Understanding the Difference Between Letter of Administration and Grant of Probate
When a person passes away, managing their estate requires legal authorisation from the Honourable Courts. This authorisation is granted through two distinct legal documents: a Grant of Probate or a Letter of Administration. While both serve the purpose of asset distribution, they apply to completely different scenarios based on whether the deceased left a valid will.
Grant of Probate
A Grant of Probate is issued when the deceased passed away leaving a valid will (known as dying testate).
The Executor: The will explicitly names a trusted person or institution, known as the executor, to manage the deceased person's estate.
The Process: The executor applies to the court to validate the will and to grant them legal power to manage the assets.
Asset Distribution: Once granted, the executor distributes the bank accounts, properties, and personal belongings strictly according to the specific instructions outlined in the will.
Letter of Administration
A Letter of Administration is required when the deceased passed away without leaving a valid will (known as dying intestate).
The Administrator: As no executor was appointed by the deceased, the court must appoint a suitable person, typically the closest next-of-kin, known as the administrator.
The Process: Since there is no will to guide the court, the application process often requires extra administrative steps, such as obtaining administration bonds to guarantee proper estate management.
Asset Distribution: The administrator does not choose how to divide the property. Instead, assets are strictly distributed according to Distribution Act.
Ultimately, a Grant of Probate honours the explicit final wishes of the deceased, whereas a Letter of Administration relies on statutory laws to settle the estate.