Assignment 3 e-Portfolio on Topic 13 & 14 (255843)

GLUP 4183 Law of Succession & Probate TOPIC 13 ADMINISTRATION OF SMALL ESTATE MORGAN PHRASADDHA NAIDU PUSPAKARAN 255843 DR 'AIN HUSNA BT MOHD ARSHAD

Introduction The Estate Distributor Division deals with the procedures relating to the administration of a WHAT IS ADMINISTRATION OF SMALL ESTATE? small estate which is governed by the Small Estates (Distribution) Act 1955 (SEDA). Small estate refers to an estate of a deceased person consisting wholly or partly of immovable property situated in any state and not exceeding two million ringgit in total value - Section 3(2) SEDA.

Petition for the Distribution of A Small Estate Petition for the distribution of a small estate may be made according to Section 8 SEDA. Person who are entitled to lodge petition with the Land Administrator (Section 8(1) SEDA): penghulu/Settlement any person claiming to be Officer of district or interested in the the Corporation of locality in which a purchaser a creditor estate as a land of which beneficiary deceased was proprietor is situated

Petition for the Petition must be in Form A (SEDA) attached with Distribution of A evidence of the deceased’s death and all copies of Small Estate the documents relating to the deceased’s estate. Land Administrator shall upon receipt of the application, give notice to the principal registry of the High Court – Section 8(3) SEDA. The principal registry shall cause a search to be made for any previous application in respect of the estate of the deceased person. Result shall be served within a period of one month. If there exists a previous petition, Land Administrator shall stay all proceedings. If no previous petition, Land Administrator shall determine whether estate is small or not. If estate is not small estate, Land Administrator shall transfer petition to High Court. If estate is a small estate, Land Administrator shall deal with petition in accordance with Section 4(2) SEDA.

The Land Administrator having jurisdiction may forthwith proceed with the proceeding for the hearing and determination in distributing the small estate: Notice of the petition, date and place of hearing - Section 9 SEDA. Land Administrator ‘s has power to summon and examine witnesses, administer oaths or affirmations, and compel production and delivery of document - Section 11A SEDA. Hearing of petition for distribution - Section 12 SEDA. Collateral disputes - Section 14 SEDA. Proceedings for the Distribution

AT THE CONCLUSION OF THE HEARING, THE LAND ADMINISTRATOR SHALL MAKE A DISTRIBUTION ORDER WHICH INCLUDE THE PROVISION FOR THE PAYMENT OF ALL DEBTS, FEES , ESTATE DUTY AND THE RESPECTIVE SHARES OF BENEFICIARIES AS TO THE RESIDUE OF THE ESTATE. The order of distribution under SEDA can be made in the form of: a direct transmission to the beneficiary or any other person who is equitably entitled to the property. a grant of letters of administration. an order for sale. Order for Distribution of a Small Estate

Direct Transmission If the order relates to a direct transmission to the beneficiaries, the Land Administrator shall arrange for the order to be registered under Section 348 NLC in accordance with Section 16 SEDA. In relation to an infant beneficiary, the Land Administrator shall by his order, direct the share of such beneficiary in any immovable property to be registered in the name of a suitable person as trustee and shall enter a caveat to protect his interest during his minority in accordance with Section 13(2) SEDA. Where a person has proved his claim to be a purchaser of any registered land in the name of the deceased, the Land Administrator shall by his order, transmit the land to the purchaser. If, by the distribution order, a sum of money is payable to any person who whereabout is unknown, or he refuse to accept the money, or lacks of legal capacity, Land Administrator shall deposit the money with the Corporation in accordance with Section 16(3) SEDA.

Grant of letters of administration If the nature of the case requires, the Land Administrator shall instead of or in addition to making a distribution order, grant letters of administration to such person as he think fit. The grant of letters of administration may be made for the purpose of collecting and preserving the deceased’s assets or in cases of insolvent estates - Section 13(7) SEDA.

Order for Sale SECTION 13(1) SEDA Whenever necessary, the Land Administrator may by his order, direct that the whole or such part of estates to be sold for the purposes of paying the expenses, debts , fees and duties which are to be paid from the proceed of the sales. SECTION 15(4) (C) & (D) SEDA The order of sale shall normally be made in public auction or by tender among the beneficiaries and price must be equal to the market value.

Appeal Section 29 SEDA Right of appeal by any aggrieved person by any order, decision or act made or done by a Land Administrator - appeal to the High Court.

