay out all the

debts and any specific gifts, including possible income tax and GST? If yes, then:

____ Pay out all the remaining debts



If no, then:

____ Are there enough assets to pay all the debts, but not enough to meet all the gifts given in the Will? If yes, then determine which gifts will abate in which order and in which proportion

____ Are there not enough assets to pay all the debts? If yes, then determine the order in which the debts are to be paid, and in which proportions

____ Note section 6 of the Exemptions Act and section 71 of the Saskatchewan Farm Security Act, which exempts certain assets from being used to satisfy debts

____ See section 74 of the Trustees Act regarding priority of claims ____ 9.7 Determine whether any assets will have to be sold in order to pay debts. If assets

will have to be sold:

____ See section 6 of the Exemptions Act and section 71 of the Saskatchewan Farm Security Act, which prevents certain assets from being used to pay debts.

10. PRE-DISTRIBUTION CONSIDERATIONS ____ 10.1 Where there is a Will, examine the Will to see if there are any problems in

interpreting the Will:

____ Are all the beneficiaries properly identified and readily ascertainable?

____ Is any property specifically referred to in the Will properly identified and readily ascertainable?

____ Are any of the phrases used in the Will ambiguous or capable of being interpreted in more than one way?

____ Were any words used in the Will which have a specific legal meaning which may not have been intended by the deceased?

If there appears to be an interpretation problem, then consider whether executor/administrator should be making an application to court for interpretation of the Will.



____ 10.2 Where there is a Will in which there are specific gifts:

____ Have any of the gifts been adeemed?

____ The named asset no longer exists or is no longer owned by the deceased. If yes, the beneficiary is not entitled to receive his or her gift or the proceeds, UNLESS

____ The named asset has been sold under an Agreement for Sale or with a mortgage back or an option has been granted on the asset. If yes, see section 26(2) of the Wills Act, 1996 for exception to rule of ademption

____ Has the asset been earning income? Determine right of beneficiary to inherit asset plus income from date of death

____ If the gift given is a gift of land which had unsevered grain growing on it at death, determine the ownership of grain

____ 10.3 Are there any infants who are or may be entitled to receive a gift from the estate?

____ If the Will contains a trust to be administered by the executor, then executor will continue to handle the infant’s property and merely report to Public Guardian and Trustee

____ If the Will contains a trust to be administered by someone other than the executor, then see section 33 of the Children's Law Act, 1997

____ If there is no Will or no trust set up for the infant, then:

____ If the gift is $10,000 or less, the Public Guardian and Trustee has discretion to allow the release to a responsible adult (section 16 of the Public Guardian and Trustee Act)

____ If the gift is under $500, the Public Guardian and Trustee requires only a receipt from the parent, stating he/she will use the money in the child’s best interests.

____ If gift is between $500 and $10,000, the Public Guardian and Trustee will require an affidavit of the person showing he or she is a responsible adult, and his/her plans with respect to the funds. The Public Guardian and Trustee will then require the parent to sign a bond of indemnity

____ If the gift is more than $10,000, then the property will be turned over to the Public Guardian and Trustee at the time of distribution, for administration


Saskatchewan: Bar Admission Program A - 15 Wills and Estates – Estate Administration Appendix A – Estates Checklist ____ 10.4 Are there any mentally incompetent persons who are or may be entitled to receive

a gift from the estate?

____ If the Will contains a trust to be administered by the executor or some other person, then executor or other trustee will handle the property of the mentally incompetent person (and in many instances report to the Public Guardian and Trustee)

____ If there is no Will or no trust is set out in the Will, has there been any order or certificate issued under the Mental Health Services Act?

If yes, then property will be turned over to Public Guardian and Trustee at the time of distribution, for administration. If no, then:

____ Has a person been appointed as property guardian under the Adult Guardianship

and Co-decision-making Act, and do they have the power to receive the property and discharge the executor under the terms of the order appointing him/her?

____ Is the Public Guardian and Trustee appointed a temporary guardian such that someone is able to receive the property on behalf of the mentally incompetent/dependent adult person and discharge the executor/administrator?

____ 10.5 If the deceased was survived by a spouse and/or dependent children, note the

requirements under the Dependants’ Relief Act, 1996 and the Family Property Act which require executor or administrator to wait six months from the date of issuance of Letters Probate or of Administration, before distributing. (Note that if only a spouse is involved, can distribute earlier with consent of that spouse.)

____ 10.6 Was a beneficiary or spouse of a beneficiary a witness to the Will? If yes, note

that section 13(6) of the Wills Act, 1996 gives beneficiary six months to make application to have gift declared effective.

____ 10.7 Are there any infants with an interest in the estate?

____ Have any ascertained infants been given a gift in the estate? or

_____ Is it possible that any infants, presently ascertained or not, might have an interest in future in the estate (e.g., contingent gift-over to issue)?

If yes, then if there is any land in the estate, will require the Consent of the Public Guardian and Trustee to any transfer of land in the estate.



____ 10.8 If the estate has land, and there are no infants interested in the estate, obtain the

Certificate of Public Trustee that there are no infants interested in the estate. ____ 10.9 Is the estate large enough to contemplate making a preliminary distribution?

____ Consult with accountant and executor or administrator as to amount which should be held back. As Clearance Certificates to date of death are no longer available, obtain the accountant’s written recommendation

____ For preliminary distribution, proceed as in stepsections 11.2 and 11.7 ____ 10.10 Do you need to complete and file a T-3 Trust Return?

____ Does the estate have beneficiaries who reside outside of Canada, and who will be receiving income on their share (e.g., such as interest)?

____ Has one year elapsed since the date of death, and the estate has earned or will be earning more than $500 in income?

____ Are you now in a position to make a distribution, and the estate has earned more than $500 in income?

____ Do you wish to tax the income in the hands of the estate rather than allocating it out to the beneficiaries?

If yes to any of the above, the estate must complete and file a T-3 Trust Return.

____ If a non-resident is involved, contact the Canada Revenue Agency for a non-

resident account number. Ascertain the amount of tax which must be withheld and remitted to Canada Revenue Agency. Complete and forward NR4 Supplementary slips.

____ If income is being allocated to Canadian beneficiaries, complete and forward T-3 Supplementary slips

____ If you are ready to make a distribution and have not yet requested Tax Clearance

Certificates for Distribution (income tax and GST), then enclose request for same


Saskatchewan: Bar Admission Program A - 17 Wills and Estates – Estate Administration Appendix A – Estates Checklist 11. DISTRIBUTION OF ESTATE ____ 11.1 Have you received your Tax Clearance Certificate with respect to both income tax

and GST? If yes, proceed. ____ 11.2 Pay out or transfer or deliver specific gifts.

