Ethical Considerations in Estate Planning: Navigating the Aftermath of Death
When someone passes away, they leave behind more than just material possessions. They also leave behind a legacy of values, beliefs, and aspirations that reflect who they were and what they cared about. As a personal representative or trustee, you have the important and challenging task of administering their estate in accordance with their wishes and the law.
But how do you ensure that you are doing the right thing for the decedent, their beneficiaries, and society at large? How do you handle the complex and sensitive issues that may arise during the estate administration process, such as conflicts of interest, disputes among heirs, tax obligations, or charitable giving? How do you avoid the pitfalls and risks that can lead to costly and time-consuming litigation, damaged relationships, or tarnished reputations?
The answer is simple: you need to adhere to the highest ethical standards and seek professional guidance from an experienced estate lawyer and other professionals. Estate administration is not a do-it-yourself project. It requires legal knowledge, financial skills, and ethical judgment. A mistake or a misunderstanding can have serious consequences for you and the beneficiaries.
What are the Ethical Principles of Estate Administration?
Estate administration is not just a matter of executing a will or trust. It is also a matter of ethics, morality, and justice. As a fiduciary, you have a legal and ethical obligation to act in the best interest of the decedent and their beneficiaries, and to comply with the court, legal, and controlling document requirements. This means that you must:
- Act with honesty, integrity, loyalty, and good faith.
- Respect and follow the decedent’s wishes, as expressed in their will, trust, or other estate planning documents.
- Protect and preserve the assets of the estate, and distribute them according to the decedent’s instructions and the law.
- Communicate and cooperate with the beneficiaries, creditors, and other parties involved in the estate administration process.
- Avoid any conflicts of interest, self-dealing, or favoritism that may compromise your impartiality or credibility.
- Seek professional advice and assistance when needed, especially in complex or contentious situations.
- Keep accurate and detailed records and accounts of your actions and transactions.
By following these ethical principles, you can ensure that you are fulfilling your fiduciary duties and responsibilities, and that you are honoring the decedent’s wishes and legacy. You can also reduce the risk of a will contest, a breach of trust claim, a family feud, or a court intervention, which can cause significant delays, expenses, and stress for everyone involved.