Introduction
In New South Wales, joint administrators manage a deceased estate and carry the same rights, liabilities and accountability as an executor under Section 74A of the Probate and Administration Act 1898 (NSW) (‘Probate and Administration Act’). The central issue is whether one administrator can act alone when the other does not agree, particularly for decisions involving estate assets, debts, payments or distribution.
As a general rule, joint administrators are expected to work together, communicate openly and protect the estate; otherwise, unilateral decisions may create mistrust, delay and personal liability for financial loss. This article covers decision-making authority, estate records, dispute options, key documents and the value of independent legal advice.
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Are you a joint administrator of a deceased estate in NSW?
Do you and your co-administrator agree on the proposed estate decision (e.g., payment, sale, distribution)?
Has one administrator already acted alone (e.g., made a payment, signed a document) without the other’s approval?
✅ Joint Agreement: You Can Proceed
Both joint administrators must agree on significant estate decisions. As you are acting together, you are fulfilling your legal duties under Section 74A of the Probate and Administration Act 1898 (NSW). Keep clear records of your discussions and approvals to protect both administrators.
Legal Reference: Section 74A of the Probate and Administration Act 1898 (NSW)
Get Wills & Estate Legal Advice⚠️ Disagreement Detected: Seek Mediation or Legal Advice
Joint administrators must make decisions together. Acting alone can create mistrust and personal liability for financial loss. Consider professional mediation or seek legal advice to resolve the dispute. Section 66 of the Probate and Administration Act 1898 (NSW) allows for court intervention if agreement cannot be reached.
Legal References: Section 74A & Section 66 of the Probate and Administration Act 1898 (NSW)
Speak to a Lawyer About Estate Disputes❌ Unilateral Action: Risk of Personal Liability
If a joint administrator acts alone without the other’s approval, they may be personally liable for any financial loss to the estate or beneficiaries. This can lead to mistrust, disputes, and potential court action. Immediate legal advice is recommended to protect your interests and rectify the situation.
Legal Reference: Section 74A of the Probate and Administration Act 1898 (NSW)
Speak to a Lawyer About Unilateral Estate Actions⚖️ Sole Administrator: You May Act Alone
As the sole administrator, you may make estate decisions independently, provided you comply with your fiduciary duties and the requirements of the grant. Keep detailed records and seek legal advice if you are unsure about your obligations.
Legal Reference: Section 74A of the Probate and Administration Act 1898 (NSW)
Get Wills & Estate Legal Advice⚠️ Unsure of Your Role? Get Clarity
If you are unsure whether you are a joint or sole administrator, review your grant of administration or seek legal advice. Understanding your legal status is essential to fulfilling your duties and avoiding personal liability.
Legal Reference: Section 74A of the Probate and Administration Act 1898 (NSW)
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What Authority Do Joint Estate Administrators in NSW Have?
The Legal Duties of Joint Administrators
As stated above, under Section 74A of the Probate and Administration Act, an administrator has the same rights and liabilities as an executor and is accountable in the same way, subject to any limits set out in the grant of administration.
Accordingly, joint administrators must manage the deceased estate, identify and protect its assets, pay its debts and expenses, and distribute the property in accordance with the applicable Will or the intestacy rules.
Administrators also owe a fiduciary duty to act impartially and in the best interests of the estate. This means avoiding conflicts of interest and treating beneficiaries fairly. In particular, an administrator who is also a beneficiary must not use the role to obtain an unfair personal advantage.
The Requirement to Work Cooperatively
Beyond their individual duties, joint administrators are expected to share information and make estate decisions together. Each administrator should be consulted before significant steps are taken, including decisions about:
- estate assets;
- liabilities;
- professional advice; and
- distributions.
In that regard, a unilateral decision can create mistrust and may expose an administrator to personal liability if the estate or beneficiaries suffer financial loss. Maintaining clear communication, discussing proposed decisions early and keeping written records can help prevent disagreements from affecting the administration of the estate.
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Do Both Administrators Need to Approve Payments & Sign Documents?
Joint Management of Estate Assets & Liabilities
In line with this, joint administrators are expected to make estate decisions together, including decisions about payments, liabilities and legal documents. Above all, before funds are distributed, both administrators should agree on:
- outstanding debts, tax liabilities and creditor claims; and
- whether professional advisers should be engaged.
One administrator should not make unilateral decisions or withhold information about estate finances. A failure to consult the other administrator may create mistrust and expose an administrator to personal liability for financial losses caused by failing to fulfil their duties.
An Everyday Example of Joint Decisions
To illustrate, consider a case where an estate includes a house and limited cash. In this scenario, one administrator wants to sell the property quickly to pay debts and distribute the estate, while the other wants to hold it in expectation of a higher market value.
In either case, the decision affects the estate’s debts, beneficiaries and available funds. Both administrators should discuss the evidence, agree on the approach and approve the relevant transaction and documents. If they cannot agree, acting alone may deepen the dispute and delay administration.