____ Check law to see if beneficiary should pay for the cost of delivery or transfer

____ Obtain receipt and release ____ 11.3 Complete the transfer of any land in the estate. Land Titles Registry will require:

____ Transfer

____ Consent of Public Guardian and Trustee (where there are infants), or Certificate That No Infants are interested in the estate

____ Duplicate Certificate of Title, if applicable ____ 11.4 Consult with executor/administrator as to whether he/she wishes to claim any

compensation; include Claim in Executor's or Administrator's Account below. ____ 11.5 Prepare Executor’s or Administrator’s Accounts from date of death or from date

of last accounting, to present. See Rule 739 for form of accounts. ____ 11.6 Forward accounts to executor or administrator for approval. ____ 11.7 Forward to residual beneficiaries for approval of following:

____ Executor’s/Administrator's Accounts

____ Consent to Accounts and Release (to date of the accounting only, unless this is the final accounting)

____ Letter to beneficiary advising that no distribution will be made until all the releases are received back, and undertaking to hold any release received in trust until such time as the beneficiary has received his/her share


A - 18 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix A – Estates Checklist ____ 11.8 Upon return of all the releases, complete distribution of estate. Pay out

Executor’s or Administrator’s compensation; pay out any remaining liabilities; distribute remainder.

____ If the beneficiary is a non-resident of Canada, send withholding tax on income earned by his/her share to Canad Revenue Agency

____ Send Canadian beneficiary a statement of income earned by his/her share, for reporting on his/her own income tax return, or T-3 Supplementary slips

____ Report Executor’s/Administrator’s compensation to Canada Revenue Agency as employment income. Prepare a T4A Supplementary slip and T4-T4A Summary

____ 11.9 If considered necessary, apply for discharge of Executor/Administrator under

Rule 744.


Saskatchewan: Bar Admission Program B - 1 Wills and Estates - Estate Administration Appendix B - Documents to Be Filed Checklist

DOCUMENTS TO BE FILED

A. Letters Probate ____ 1. Cover Page ____ 2. Application for Grant of Probate with Exhibit Stamp ____ 3. Affidavit of Applicant for Probate ____ 4. Affidavit of Execution of Will (one only) ____ 5. Original Will, with two Exhibit Stamps, and Codicil, if any, with two Exhibit Stamps ____ 6. Statement of Assets, Part I and Part II with Exhibit Stamp ____ 7. If the Testator dies with:

(a) any infant children; or (b) a dependent adult child; or (c) a dependent spouse; or (d) a dependent adult as a beneficiary; (e) an infant beneficiary

then you must also file two copies of the Notice to Public Guardian and Trustee or Property Guardian, together with the Schedule of Debts, the Schedule of Assets, and a copy of the Will [Rule 699(2)]

____ 8. Cheques for fees: $7 for each $1,000 of sworn value or portion thereof ____ 9. If require Certificate that No Infants Interested, send request and $25 B. Letters of Administration ____ 1. Cover Page ____ 2. Application for Grant of Administration, with Exhibit Stamp ____ 3. Affidavit of Applicant for Administration


B - 2 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix B – Documents to be Filed Checklist ____ 4. Schedule of Assets, Part I and Part II, with Exhibit Stamp ____ 5. (a) A bond in twice the value of the estate unless given by a duly approved

guarantee company, in which event it need only be for the actual value (Form 116, R. 719); or

(b) If the application is to be without bond:

(i) Affidavit of Applicant for Administration Re: Debts (dispensing with a bond) [Rule 720], and

(ii) Consents of all creditors, adult beneficiaries, and if an infant is or may be a beneficiary, of the Public Guardian and Trustee, together with Affidavits of Execution

____ 6. Any Renunciation if required, together with affidavits of execution ____ 7. If the Deceased died with:



____ 8. Cheques for fees: $7 for each $1,000 of sworn value or portion thereof ____ 9. If require Certificate that No Infants Interested, send request and $25 C. Letters of Administration with Will Annexed ____ 1. Cover Page ____ 2. Application for Grant of Administration, with Exhibit Stamp ____ 3. Affidavit of Applicant ____ 4. Affidavit of Execution of Will


Saskatchewan: Bar Admission Program B - 3 Wills and Estates - Estate Administration Appendix B - Documents to Be Filed Checklist ____ 5. Original Will, with two Exhibit Stamps ____ 6. Schedule of Assets, Part I and Part II, with Exhibit Stamp ____ 7. (a) A bond in twice the value of the estate unless given by a duly approved

guarantee company, in which event it need only be for the actual value (Form 116, Rule 719); or

(b) If the application is to be without bond: (i) Affidavit of Applicant for Administration Re: Debts (dispensing with

a bond) [Rule 720], and

(ii) Consents of all creditors, adult beneficiaries, and if an infant is or may be a beneficiary, of the Public Guardian and Trustee, together with Affidavits of Execution.

____ 8. Any Renunciation required, together with affidavits of execution ____ 9. If the Deceased died with:



____ 10. Cheques for fees: $7 for each $1,000 of sworn value or portion thereof ____ 11. If require Certificate that No Infants Interested, send request and $25 D. Resealing Letters Probate (where the Assets to be resealed include Immoveable Property) ____ 1. Cover Page ____ 2. Application for Resealing Foreign Grant, with Exhibit Stamp ____ 3. Affidavit of Applicant


B - 4 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix B – Documents to be Filed Checklist ____ 4. If the Will affects immoveable property in Saskatchewan, including leasehold

interests: (a) Affidavit of Effect and Validity, or

(b) Affidavit of Execution of Will or court certified copy of Affidavit from original application, if it contains same type of information [Rule 722(2)]

____ 5. One notarial copy of original grant, marked as Exhibit to Affidavit of Applicant and

to the Affidavit of Execution of Will [Rule 722(2)] ____ 6. One court certified copy of original Letters Probate, unmarked as an exhibit (this is

used by the court house as the document they reseal) [Rule 722(3)] ____ 7. Schedule of Assets to be administered in Saskatchewan, Part I and Part II, with

Exhibit Stamp ____ 8. If the Testator died with:


then you must also file two2 copies of the Notice to Public Guardian and Trustee or Property Guardian, together with the Schedule of Debts, the Schedule of Assets, and a copy of the Will [Rule 699(2)]

____ 9. Cheques for fees: $7 for each $1,000 of sworn value or portion thereof ____ 10. If require Certificate that No Infants Interested, send request and $25 E. Resealing Letters Probate

(where the Assets to be resealed include only Moveable Property) ____ 1. Cover Page ____ 2. Application for Resealing Foreign Grant, with Exhibit Stamp ____ 3. Affidavit of Applicant ____ 4. One notarial copy of original Letters Probate, marked as Exhibit to Affidavit of

