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Getting personal

Disputes about PRs' costs are on the rise despite best practice advice being endorsed by the Court of Appeal ten years ago, says Lloyd Junor

24 October 2013

Costs incurred by the personal representatives (PRs) for work in non-contentious administration, where the residuary beneficiaries want to challenge the costs on account of how much they reduce residue, is a growing area of dispute.

So, here is what beneficiaries should do to avoid the risk:

  • The beneficiaries must seek the court's discretion to assess costs. Previously, any application to challenge the PRs' costs had to be made under section 71(3) of the Solicitors Act 1974, i.e. by a third party (the residuary beneficiary) being a person interested in the property about which the bill ?will be paid.

  • In light of Tim Martin Interiors Ltd v Akin Gump LLP, the procedure is to first make an application in the High Court for the executors to provide an account of their dealings with the estate as...

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