With Great Power Comes Great Responsibility: Your Powers as an Estate Representative and How to Use Them

After a loved one passes away, you may be appointed by the court to serve as a

representative (referred to as an “executor” in New York) of their estate. As a fiduciary, you are held to the highest legal standard of care and must manage the deceased’s assets with prudence, diligence, impartiality, and loyalty. Below, we outline the key powers and responsibilities that come with this important role.

Fiduciary Powers

As an executor, you are granted powers that enable you to manage and administer the estate. These powers generally include:

• Locating, securing, and managing all estate assets, such as real property, bank accounts, securities, and personal property.

• Distributing specific gifts to the named beneficiaries as outlined in the will.

• Paying outstanding debts, expenses, and taxes owed to the government.

• Preparing and filing necessary legal and financial documents, such as court forms, tax returns, and contracts for transferring or selling estate property.

• Hiring professionals—such as an attorney or an accountant—to assist with legal, financial, or tax-related aspects of administration.

• Representing the estate in legal matters, including defending or initiating lawsuits when required.

  
  

How Can I Become an Ideal Estate Representative?

Following the below measures will help you administer the estate successfully.

• Know the full scope of your powers. To understand your authority and limitations as an estate representative, thoroughly review the will and the court order that appointed you. Your powers can vary greatly by jurisdiction, so familiarize yourself with your state’s rules.

• Make impartial, reasonable decisions that prioritize the estate. You are responsible for maintaining another person’s property with diligence, care, and loyalty. Avoid decisions that may: (1) primarily benefit you or those affiliated with you; (2) intentionally or carelessly reduce the value of estate property; or (3) harm the estate beneficiaries.

• Pay the estate’s debts. The deceased had likely incurred unpaid expenses prior to their death, such as medical bills, bank loans, and credit card bills. It is the executor’s responsibility to pay debts before distributing any assets to the beneficiaries. For example, in New York, creditors must file claims within seven months after Letters of Testamentary are issued. If you distribute assets before satisfying debts, you may be held personally liable.

• Do not engage in self-dealing. Using your powers to serve your own interests—such as transferring estate property to yourself or charging excessive fees—violates your fiduciary duty and exposes you to legal risk. Some wills or trusts may allow limited self-dealing, such as purchasing property at fair market value. Even in those cases, always consult an attorney and communicate openly with beneficiaries.

• Communicate consistently with beneficiaries. If the estate’s beneficiaries do not trust you, they are more likely to challenge your representative actions, making it harder for you to effectively perform your duties. To create and maintain trust, talk to them about your desired courses of action, explain why they’re within your powers and best for the estate, and give them a reasonable opportunity to respond.

• Acquire professional help. Estate representative’s specific duties are complicated,

  extensive, and highly individualized, which can be difficult to traverse even if you have a legal or financial background. Don’t hesitate to consult attorneys, accountants, or other professionals to ensure you meet your obligations accurately and efficiently.

  
  

Fulfilling your role as an estate representative can be challenging. It requires careful

organization and a clear understanding of your responsibilities. While the process can feel overwhelming, you don’t have to navigate it alone. Our office is here to support you every step of the way. Contact us today to schedule an appointment and gain the guidance you need to carry out your duties with confidence.