Applicant


Saskatchewan: Bar Admission Program B - 5 Wills and Estates - Estate Administration Appendix B - Documents to Be Filed Checklist ____ 5. One court certified copy of original Letters Probate, unmarked as an exhibit (this is

used by the court house as the document they reseal) [Rule 722(3)] ____ 6. Schedule of Assets to be administered in Saskatchewan, Part I and Part II, with

Exhibit Stamp ____ 7. If the Testator died with:



____ 8. Cheques for fees: $7 for each $1,000 of sworn value or portion thereof. F. Resealing Letters of Administration ____ 1. Cover Page ____ 2. Application for Resealing Foreign Grant, with Exhibit Stamp ____ 3. Affidavit of Applicant ____ 4. One notarial copy of original Letters of Administration, marked as Exhibit to

Affidavit of Applicant ____ 5. One court certified copy of original Letters of Administration, unmarked as an

exhibit (this is used by the court house as the document they reseal) [Rule 722(3)] ____ 6. Schedule of Assets to be administered in Saskatchewan, Part I and Part II, with

Exhibit Stamp


B - 6 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix B – Documents to be Filed Checklist ____ 7. If the Testator died with:


then you must also file two2 copies of the Notice to Public Guardian and Trustee or Property Guardian, together with the Schedule of Debts, the Schedule of Assets, and a copy of the Will [Rule 699(2)]

____ 8. (a) A certificate of the Clerk of the original court that a bond has been filed there

which covers all assets within and without Saskatchewan; OR

(b) If the application is to be without bond (i) Affidavit of Applicant for Administration Re: Debts (dispensing with

a bond) [Rule 720], and

(ii) Consents of all creditors, adult beneficiaries, and if an infant is or may be a beneficiary, of the Public Guardian and Trustee, together with Affidavits of Execution

____ 9. Cheques for fees: $7 for each $1,000 of sworn value or portion thereof ____ 10. If require Certificate that No Infants Interested, send request and $25


Saskatchewan: Bar Admission Program C - 1 Wills and Estates - Estate Administration Appendix C - Estate Information Sheet

ESTATE INFORMATION SHEET Full name of the deceased __________________________________________________________________________________ Date of death _____________________________________________________________ Age at death ____________________ Place of death _________________________________________________ Cause of death ______________________________ Date of birth ____________________________ Place of birth _____________________________________________________ Soc. Ins. No. ______________________ Marital Status ________________ Occupation ________________________________ Last address of deceased ___________________________________________________________________________________ Last attending physician ___________________________________________________________________________________ Hospitalization Number ________________________________ GMS MSI Will: Dated _______________________________________________ Executed at ________________________________ Witnesses: (1) Name _______________________________________________________________________ Present address ________________________________________________________________ (2) Name _______________________________________________________________________ Present address ________________________________________________________________ ________________________________________________________________ Holograph Will – Name of person to swear Affidavit as to handwriting ________________________________________________________________

Deceased died INTESTATE – Search for Will conducted by ___________________________________________________ EXECUTORS / ADMINISTRATORS: Has Will Requires Will Yes No Yes No (1) Name __________________________________________ Address _________________________________________ _________________________________________ (2) Name ___________________________________________ Address _________________________________________ _________________________________________ (3) Name ___________________________________________ Address _________________________________________ _________________________________________ Is any Executor renouncing? No Yes – Name______________________________________ BENEFICIARIES: Name and Social Insurance Number Address Relationship Age* Bequest

* If under 18 years of age, give date of birth Are infants interested in the Estate? Yes No Did deceased leave infant children not interested in the Estate? Yes No Are mentally incompetent persons interested in the Estate? Yes No Does the Dependants’ Relief Act, 1996 apply? Yes No Does the Family Property Act apply? Yes No Does deceased have a safe Deposit Box? No Yes – Location____________________________


C - 2 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix C – Estate Information Sheet ESTATE ASSETS - Description Value Solely Owned Jointly Owned REAL ESTATE: (a) Principal residence

(b) Other property: (c) Agreements for Sale (d) Mortgages STOCKS AND SHARES; BONDS AND DEBENTURES; GUARANTEED INVESTMENT CERTIFICATES: BANK ACCOUNTS: OTHER MONEYS ON DEPOSIT: MONEYS OWED TO DECEASED: INTEREST IN BUSINESS: INTEREST IN OTHER ESTATES AND TRUSTS: EQUITIES: Saskatchewan What Pool Other: Automobile Household furniture & Personal effects Jewelery and furs Farm Machinery Grain on hand Livestock Other property not included above: LIFE INSURANCE:

Company Policy No. Beneficiary Face Value


Saskatchewan: Bar Admission Program C - 3 Wills and Estates - Estate Administration Appendix C - Estate Information Sheet DEBTS OF THE DECEASED:

Creditor

Amount

Paid – by whom

To be paid from estate

funds Funeral account Ambulance Trade accounts: Other debts:

ADVERTISE FOR CREDITORS? No Yes – Paper _________________________________

SOURCES OF INCOME OF THE DECEASED: Old Age Pension C.P.P. Benefits - Retirement Disability Survivor Other pension or superannuation (give details) _____________________________________________________

_____________________________________________________________________________________________ Registered Retirement Savings __________________________________________________________________ Annuities ___________________________________________________________________________________

_____________________________________________________________________________________________ Interest ______________________________________________________________________________________ Other _____________________________________________________________________________________

_____________________________________________________________________________________________

INCOME TAX - Last T1 Return filed for 20_____ at___________________________________________________ Prepared by __________________________________________________________________________________ TAX RETURNS REQUIRED: To be prepared by:

Final Clearance without filing T1 Return T1 Return to date of death Rights and Things Return Partnership or business income – Section 150 (4) Income from a Trust – Section 104(23) Capital loss from disposition – Section 164(6) T3 Return for administration period Annual T3 Returns (life interest)

MATTERS DISCUSSED WITH CLIENT: Services of a Law Firm – brochure given to client Fees – Fee Structure Sheet given to client Authority to Invest Trust Funds obtained C.P.P Benefits - Client will attend to – or - MKML to prepare Applications

WHO IS RESPONSIBLE FOR DOING WHAT?

Personal representative Law firm

SPECIAL INSTRUCTIONS OR REMARKS: ______________________________________________________________________________________________ _____________________________________________________________________________________________


C - 4 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix C – Estate Information Sheet

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Saskatchewan: Bar Admission Program D - 1 Wills and Estates - Estate Administration Appendix D - GST Information

GST INFORMATION

The following is a suggested list of questions to add to your office estate questionnaire to deal

with the GST:

1. (a) Was the deceased carrying on a business or commercial activity immediately before death?