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How Should Joint Administrators Record Estate Decisions?
The Importance of Clear & Transparent Communication
As a starting point, joint administrators should share estate information promptly and discuss proposed decisions before action is taken. Making executive decisions without consulting the co-administrator can create mistrust and conflict.
To that end, written updates can help establish:
- what has been discussed;
- what has been agreed; and
- what remains unresolved.
In addition, important communications should be retained with the estate records, including messages about assets, liabilities, proposed payments and distributions.
The Need for Comprehensive & Accurate Records
Alongside regular communication, joint administrators should keep detailed records of the estate’s administration. These records can reduce financial misunderstandings and help respond to allegations of mismanagement.
At a minimum, records should include:
- communications between the administrators;
- written decisions and approvals;
- receipts and invoices; and
- estate bank transactions.
Each administrator should have access to the same records. The records should also identify the date, amount and purpose of each payment or transaction.
Furthermore, Section 85 of the Probate and Administration Act also requires an inventory and accounts to be filed and passed where so required by the Court or the rules.
Deceased Estate Document Checklist
To support this process, a deceased estate document checklist helps administrators identify the information needed to manage and record the estate. Relevant documents may include:
- the original death certificate;
- the original Will;
- beneficiary contact details;
- recent bank and term deposit statements;
- property documents, including insurance policies, mortgage records and leases;
- investment, superannuation and income records;
- outstanding accounts, rates, levies and funeral receipts; and
- tax returns, assessment notices and available income information.
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What Happens if the Administrators Disagree?
Common Causes of Disputes Between Administrators
Despite these precautions, disputes between administrators can arise from different views about how estate property should be managed or distributed. Common sources of conflict include:
- different opinions about asset valuations or whether property should be sold;
- personal tensions between family members or other administrators;
- a conflict of interest where an administrator is also a beneficiary; and
- poor communication, including decisions made without consulting the other administrator.
Notably, an administrator who is also a beneficiary may be concerned with the effect of a decision on their own inheritance. For example, delaying the sale of estate property to seek a personal advantage can create mistrust and disagreement with the other administrator.
The Role of Professional Estate Mediation
Where a dispute arises, professional estate mediation provides a confidential and structured way for administrators to discuss a dispute with help from an independent third party. Unlike a judge, the mediator does not decide the outcome but assists the administrators in negotiating a practical compromise.
As a result, mediation can be a cost-effective alternative to court proceedings where both administrators are willing to communicate and consider the estate’s interests. It may help resolve disagreements about:
- asset values and proposed sales;
- estate expenses and liabilities; and
- the timing or method of distribution.
Supreme Court Intervention for Deadlocked Estates
A persistent disagreement may require an application to the Supreme Court of NSW, particularly where administration has stalled or estate assets are being mismanaged; in those circumstances, probate and estate administration lawyers for disputed or stalled estates can help clarify the available options.
Under Section 66 of the Probate and Administration Act, a person interested in the estate may apply, if the relevant conditions are met, for the following:
- the administration to be revoked;
- a further bond to be required; or
- the administrator to be removed and replaced.
The Supreme Court of NSW may also be asked to address conduct such as:
- severe unreasonable delay;
- refusal to perform administrative duties; or
- mismanagement of estate property.
Court intervention can affect the administrator’s role and may add costs and delay to the estate administration.
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When Should Joint Administrators Obtain Legal Advice?
Clarification of Legal Rights & Fiduciary Duties
Joint administrators should seek independent legal advice when they are uncertain about their duties, disagree about an estate decision, or suspect that the other administrator has a conflict of interest. An experienced wills and estate planning lawyer can explain each administrator’s legal rights and responsibilities and help address disagreements before they delay the estate.
As noted above, Section 74A of the Probate and Administration Act gives an administrator the same rights, liabilities and accountability as an executor, subject to the limits of the grant. Legal advice can help administrators understand how that responsibility applies to the estate’s assets, debts and proposed distributions.
Specific Next Steps for Deadlocked Administrators
Administrators facing an impasse should first gather:
- the grant of administration;
- the Will or intestacy documents;
- the estate accounts;
- written communications; and
- details of the disputed decision.
These materials allow a solicitor to assess the position and identify an appropriate path, such as further communication, mediation or an application to the Supreme Court of NSW.
For tailored guidance about an administrator dispute, contact LawBridge. LawBridge’s lawyers can review the circumstances, explain the available options and assist with taking practical steps to move the estate administration forward.
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Conclusion
Joint administrators should make significant estate decisions jointly, keep complete records and act impartially for the benefit of all beneficiaries. When disagreement arises, mediation, independent legal advice or Supreme Court intervention may help resolve the impasse and prevent further delay.
When estate administration cannot progress, contact LawBridge’s probate and estate administration lawyers for tailored legal guidance. LawBridge’s lawyers can review the grant of administration, Will, estate records and disputed decision, then explain practical options for resolving the dispute or seeking court orders. Early advice may help clarify each administrator’s responsibilities and support the orderly administration of the estate.