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WHAT ARE LETTERS OF ADMINISTRATION?

If a loved one passes away without leaving a will, it can be difficult to navigate the legal process of accessing their funds and assets. In New Zealand, this process is known as obtaining Letters of Administration. In this post, we’ll explain what Letters of Administration are and how they work.

What are Letters of Administration?

Letters of Administration are a legal document issued by the High Court of New Zealand that gives a person the authority to deal with the assets and liabilities of someone who has passed away without leaving a will (known as dying intestate). The person who is granted Letters of Administration is known as the administrator.

Why are Letters of Administration needed?

When someone dies without a Will and they have assets of more than $15,000 in one or more institution, then someone will need to be appointed to act on behalf of the estate (an administrator). This is where Letters of Administration come in – they give the administrator the legal authority to deal with the estate.

Who can apply for Letters of Administration?

The following people can apply for Letters of Administration in New Zealand and there is a priority of who can apply:

1. The spouse or de facto partner of the deceased
2. The child or children of the deceased
3. The parent or parents of the deceased
4. The brother or sister of the deceased
5. The nephew or niece of the deceased
6. The next of kin of the deceased

How do you apply for Letters of Administration?

To apply for Letters of Administration, you’ll need to fill out an application form and submit it to the High Court. The form will ask for information about the deceased, their estate, and the person who is applying to be the administrator. You’ll also need to provide a death certificate and pay a filing fee.

The steps involved:

1. Obtain a parental search
2. If your loved one was your parent, you will need to obtain signed consent notices from all of your parent’s biological and adopted children confirming they agree for you to obtain Letters of Administration
3. If your loved one was your spouse or de facto partner, you will need to sign a Notice of Choice confirming that you accept what you are entitled to under the Administration Act and not the Property (Relationships) Act.
4. Sign an affidavit
5. File an application, grant of application and the affidavit in the High Court.  There is a High Court fee of $200 which can be waived if you are a pensioner or WINZ beneficiary.
6. An order will be received from the High Court.

What happens after Letters of Administration are granted?

Once Letters of Administration are granted, the administrator will be responsible for dealing with the assets and liabilities of the deceased’s estate. This includes things like selling property, paying debts, and distributing the remaining assets to the beneficiaries of the estate.  The beneficiaries of the estate and how the assets are distributed is determined by the Administration Act 1969.

It’s important to note that the administrator has a legal duty to act in the best interests of the estate and its beneficiaries. They must follow the rules set out in the Administration Act 1969 and make decisions that are fair and reasonable.

If you need to apply for Letters of Administration, it’s important to seek the advice of a lawyer who specializes in estate matters to ensure that the process goes smoothly and that you fulfill your legal duties as an administrator.

At Caring Estates, we understand that the process of obtaining Letters of Administration can be overwhelming and confusing, especially during a time of grief. That’s why we offer a caring and compassionate approach to estate matters, with fixed fees, flexible hours, and a fast turnaround time. Hayley Boud can guide you through the process from start to finish, ensuring that you have the support and guidance you need to navigate this difficult time.  Caring Estates is here to support you every step of the way.