(b) If yes, describe the nature of that business or commercial activity.

This is relevant to determine if the deceased should have been registered for GST purposes of if the section 167(2) election is available to the estate. The question in relation to the nature of the business will assist the lawyer in dealing with the estate in determining which assets were used in the course of business, which is relevant for, inter alia, the election under section 167(2) of the Excise Tax Act.

2. (a) Was the deceased a registrant for GST purposes?

(b) If yes, give the registration number ____________________________ and the deceased’s reporting period ____________________________

(c) State the reporting period for which the last GST return was filed._____________

This will alert you to the requirement to file returns, and issues that may arise in certain asset transfers.

3. (a) Who are the beneficiaries of the deceased’s business assets or real property (excluding used residential real property)?

(b) Are these beneficiaries registered for GST purposes? If so, state their respective registration numbers.

This will enable you to ascertain if beneficiaries must be registered to take advantage of the section 167(2) election for the business assets or the section 221(2) provision on supplies of real property.


D - 2 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Appendix D – GST Information



PRECEDENTS


Saskatchewan: Bar Admission Program P - 1 Wills and Estates - Estate Administration Precedents – Preliminary Matters

AUTHORITY TO INVEST TRUST FUNDS

TO: Lawyers & Company

Barristers and Solicitors 1234 Any Street Saskatoon, Saskatchewan S7K 0L8

RE: Investment of Trust Funds

Please treat this as your Authority and Direction that any sums of money in excess of Five Thousand ($5,000) Dollars, which you may receive for the undersigned, may be deposited by you in an interest bearing account to the credit of the undersigned.

These monies may deposited at any bank, credit union or trust company, as you in your discretion may decide.

This letter may also be used as your continuing Authority to invest monies paid into your Trust Account for the undersigned until further notification in writing. It shall also be your Authority and Direction to call in, in whole or in part, any such deposit as you in your sole discretion may decide.

I agree to pay such just and proper fees for your services with respect to the investment of these funds which fees will in no instance be less than $25. Where the amount to be deposited, or the time during which it would be held or deposited, would not permit the earning of interest equal to this minimum charge, the funds shall not be invested, but held by you in your Trust Account.

I agree that the monies so deposited remain in my risk during the time they are so deposited, and you shall not be required to insure either the rate of return on such deposit, the duration of such deposit, nor the safety of such deposit.

DATED at the City of Saskatoon, in the Province of Saskatchewan, this * day of * , 2____.

Estate of ***

__________________________________ Per: _______________________________ Witness

Address: ____________________________

____________________________

____________________________________ Social Insurance Number of deceased


P - 2 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Precedents – Preliminary Matters TO: The Manager

Name and Address __________, Saskatchewan NOTICE OF APPOINTMENT OF ATTORNEY I, _______________________, of _________________________, in the Province of Saskatchewan,

Executor/Executrix of the estate of _______________________, late of _________________,

Saskatchewan, deceased.

HEREBY APPOINT ___________________, as my agent and attorney to open Safe ______,

remove the contents thereof and cancel the _________________ on my behalf.

DATED this _____ day of __________________, A.D. 2______.

________________________ ____________________________________

Witness



SUGGESTED PROCEDURE FOR DEALING WITH MOTOR VEHICLES

1. Section 52(2) of the Motor Vehicles Act: Certificate of Registration of a motor vehicle

expires sixty (60) days after the death of the holder of the certificate. For this 60 days a vehicle

which is properly registered may be operated.

2. The Executor should be advised to attend to changing the registration of the vehicle into

the name of the estate or the beneficiary entitle to the motor vehicle within the 60 day period, or,

prior to expiration of the registration, whichever is lesser.

3. If surviving spouse does not have a driver’s license, he/she must apply for PIC number.


P - 4 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Precedents – Preliminary Matters

FORM LETTERS

Income Security Programs Human Resource Development Canada P.O. Box 818 Station Main Winnipeg, Manitoba R3C 2N4

Dear Sirs:

RE: Estate of * Late of * Date of Death * Place of Death * SIN*

We are solicitors for the above noted estate. At the time of death the deceased was in receipt of Federal Old Age Pension. Please amend you records accordingly and forward any cheques to which the estate is entitled in care of this office.

Yours truly,

Cheque Redemption Control Directorate Returned Cheques P.O. Box 2000 Matane, Quebec G4W 4N5

Dear Sirs:

RE: Estate of * Late of * Date of Death * Place of Death * SIN *

We are solicitors for the above noted estate. At the time of death the deceased was in receipt of Federal Old Age Pension.

We are enclosing the pension cheque for the month of death and ask that you amend it to make it payable to the estate. Please then it to our office.

Yours truly,

Enclosures


Saskatchewan: Bar Admission Program P - 5 Wills and Estates - Estate Administration Precedents – Preliminary Matters Income Security Programs Human Resource Development Canada P.O. Box 818 Station Main Winnipeg, Manitoba R3C 2N4

Dear Sirs:


We are solicitors for the above noted estate.

At the time of death the deceased was in receipt of Canada Pension Plan Retirement Benefits. Please amend your records accordingly and forward any cheques to which the estate is entitled in care of this office.

Yours truly,

Cheque Redemption Control Directorate Returned Cheques P.O. Box 2000 Matane, Quebec G4W 4N5

Dear Sirs:


We are solicitors for the above noted estate.

At the time of death the deceased was in receipt of Canada Pension Plan Retirement Benefits. We are enclosing herewith the pension cheque for the month of death, and ask that you amend it to make it payable to the estate. Please then return it to our office.

Yours truly,

Enclosures



Saskatchewan Hospital Services Plan T.C. Douglas Building 3475 Albert Street Regina, Saskatchewan S4S 6X6

Attention: Records Department

Dear Sirs:

RE: Estate of * Late of * Date of Death * Hospitalization No. *

We are solicitors for the above noted estate. Please note the date of death and amend your records accordingly.

Thank you.

Yours truly, Saskatchewan Blue Cross PO Box 4030 516-2nd Avenue North Saskatoon, Saskatchewan S7K 3T2

Dear Sirs:



If the estate is entitled to any refund of any unexpired portion of premium, please forward your refund cheque to the estate in care of this office.

Thank you.

Yours truly,



Group Medical Services 200 – 3303 Hillsdale Street Regina, Saskatchewan S4S 7J8

Dear Sirs:



If the estate is entitled to any refund of any unexpired portion of premium, please forward your refund cheque to the estate in care of this office.

Thank you.

