When someone passes away, their estate doesn’t automatically distribute itself. Michigan law requires an executor to handle the estate affairs. However, not every executor fulfills their responsibilities properly. Some might delay necessary filings, mismanage funds, or even act against the best interests of the estate. When that happens, beneficiaries often wonder what happens if an executor fails to act and what can be done to protect their rights and interests.
- What Duties Michigan Executors Are Required to Perform
- Warning Signs an Executor Is Not Fulfilling Their Role
- Legal Consequences for Executor Misconduct in Michigan
- How Beneficiaries Can Hold Executors Accountable
- Why You Need a Michigan Probate Lawyer for Executor Disputes
Let our local Muskegon attorney discuss what executors are required to do, the warning signs that suggest executors are not fulfilling their role, and the legal actions you can take to hold them accountable.
What Duties Michigan Executors Are Required to Perform
An executor, also called a personal representative in Michigan, is the individual appointed by the probate court to administer the estate of a deceased person. The executor might be named in the will, or if there isn’t one, the court can appoint someone, typically a close family member, trusted friend, or another qualified individual.
Executors are legally obligated to inventory the estate assets, identify and pay valid debts, manage estate funds, and distribute the remaining property to rightful heirs or beneficiaries. These representatives must keep accurate records of all transactions and ensure that taxes and administrative expenses are handled properly.
Michigan law recognizes that executors hold a fiduciary relationship with the estate and its beneficiaries. That means executors, as fiduciaries, must act with undivided loyalty, remain impartial between heirs and beneficiaries, exercise prudence in managing estate assets, and keep those assets separate from their own.
In other words, an executor must always act in the best interests of the estate, not themselves. Executors are expected to make decisions carefully and communicate transparently with beneficiaries. When an executor disregards these duties, it can lead to serious consequences, including civil lawsuits against the executor.
Warning Signs an Executor Is Not Fulfilling Their Role
Most executors take their role seriously, but some fall short, either through neglect, incompetence, or intentional misconduct. Recognizing the warning signs can help you preserve your inheritance and the integrity of the estate.
Failure to File Documents
Probate requires the timely filing of several documents, such as the petition for probate, the inventory of assets, and periodic accountings. If the executor fails to submit these documents on time or at all, it might indicate neglect or deliberate avoidance of their responsibilities. Delays in paperwork can stall the entire probate process.
Missing Deadlines
Executors must adhere to deadlines for notifying creditors, paying taxes, and distributing assets. Repeatedly missing these deadlines can cause financial harm to the estate, such as penalties, interest charges, or even loss of assets. Such a behavior can be a sign that the executor is overwhelmed or acting irresponsibly.
Poor Communication
Executors are expected to keep beneficiaries informed. If the executor avoids calls, ignores emails, or provides vague answers regarding the estate, it’s a sign that something might be wrong. Transparency is part of their fiduciary duty, and withholding information often signals mismanagement or concealment of essential facts.
Mismanagement of Assets
An executor must handle the estate assets with care and good judgment. Signs of mismanagement include unexplained withdrawals, lost property, unpaid bills, or neglect of estate assets. Even honest mistakes, such as failing to insure property or missing tax payments, can still harm the estate and be considered a breach of duty.
Conflicts of Interest
Perhaps the most serious breach occurs when an executor uses their position for personal interest. Examples include living in estate property without permission, paying personal expenses from estate funds, or selling assets to themselves at below-market value. Such actions of an executor violate the fiduciary duty of loyalty.
Legal Consequences for Executor Misconduct in Michigan
If an executor commits any act that constitutes a breach of fiduciary duty, the probate court has the authority to suspend or remove the executor entirely. Once removed, the court can appoint a new executor or successor personal representative to take over and restore order to the probate process. That ensures the estate continues to move forward without further delays or harm to the beneficiaries.
Beyond removal, a negligent or dishonest executor might be held personally liable to interested persons for any damage or loss caused. For example, if an executor sells estate property below market value or allows assets to depreciate, the executor can be required to compensate the estate out of their own pocket. The court can further impose penalties or order the executor to cover the litigation costs.
How Beneficiaries Can Hold Executors Accountable
If you’re a beneficiary and suspect that an executor is acting improperly or failing to act at all, it’s best that you take action early to prevent damage to the estate and help move the probate process forward. Here’s what you can do to ensure accountability and protect your interests:
Request Information
Beneficiaries have the right to ask for estate inventories, financial accountings, and regular status updates. These documents clearly show how assets are being managed and what expenses or distributions have occurred. If an executor refuses to provide that information or gives incomplete or confusing responses, that alone can raise concerns.
Gather Evidence
Gather evidence of mismanagement or misconduct, including bank records, property records, unpaid bills, or written communications showing misleading statements. Even refusal to respond can support a claim that the executor is not acting responsibly. Keep organized records to strengthen your position if court involvement becomes necessary.
File a Petition
If informal efforts fail, beneficiaries can file a petition with the probate court. Through the petition, you can ask the probate court to review the conduct of the executor and, if necessary, take corrective action. The court can compel the executor to provide relevant documents, order them to repay misused funds, or even remove the executor from their position.
Hire an Attorney
Working with a Muskegon attorney can make the process far less stressful. A probate lawyer understands Michigan court procedures, knows what evidence matters, and can help you pursue the right legal remedies without unnecessary delays. With the right legal support, you can ensure the estate of your loved one is properly managed.
Why You Need a Michigan Probate Lawyer for Executor Disputes
If you’re concerned about what happens if an executor fails to act and how you can hold them accountable, Bowen Hoogstra Law is here to provide the legal guidance and representation you need. Our competent Muskegon attorneys can help you understand your rights, explain your options, and take the proper legal action to protect the legacy of your deceased loved one. Contact us today at (231) 726-4484 or here to schedule a consultation.