The firm is closely Associated with Global Asset Trustees Sdn Bhd. Global Asset Trustee as specialises predominately in Estate Administration and Trust Management in addition to WILL writing and drawing up Trustee documents. The benefit of having a trust company to administer an estate would be to ensure the interest of beneficiaries, some of whom may be minors, dis-abled or mentally challenged are protected. We provide legal advisory service and prepare and obtain all Court Orders to enable moveable and immoveable assets to be distributed to the rightful beneficiaries. Our services include: -
• Estate Planning / Will Drafting
• Preparation of Trust Deeds, and
• Administration of Estate
Upon the demise of a family member, if assets whether moveable or immovable are in his / her name, it will be in the interest of beneficiaries to distribute these assets expeditiously. Delaying this process can further complicate the Administration. There are numerous options available to administer an estate after death of the WILL-Maker.
If the estate consists of property and moveable assets below RM2,000,000.00 family members / beneficiaries have the option of referring the matter to the Land Administrator.
(see Small Estates (Distribution) Act 1955.)
If the estate’s total value consists of only moveable assets and is below RM600,000.00, family members / beneficiaries have the option of seeking assistance from Amanah Raya Berhad.
(see Public Trust Corporation Act 1995.)
If a WILL-Maker dies leaving a WILL, an application needs to be made to the High Court to obtain a Probate.
If a person dies without making a WILL, then an application has to be made to the High Court to obtain a Letter of Administration. An administrator, often a family member will be appointed to wind up the affairs of the estate and distribute the assets in accordance with the Law.
Our Department on Estate Management handles all applications for Probate and Letter of Administration.
Grant of Probate:
A probate is the process of verifying and registering the Last WILL of a Deceased person in the High Court of Malaya.
The Executor named in the WILL usually appoints Lawyers to the probate Grant of Probate.
Letter of Administration:
A letter of Administration is the process of obtaining an Order in Court to empower an individual appointed as administrator / Trustee to Administer the Estate of a Deceased and distribute the assets in accordance with the provision of the Distribution Act 1958.
Beneficiaries
Where there is a WILL, the beneficiaries under the WILL are those to whom the estate of the WILL-Maker has been gifted. Where there is no WILL then the distribution of the assets is governed by the Distribution Act 1958, excepting those professing the Muslim religion. In such a case, distribution and the right of succession are governed by the Islamic Law of distribution.
Intestate – No WILL | Entitlement |
Spouse and issue (Children) Spouse, issue and Parents Spouse only (No issue / Parent (s) Issue only (No spouse / Parent (s) Parent (s) only (No spouse / issue) Spouse and Parents (No issue) Issue and Parent (s) (No spouse) |
Issue 2/3, spouse 1/3 Issue ½, Spouse ¼, parent (s) 1/4 Spouse: Whole Estate Issue: Whole Estate Parent (s) : Whole Estate Spouse ½ : Parent (s) ½ Issue 2/3 : Parent (s) 1/3 |
In the event a person dies without making a WILL and without surviving spouse, child or parent, the following person (s) are entitled to the estate in accordance to priority: -
i) Brothers & Sisters
ii) Grand Parents
iii) Uncle & Aunts
iv) Great Grand Parents
v) Great Uncles and Aunts
vi) Government
(see Distribution Act 1958).
The Law
• Probate and Administration Act 1959
• Orders 71 & 72, Rules of Court to check
• Distribution Act 1959
• Small Estates (Distribution) Act 1955
• Inheritance (Family Provisions) Act 1971
• WILLs Act 1959
• Case Law
Documentation required for Court Order process
a. Original WILL (if available) / Details of witnesses
b. Original death certificate
c. Mykad of executor
d. Comprehensive and complete list of Assets and liability: -
• Copy of property Grant / Title
• Copy of vehicle Grant / Title
• Copy of all Bank Account Details and latest Bank Statements
• Copy of Share Certificates and Share Account Details
• Copy of all Life & General Insurance Policies
• Copy of all Loan Statements
• Any other relevant statements of Assets and Liabilities
e. List of All Beneficiaries
• Birth Certificates
• Marriage Certificates
• MYKAD / Passport
Estate Planning / Will Drafting
There are numerous basic WILL ‘kits’ available in the market to assist the average person prepare a WILL. Such kits work well if your assets and beneficiaries are minimal. For individuals who have substantial assets and liabilities (Properties, Loans, Company shares, vehicles, moveable Assets, etc ) and numerus beneficiaries, including minors as dependents, it is advisable for a comprehensive will to be drafted or alternatively for a Trust Deed to be drawn up. Instances where beneficiaries are either too old or reside overseas, the importance of choosing a reliable and trusted Administrator / Executor is imperative. We advise and assist with our clients to appointing a suitable Administrator / Executor / Trustee be it an individual or Trust Company.
Trust Deed
A Trust Deed passes your interest in Land listed shares and money and other properties forming the subject of the Trust to the Trustee. The Trustee is under a fiduciary duty to manage the trust assets strictly in accordance with the direction of the Trust grantor / settler as contained in the Trust Deed for the exclusive benefit of the beneficiaries.
Comparison
WILL or Trust
Estate Administration Upon the demise of a family member, if assets whether moveable or immovable are in his / her name, it will be in the interest of beneficiaries to distribute these assets expeditiously. Delaying this process can further complicate the Administration. There are numerous options available to administer an estate after death of the WILL-Maker. If the estate consists of property and moveable assets below RM2,000,000.00 family members / beneficiaries have the option of referring the matter to the Land Administrator. (see Small Estates (Distribution) Act 1955.) If the estate’s total value consists of only moveable assets and is below RM600,000.00, family members / beneficiaries have the option of seeking assistance from Amanah Raya Berhad. (see Public Trust Corporation Act 1995.) If a WILL-Maker dies leaving a WILL, an application needs to be made to the High Court to obtain a Probate. If a person dies without making a WILL, then an application has to be made to the High Court to obtain a Letter of Administration. An administrator, often a family member will be appointed to wind up the affairs of the estate and distribute the assets in accordance with the Law. Our Department on Estate Management handles all applications for Probate and Letter of Administration.
A WILL is an instrument by which the Will-Maker (Testator) gifts or gives his real and personal property to the beneficiaries named in the WILL.
The WILL becomes Operative upon the death of the WILL-Maker.
The WILL can be varied or revoked by the WILL-Maker at any time prior to his death.
A WILL is drawn up to avoid disputes amongst family members over the distribution of the WILL-maker’s assets after his/her death.
It is very important to make a WILL clearly stating how the WILL-Maker’s assets Choose an item. Are to be distributed after his / her death to avoid disputes arising after his /her death. Disputes ending up in litigation can be lengthy and costly.
A Trust is a three-party legal relationship. The first party (Trustor or Settlor or grantor) transfers a property or a sum of money upon the second party (the Trustee) for the benefit of the third party (the Beneficiary).
A Trust can be created during a person’s life-time and survives the Trustor’s death. The Trustee is given control over the assets left in the Trust.
Although the Trustee has control over the Trust, the beneficiaries are the ones who actually get to receive the Trust’s assets and benefit
A trust can specify how the assets are to be used and when the assets can be passed to the beneficiary.
A probate is not necessary for the distribution of the assets.
The Trustee is in a fiduciary relationship with the Beneficiaries. Hence, a Trustee can be held responsible and accountable for acts of misconduct and failing to act strictly in accordance with the terms of the Trust Deed.
A Trust will terminate as provided for in the Trust Deed.