Yours truly,

(Name and Address of Bank)

Dear Sirs:

RE: Estate of * Late of * Date of Death *

We are solicitors for the above noted estate. Please let us have particulars of any interest the deceased may have had in your bank as at the date of death as follows: (a) Savings Account No. * $ (b) Interest accrued to date of death $ (c) Current Account No. * $ (d) Personal Chequing Account No. * $ (e) Joint Account with * $ (f) Safety deposit box * (g) Documents held in safekeeping. (h) Particulars of any indebtedness to the bank. (i) Personal guarantee. (j) Other

Yours truly,


P - 8 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Precedents – Preliminary Matters The Secretary (Name and Address of Credit Union) Dear Sirs: RE: Estate of *

Late of * Date of Death * Place of Death *

We are solicitors for the above noted estate. Please let us have particulars of any interest the deceased may have had in your Credit Union as at the date of Death as follows: 1. Membership No. *

2. Share Account $ Interest to date of death $

3. Insurance $

4. Deposit Account $ Interest to date of death $

5. Term Deposit $ Interest to date of death $

6. Safe Deposit box number *

7. Documents held in safekeeping Yes/No

8. Titles held in hypothecation Yes/No

9. Particulars of indebtedness to your Credit Union and whether loan covered by insurance.

10. Personal guarantee We enclose a self-addressed, stamped envelope for your convenience in replying. Yours truly, Enclosure


Saskatchewan: Bar Admission Program P - 9 Wills and Estates - Estate Administration Precedents – Preliminary Matters (Name and Address of Co-operative) Dear Sirs: RE: Estate of *

Late of * Date of Death * Membership No. *

We are solicitors for the above noted estate. For the purpose of administration of the estate, please advise what interest, if any, the deceased had in your organization as at the date of death, together with your requirements for transmission and transfer of the same.

We also wish to know, for income tax purposes, the amount of any dividends of interest payable for the year of death.

Thank you for your assistance in this matter. Yours truly, (Name and Address of Stock Transfer Agent) Attention: Stock Transfer Department Dear Sirs: RE: Estate of *

Late of * Date of Death *

We are solicitors for the above noted estate. We are listing at the bottom of this letter securities owned by the deceased at the time of death. Please let us know the amount of dividends paid on these securities for the year of death, as we require this information for income tax purposes.

We look forward to hearing from you. Yours truly, Securities Owned by the Deceased: (HERE LIST SECURITIES)



FARM LAND AND ASSESSED VALUE

Secretary Treasurer R.M. of (Name and address of Rural Municipality) Dear Sirs: RE: Estate of *


We are solicitors for the above noted estate. Please provide us with a list of all the land assessed to the above deceased in your municipality along with the assessed value of each parcel and a statement showing the taxes owing at the time of death. The Executrix of the estate is *, of *, Saskatchewan, in whose name the lands will stand as such Executrix. Please amend your assessment roll accordingly. Yours truly,



URBAN PROPERTY AND ASSESSED VALUE

City Clerk City Hall * , Saskatchewan Dear Sirs: RE: Estate of *

Late of * Date of Death * Place of Death*

We are solicitors for the above noted estate. Please provide us with a list of all property assessed to the above deceased on your Assessment Roll along with the assessed value of the land and buildings in each case. We would also like a statement showing the taxes owing at the time of death including cost of removing encumbrances. According to our information the deceased owned Lot 2, Block 45, Plan C. 5, * (Along with * as joint tenants and not as tenants in common) at the time of his death. The Executrix of the estate (or surviving joint tenant) is *, of *, *, Saskatchewan, in whose name the lands will stand as such Executrix (surviving joint tenant) until further notice. Please amend your assessment roll accordingly. Yours truly,



CANADIAN WHEAT BOARD

The Canadian Wheat Board P.O. Box 816 423 Main Street Winnipeg, Manitoba R3C 2P5 Dear Sirs: RE: Estate of *

Late of * Date of Death * Place of Death * Permit No. * Delivery Point *

We are solicitors for the above noted estate. The deceased farmed in Saskatchewan, and was the producer named in the above permit. We have notified the delivery point elevator agent to forward to you the plastic plate from existing permit to be amended to read “Estate of”, to cover future deliveries of grain on hand to the 31st of July, 2 . We will forward a Notarial Copy of Letters Probate/Administration when the same issues. Yours truly,



Kind Bushels Grade

LESSOR Dear Sirs: RE: Estate of *


We are solicitors for the above noted estate. For the purposes of preparing a schedule of assets of the deceased, we require particulars of grain on hand at time of death in which the deceased had an interest. Please provide us with a list indicating the Lessor’s share only.

Wheat Wheat Wheat Oats Barley Rape Please also remove the deceased’s plastic plate from your current permit book and either send it to us or have the elevator agent return to The Canadian Wheat Board, Winnipeg, Manitoba, to be amended to read “Estate of *”. When the amended plastic plate is returned to you, it should be attached to your permit book to enable deliveries of grain on hand at time of death to be made in the name of the Estate until July 31, 2***. At that time we will advise you regarding the name to be placed on the next permit book. All grain in which the deceased had an interest at the time of death must be delivered in the name the Estate of the deceased. On July 31 next following the date of death an application will then be made for a Special Delivery Permit to cover the balance then remaining of grain which was on hand at the time death. This Special Delivery Permit will cover only the deceased’s one third interest. We enclose a self-addressed stamped envelope for your convenience in replying. Yours truly,



LETTER TO AGENT TO FORWARD PLASTIC PLATE (Name and address of Elevator Agent) Dear Sirs: RE: Estate of *


We are solicitors for the above noted estate. At the time of his death the deceased delivered grain to your elevator and, we understand, left his current permit book with you to record such deliveries. Please send the plastic plate to the Canadian Wheat Board in Winnipeg to have it amended to read “Estate of *”. All grain belonging to the deceased which was on hand at the date of death must be delivered in the name of the “Estate of *” until the 31st of July, 2***. The 2*** Permit Book will be applied of in the name of *. On the 1st day of August, 2***, we will apply for a special delivery permit to cover the balance then remaining of any grain which was on hand at the date of death and still on hand at the end of the crop year in which he died. Yours truly,


Saskatchewan: Bar Admission Program P - 15 Wills and Estates - Estate Administration Precedents – Preliminary Matters Saskatchewan Wheat Pool Albert Street and Victoria Regina, Saskatchewan

Attention: Estate Division

Dear Sirs:

RE: Estate of * Late of * Date of Death * Membership No. *

We are solicitors for the above noted estate. To assist us in the estate administration, please advise what interest, if any, the deceased had in your organization as at the date of death, together with your requirements for transmission and transfer of same.

We also wish to know, for income tax purposes, what amount of dividends were payable on the equity of the deceased for the year of death.

If no such interest exists, simply note that at the foot of this letter and return it to us.