SUBSEQUENT APPLICATION Section 17 SEDA Subsequent application may be made to the Land Administrator where it becomes necessary to appoint a new trustee or a new administrator or to make any other or further order or to withdraw a caveat.

Application for Personal Reflection Distribution Distribution Order Executed Jurisdiction? Stay all Distribution Distribution Proceedings Order Order Executed Transfer Previous Appeal? Hearing Application? Hearing Hearing Collateral Order Disputes?

GLUP 4183 LAW OF SUCCESSION & PROBATE TOPIC 14 ADMINISTRATION BY CORPORATION MORGAN PHRASADDHA NAIDU PUSPAKARAN (255843) DR 'AIN HUSNA BT MOHD ARSHAD

Introduction Corporation has the role: to administer the deceased’s estate The administration of estate by the by way of summary administration Corporation is governed by Public Trust to act as a personal representative Corporation Act 1995. who may be appointed by the court to act on behalf of the deceased. The PTCA provides for the vesting of the property, rights and liabilities of the Public Trustee and Official Administrator in a Corporation called ARB.

Application Movable property total value does not exceed for Summary six hundred thousand ringgit- declaration order Administration – Section 17(1) PTCA. of Estate Movable property total value does not exceed fifty thousand ringgit- direction order – may require security as Corporation thinks proper for the due administration - Section 17(2) PTCA. Movable property total value does not exceed five thousand ringgit- estate of small value - Section 18(1) PTCA and administration must follow Section 17 PTCA. Where the Corporation is in opinion that the property is of no appreciable value or where its value is so small as to render impracticable the sale, the Corporation may direct the property to be destroyed or otherwise disposed of as think fits - Section 17(2)(c) PTCA.

APPLICATION FOR SUMMARY ADMINISTRATION OF ESTATE The application must be made by filling Once all necessary documents are submitted, in a standard form as provided by the the Corporation will proceed to confirm the Corporation - attached with other status of the beneficiaries as well as the relevant documents. assets and liabilities of the deceased - search at Principal Registry of the High Court.

Corporation as Personal Representative Probate of a will may be Corporation may apply to the granted to the Corporation when it is appointed to act as court to set aside the order an executor of a deceased’s estate - Section 13 PTCA. for the grant of letters of Corporation may also be administration in cases where appointed in place of executor - Section 14 PTCA. any the person granted failed to extract the letters of administration or neglect to furnish security within 3 months of the date of the In cases of delay, the grant of letters of administration grant - Section 15 PTCA. may be granted to Corporation - Section 81 PTCA.

Undistributed Fund UNDISTRIBUTED FUND MAY BE PASSED TO THE CORPORATION –S.86 PTCA SIMILAR PROVISION CAN BE FOUND IN SECTION 16 SEDA. THE LAW PROVIDES THAT LAND ADMINISTRATOR SHALL DEPOSIT A SUM OF MONEY WHICH IS PAYABLE TO ANY PERSON UNDER BY VIRTUE OF A DISTRIBUTION ORDER WITH THE CORPORATION IF: THE WHEREABOUT OF SUCH PERSON IS NOT KNOWN SUCH PERSON REFUSES TO ACCEPT PAYMENT OF SUCH SUM OF MONEY SUCH PERSON LACKS OF LEGAL CAPACITY OR FOR ANY OTHER REASON, IT IS NOT PRACTICABLE TO PAY SUCH SUM OF MONEY TO SUCH PERSON ADMINISTRATION OF UNDISTRIBUTED FUND IS GOVERNED BY SECTION 19 PTCA.

Personal Reflection Application for Does it Fall Transfer to Summary under ARB's High Court Jurisdiction? Administration Direction Order Does the Value Declaration Section 17(2) Exceed Order PTCA RM50,000? Section 17 PTCA

TEXTBOOKS REFERENCES THE LAW OF WILLS PROBATE ADMINISTRATION AND SUCCESSION IN MALAYSIA AND SINGAPORE (WITH CASES AND COMMENTARIES) PROBATE AND ADMINISTRATION LAW IN SINGAPORE AND MALAYSIA, FOURTH EDITION WEBPAGES https://www.studocu.com/my/course /universiti-utara-malaysia/law-of- succession-and-probate/3140444 https://www.companydebt.com/guide s/rescue-guides/a-company- directors-guide-to-company- administration/