Yours truly, (Name and Address of Insurance Company) Attention: Claims Department

Dear Sirs:

RE: Estate of * Late of * Date of Death * Policy No. *

We are solicitors for the estate. At the time of death the deceased was the insured named in the above noted policy.

Please let us know your requirements for settlement under this policy.

Should there be any outstanding loan against the policy, please provide us with particulars.

Thank you.

Yours truly,



LETTER FOR APPLICATION OF SPECIAL PERMIT The Canadian Wheat Board P.O. Box 816 423 Main Street Winnipeg, Manitoba R3C 2P5 Dear Sirs: RE: Estate of * Place of Death *

Late of * Permit Number * Date of Death * Delivery Point *

We are solicitors for the above noted estate. At the time of his death the deceased was the Producer named in the above Permit, but does not appear on any permit for this crop year. The Executrix wishes to make application for a Special Permit to deliver in the name of the estate the balance of the grain now remaining which was on hand at the time of death. Please let us have your usual application form in this regard. Yours truly,



CANADA PENSION PLAN

Income Security Programs Human Resource Development Canada P.O. Box 818 Station Main Winnipeg, Manitoba R3C 2N4 Dear Sirs: RE: Estate of * Date of Death *

Late of * Place of Death * We are solicitors for the above noted estate. The estate of the above deceased appears to be entitled to a Death Benefit and the widow appears to be entitled to Survivor’s Benefits. We will be completing the necessary Applications and have advised the personal representative of the various documents which will be required to support such applications. We have applied for the Death Certificate and this will be forwarded to you in due course, along with the relevant income tax returns and other supporting documents. Yours truly,


Saskatchewan: Bar Admission Program P - 19 Wills and Estates - Estate Administration Precedents – Tips on Drafting Applications for a Grant

OBSERVATIONS FROM MATERIAL PREVIOUSLY FILED

IN ESTATE MATTERS

A. THE APPLICATION

1. Only one title page is required. It is not necessary to have a title page for each document.

2. The Notice to Public Guardian and Trustee that is deposited with the clerk to be later forwarded to the Public Guardian and Trustee should have a separate title page.

3. Application (a) If applicant’s name differs from the spelling in the Will then file an Affidavit of

Identity.

(b) If the name of deceased in the application differs from that shown in the Will then file an Affidavit of Identity.

(c) It is not necessary to add, “also known as”. The Affidavit of Identity will cover this.

(d) Paragraph 2 of the Application for Probate should show, if there is a codicil, “and a codicil dated the ____ day of _____, 20__”.

(e) If the applicant is not the executor named in the Will then paragraph 11 should account for this: (e.g., The other executor, (name as shown in the Will) predeceased the testator having died on the ___ day of ____, _____.)

(f) If more than one executor paragraph 11 of Form 98 should read “and each is” and not both are.

(g) The hard back, which is often prepared by the solicitors when drawing a Will, is not part of the Will and need not be filed with the material. It is usually oversized and made of harder material than ordinary paper and tends to clutter up the court file. There is also a danger of someone placing the exhibit stamps on the Will back and not on the back of the Will.

(h) Material in support of application should comply with Queen’s Bench Rule 6A which sets the minimum width of the left hand margin and also the line spacing.

(i) The material in support of a petition need not be stapled as to each document. A good paper clip will suffice. The exception is the Notice to Public Guardian and Trustee which should be stapled together with one staple as it rides along on the court file as a separate entity until forwarded by the clerk to the Public Guardian and Trustee.


P - 20 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Precedents – Tips on Drafting Applications for a Grant

(j) When listing the beneficiaries in paragraph 3 of Form 98 or paragraph 2 of Form 100 show how such person qualifies to share if not a principal beneficiary: (i.e., Children of a deceased daughter)

Mary Jane Smith who died on the 1st day of January, 1985 (1) Name Address Relationship (2) Name Address Relationship (3) Name Address Relationship

(k) Renunciations should be filed with the material in the same order as the next-of-kin appear in the application.

B. AFFIDAVITS OF PERSONAL REPRESENTATIVES

1. If more than one petitioner you can either prepare separate affidavits as set out in Rule 323 or prepare one affidavit for all petitioners. If one affidavit is to be prepared the first paragraph should be in the first person plural and each paragraph thereafter in the first paragraph singular. Also the word “SEVERALLY” should precede the words “MAKE OATH AND SAY”.

2. Jurats

If sworn by more than one deponent at the same time and place, then only one jurat will be required but should comply with Queen’s Bench Rule 323: i.e., Severally sworn by the )

above named deponents ) John Smith and Mary Smith ) ____________________________ before me at ____________ ) JOHN SMITH in the Province of ) Saskatchewan, this _____ ) day of ________, 2____. ) ____________________________

) MARY SMITH _________________________ A Commissioner for Oaths in and for Saskatchewan. Being a Solicitor.


Saskatchewan: Bar Admission Program P - 21 Wills and Estates - Estate Administration Precedents – Tips on Drafting Applications for a Grant

If sworn by more than one deponent at a different place or at a different time then two jurats would be used: i.e., Severally sworn by the )

above named ) John Smith before me ) at __________________, ) in the Province of ) Saskatchewan, this _____ ) day of ________, 2____. ) ____________________________

) JOHN SMITH _________________________ A Commissioner for Oaths in and for Saskatchewan. Being a Solicitor.

Severally sworn by the ) above named ) Mary Smith before me ) at ____________________, ) in the Province of ) Alberta, this _____ ) day of ________, 2____. ) ____________________________

) MARY SMITH _________________________ A Notary Public in and for Alberta.

(See section 51 of the Saskatchewan Evidence Act for oaths sworn outside of Saskatchewan.)

3. Exhibit Stamps

(a) Usually exhibit stamps should be placed on the back of the last page of the document referred to in the affidavit. The exceptions are: (i) The Application

If room permits the exhibit stamp should be placed at the foot of the face of the last page of the Application. If there is insufficient room then on the back of the last page of the Application.

(ii) Statement of Assets Same applies as in the Application but on the last page of Part Two.


P - 22 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Precedents – Tips on Drafting Applications for a Grant 5. Warning

(a) Do not place exhibit stamps on any of the following: (i) The face of the original Will. (ii) The backing that usually is attached to the Will. (iii) The title page. (iv) A blank sheet of paper inserted in the material next to the document

referred to in the affidavit. 6. Exhibit stamps should bear the same identification letter as stated in the affidavit

(i.e., This is exhibit “A” etc.). C. STATEMENT OF ASSETS 1. Should be divided into two parts: Part One and Part Two (Form 104) 2. Statement of Assets should show interest accrued to date of death and any other income

item which would be reported on the Income Tax Return to date of death or on a separate return covering rights or things.

3. The Old Age Pension/Income Security and Canada Pension Plan cheques for the month

in which the death occurred should be listed as assets of the deceased. 4. Canada Pension Plan Death Benefit was not previously considered as an asset of the

deceased. The Death Benefit is payable to the estate of the deceased contributor and is reported on the first T-3 Trust Return filed by the personal representative as income to the estate trust. In due course a T-4A Supplementary Slip will issue in the name of The Estate of ______________”. However, in the Fall of 1997, The Law Society of Saskatchewan published a directive from the Court of Queen’s Bench indicating that judges have agreed that the estimated C.P.P. death benefit should be included in Part I of the Statement of Assets.

5. Amount owing on land mortgage is to be deducted from the market value of only the land

described in the mortgage. (Form 104). 6. If deceased is entitled to a benefit from an estate that is not fully administered it should

be shown under Part One as “Interest in the Unadministered Estate of _____________, Deceased. $___________________.


Saskatchewan: Bar Admission Program P - 23 Wills and Estates - Estate Administration Precedents – Tips on Drafting Applications for a Grant 7. In order to be included under Part Two of the Statement of Assets, an asset must be

sufficiently described to show right of survivorship.

i.e., 1. Real Estate Registered in the name of __________________ and ________________, (____________________ of the deceased) as joint tenants and not as tenants in common (or as joint tenants with right of survivorship). Lot ____, Block _______, Plan _________ Assessed Value - Land & Buildings Fair Market Value $___________________

2. Bank Accounts, Other Deposits

Bank ___________________________________________ Branch _________________________________________ Joint Savings Account No. __________________________ having the right of survivorship with ________________________________________________ (________________ of the deceased) Balance at time of death $ __________

3. Life Insurance Policy No. ______________________________________ Company _______________________________________ Beneficiary ______________________________________ Amount - Face Value $ __________

- Dividends $ __________

4. Registered Retirement Savings Plans Carrier _________________________________________ Contract No. _____________________________________ Named Beneficiary _______________________________ Value of Registered Retirement Savings Plan at death $ __________

Note: Chattels, such as machinery, cars, furniture, paintings, works of art do not have the right of survivorship. The deceased and some other person may each own an undivided interest but this interest must be shown in Part One.


P - 24 Saskatchewan: Bar Admission Program Wills and Estates – Estate Administration Precedents – Tips on Drafting Applications for a Grant D. GENERAL

1. Check the Will to see if there is an intestacy as to a portion of the assets. If there is then Paragraph 3 of Form 98 will have to be modified by adding an additional Paragraph 3(a) as follows:

3(a) That the deceased died intestate as to a portion of his estate leaving surviving the following persons, and no others, who are entitled by law to share in the estate:

Name Address Relationship

Section 36(1) of the Wills Act, 1996 applies to the intestacy.

2. If a Will refers to a specific asset which the testator had at the time of making the Will but did not have at date of death (i.e., shares in the family farm corporation) then the Statement of Assets should make mention of such item with a corresponding note that such shares were disposed of prior to death.

3. Proof of Will where witnesses are dead or cannot be located should be by an affidavit by someone other than a beneficiary or the husband or wife of a beneficiary and the material should show what efforts were made to locate the witnesses.

4. The age of the testator at the time of making the Will should comply with Rule 706(1)(a). The required ages of majority are set out at the foot of Form 98.

5. An executor, within the jurisdiction cannot delegate the office by way of a Power of Attorney. See Re: Bell Estate [1929] 3 W.W.R. 68.

NOTE: Our Saskatchewan Court of Appeal in Re: Whitney Estate, [1971] 3 W.W.R. 175 at page 182 said that Re: Bell correctly states the law to be applied in this province.

6. On applications de bonis non the original grant must be surrendered to the court before a de bonis non application can be dealt with. If it cannot be located, then a court certified copy of the grant must be filed [see Rule 717(5)]. An affidavit should also be included explaining why the copy is being submitted.

7. On a de bonis non application where a Will is involved a copy of the Will must be exhibited to the Affidavit of the Applicant. (It may form part of the original grant). There must be an existing grant of Letters Probate or Letters of Administration in this jurisdiction before a de bonis non application can be entertained.

8. In all petitions the applicable pronouns should be used: i.e., Executor or Administrator - he

Executrix or Administratrix - she Corporate Executor - it

9. A good rule to follow when preparing material to be filed in court is to check the materials with the proper form in the Rules of Court. Remember - no precedent is worth following unless it is your own.


Saskatchewan: Bar Admission Program P - 25 Wills and Estates - Estate Administration Precedents - The Public Guardian and Trustee’s Involvement in the Transfer of Assets

The Public Guardian

Public Guardian and Trustee - Children Information regarding the role of the Public Guardian and Trustee may be found on the internet

through www.saskjustice.gov.sk.ca/PublicTrustee, clicking on “Children” in the list on the right

hand side of the page and following the links to the required information.

The information may also be accessed at the links indicated below:

1. Public Guardian and Trustee - Children: Information

www.saskjustice.gov.sk.ca/PublicTrustee/childreninfo.shtml

2. Certificate of No Infants

www.saskjustice.gov.sk.ca/PublicTrustee/childrencertificate.shtml

3. Affidavit for Certificate of No Infants (where there is a will)

www.saskjustice.sk.ca/PublicTrustee and click on “Forms” in the list on the right side of the page, and follow the links

4. Affidavit for Certificate of No Infants (where there is no will)

www.saskjustice.sk.ca/PublicTrustee and click on “Forms” in the list on the right side of the page, and follow the links

5. Consent

www.saskjustice.gov.sk.ca/PublicTrustee/childrenconsent.shtml

6. List of Fees (for Certificates, Consents, etc.

A complete list of fees may be found in the Public Guardian and Trustee Regulations. The Regulations are available on the Queen’s Printer website.


P - 26 Saskatchewan: Bar Admission Program Wills and Estates - Estate Administration

Precedents - The Public Guardian and Trustee’s Involvement in the Transfer of Assets



Saskatchewan: Bar Admission Program P - 27 Wills and Estates – Estate Administration Precedents – Sample Accounting

(PRELIMINARY DISTRIBUTION - SIMPLE ESTATE) IN THE ESTATE OF JOHN DOE, DECEASED Executor's Accounts from March 31, 1981 to February 4, 1983 (Preliminary Distribution)

Schedule I Assets and Liabilities at Date of Death and Dealings Therewith

Part I:

Assets at Death Value at Date of Death

1. Bank Accounts: Royal Bank Main Branch, Saskatoon

Chequing: $ 200.00 Savings: $ 7,000.00

- See items 1 & 2 in Receipts

2. 25 Shares in Massey Ferguson; Share Certificate 001 sold on July 2, 1982: $ 250.00 - See item 6 in Receipts

3. Lot 8, Block 9, Plan CE 5 Transmitted into name of executor; to be transferred to beneficiary: $60,000.00

4. Manulife Insurance Policy No. 1234; payable to the Estate: $15,000.00 - See item 3 in Receipts

5. 1978 Malibu Car $ 5,000.00 Given to Anne Doe on February 3, 1983

Part II:

Liabilities at Death Amount Owing 1. McKague Funeral Home

- paid April 15, 1982 $ 2,000.00

2. Royal Bank Visa $ 200.00



Precedents – Sample Accounting

Schedule II

Receipts in Smith & Company Trust Accounts 1. May 1, 1981 Royal Bank; transfer of chequing account $ 200.00 2. May 1, 1981 Royal Bank; transfer of saving account balance at death: $7,000.00 interest: 100.00 $ 7,100.00 3. Dec. 1, 1981 Manulife Insurance; payment on policy No. 1234 $15,000.00 4. Jan. 3, 1982 Montreal Trust; interest on investment of estate funds $ 100.00 5. Feb. 3, 1982 Montreal Trust; interest on investment of estate funds $ 80.00 6. Feb. 20, 1982 Richardson Securities; proceeds of sale of Massey Ferguson shares, less fees $ 225.00

$22,705.00


Saskatchewan: Bar Admission Program P - 29 Wills and Estates - Estate Administration Precedents – Sample Accounting

Schedule III

Statement of Investments 1. Guaranty Trust Co. Daily Interest Account, interest credited semi-annually to the account Date Investment Withdrawal Interest Balance

May 3, 1981 $7,000.00 $7,000.00 Apr. 10, 1981 $3,000.00 $4,000.00 Sept. 1, 1981 $100.00 $4,100.00 2. Montreal Trust; monthly term certificate automatically renewing; interest paid out to

Smith & Company at time of renewal Date Investment Withdrawal Interest Balance Dec. 2, 1981 $15,000.00 $15,000.00 Jan. 2, 1981 $ 2,000.00 $13,000.00 Jan. 2, 1981 ($100.00) $13,000.00 Feb. 2, 1981 ($100.00) $13,000.00



Precedents – Sample Accounting Schedule IV Part I: Assets & Liabilities Remaining A. Assets Remaining at Feb. 4, 1983

1. Guaranty Trust Daily Interest Account $ 4,100.00 2. Montreal Trust term certificate $13,000.00 3. Smith & Company trust account $ 376.00

$17,476.00 4. Lot 8, Block 9, Plan CE 5

B. Liabilities Remaining:

1. Balance of unpaid account to Smith & Company 2. Executor's Compensation

C. Trial Balance

Receipts $22,505.00 less: Disbursements 5,129.00 plus: Interest not yet received into trust 100.00

$17,476.00 Part II: Proposed Preliminary Distribution A. Amount available $17,476.00

Less: Holdback 7,476.00 To be distributed $10,000.00 B. Will directs an equal division between Anne Doe and Jane Doe. C. Proposed Preliminary Distribution:

Anne Doe: $ 5,000.00 Jane Doe: $ 5,000.00

$10,000.00


Saskatchewan: Bar Admission Program P - 31 Wills and Estates - Estate Administration Precedents – Sample Accounting (FINAL DISTRIBUTION - SIMPLE ESTATE)

IN THE ESTATE OF JOHN DOE, DECEASED

Executor's Accounts From Feb. 4, 1982 to June 30, 1982

(Final Distribution)

Schedule I Assets and Liabilities at Feb.4, 1983 and Dealings Therewith

Part I: Assets at Death Value at Feb. 4/82

1. Guaranty Trust Daily Interest Account, transferred $ 4,100.00 to Smith & Company trust account June 1, 1982 - See Schedule III

2. Montreal Trust term certificate; cashed in and $13,000.00 transferred into Smith & Company trust account on March 8, 1982 - See Schedule III

3. Smith & Company Trust Account; $ 376.00 holding funds available for distribution

4. Lot 8, Block 9, Plan CE 5; transferred into name $60,000.00 of Jane Doe on May 14, 1983

Part II:

Liabilities

1. Balance of unpaid account of Smith & Company $ 650.00

2. Executor's Compensation nil



Precedents – Sample Accounting Schedule II

Receipts

1. Total Receipts on Feb. 4, 1983 $22,505.00 (see previous accounts)

2. Mar. 3, 1982 Montreal Trust; interest on investment of estate funds $ 80.00

3. Apr. 3, 1982 Guaranty Trust Co.; interest on daily interest account $ 300.00

$22,885.00

Disbursements

1. Total Disbursements on Feb. 4, 1983 $ 5,129.00 (see previous accounts)

2. Mar. 15, 1982; Jane Doe, preliminary distribution $ 5,000.00

3. Mar. 15, 1982; Anne Doe, preliminary distribution $ 5,000.00

4. June 15, 1982; Smith & Company final account Fees: $645.00 disbursements : 5.00 $ 650.00

$15,779.00


Saskatchewan: Bar Admission Program P - 33 Wills and Estates - Estate Administration Precedents – Sample Accounting

Schedule III

Statement of Investments 1. Guaranty Trust Co. Daily Interest Account; interest credited to the account on a semi-

annual basis Date Investment Withdrawal Interest Balance Feb. 4, 1982 $4,100.00 Mar. 1, 1982 $150.00 $4,250.00 Mar. 4, 1982 $3,000.00 $7,250.00 June 1, 1982 $ 50.00 $7,300.00 June 1, 1982 $7,300.00 $ 0.00 2. Montreal Trust; monthly term certificate automatically renewing; interest paid out to

Smith & Company at time of renewal Date Investment Withdrawal Interest Balance Feb. 4, 1982 $13,000.00 Mar. 2, 1982 ($80.00) $13,000.00 Mar. 2, 1982 $13,000.00 $ 0.00



Precedents – Sample Accounting

Schedule IV Part I: Assets and Liabilities Remaining at June 30, 1984 A. Assets Remaining on June 30, 1983

Smith & Company Trust Account $ 7,106.00 B. Liabilities Remaining on June 30, 1983 nil

- no executor’s compensation being claimed C. Trial Balance

Total Receipts $22,885.00 less: Total Disbursements $15,779.00 $ 7,106.00

Part II: Proposed Final Distribution A. Amount available for Final Distribution: $7,106.00 B. Will directs an equal division between Anne Doe and Jane Doe. C. Proposed Final Distribution:

Anne Doe: $3,553.00 Jane Doe: $3,553.00

$7,106.00
