Rights of an Estate Beneficiary to Sue an Executor

In Arizona, a personal representative (or executor) is responsible for managing and settling a deceased person’s estate. The executor must fulfill their duties ethically and follow Arizona probate laws. When an executor engages in willful misconduct and causes financial harm, the estate’s beneficiaries may have the right to take legal action. If you believe an executor mismanaged an estate, Pennington Law, PLLC can help you pursue justice and accountability.

Our experienced estate litigation lawyers can review your situation and explain the process of suing an executor of an estate. You have rights as a beneficiary — and our Arizona legal team can help enforce them with skilled advocacy, strategic planning, and intelligent legal representation. Contact Pennington Law, PLLC today for a free consultation.

When Can a Beneficiary Sue an Executor?

A beneficiary may have a legal claim if an executor commits a breach of fiduciary duty, engages in misconduct, or fails to follow the terms of the decedent’s probated will. A valid claim must also show that a beneficiary has incurred some loss due to the personal representative’s conduct, such as receiving a smaller inheritance due to the misappropriation or mismanagement of estate assets.

Common Grounds for Suing an Executor

Some of the most frequent reasons why an estate beneficiary might sue an executor include:

  • Misappropriation of estate assets for personal gain – Charging excessive administration fees or transferring estate assets to their own account are two examples of executor misconduct.
  • Mismanaging estate assets – For instance, an executor may fail to maintain property owned by the estate, diminishing its value, or make risky investments that jeopardize estate assets.
  • Failure to file tax returns or remit estate taxes – These omissions can result in penalties and interest paid from estate assets.
  • Failure to provide accountings of the estate’s finances upon request – This is a basic responsibility for any personal representative.
  • Misuse of estate financial opportunities – For example, an executor may improperly sell estate-owned shares of a valuable company to themselves at a discounted rate, thereby benefiting personally at the expense of the estate and its beneficiaries.
  • Favoritism – Giving preferential treatment to particular beneficiaries when not directed by the decedent’s will or prioritizing individual interests over the estate’s best interests may constitute executor misconduct.
  • Paying baseless creditor claims – Making payments to a creditor without first verifying the validity of the debt reflects negligence on the part of the personal representative.
  • Failing to seek professional assistance – This could apply if the executor took ill-advised actions without seeking counsel from attorneys, accountants, or financial advisors.
  • Ignoring the will – A personal representative cannot disregard the express terms of the decedent’s will when distributing assets.
  • Delayed asset distribution – If the executor takes an unreasonable amount of time to distribute inheritances, you could have a case against them.

What Constitutes a Breach of Fiduciary Duty?

Under Arizona law, a personal representative owes fiduciary duties to the estate. They must settle and distribute a decedent’s estate per the terms of their probated will and state law as expeditiously and efficiently as possible, consistent with the estate’s best interest. A personal representative’s fiduciary duties include:

  • Duty of good faith – A personal representative’s duty of good faith requires them to act in the estate’s best interests. Personal representatives must avoid actions that benefit themselves or third parties at the expense of the estate.
  • Duty of diligence – A personal representative’s responsibilities to the estate require them to act diligently and reasonably. Although a personal representative does not need to make perfect decisions, they must take steps to inform themselves of sufficient facts to make a reasonable decision, including seeking professional advice for complex matters.
  • Duty of impartiality – Personal representatives must act without bias toward all the estate’s beneficiaries. An executor or administrator may not favor one beneficiary over another unless directed by the decedent’s probated will.

How to Sue an Executor

Proving that an executor breached their fiduciary duties, mismanaged estate assets, or engaged in misconduct will require persuasive evidence. Examples may include:

  • A copy of the decedent’s probated will
  • Emails, text messages, and other written correspondence between the personal representative and beneficiary(s)
  • The decedent’s financial records from before their death, which may identify estate assets and their values
  • Estate accountings
  • Estate tax returns
  • The executor’s financial records, which may provide evidence of misappropriation of estate assets

As a beneficiary, you have a limited time to sue an executor in Arizona. The deadline to file your claim depends on the nature of your claim and can range from a few months to a few years. Speak to an attorney as soon as you discover an executor’s possible misconduct to learn the timeline for your case.

Potential Outcomes of Suing an Executor

An estate beneficiary can obtain various kinds of relief in a lawsuit against a personal representative. For example, when a beneficiary files suit due to the lack of an accounting, the court may issue injunctive relief ordering the executor to provide an accounting by a specific deadline. If the executor misses the deadline, they may face contempt of court.

If an executor allegedly misappropriates assets from the estate, a beneficiary may obtain a court order directing the executor to return the assets to the estate. For most forms of misconduct or breaches of fiduciary duty, a beneficiary can also ask the court to remove the executor and appoint a new one.

Finally, a beneficiary may obtain financial compensation for themselves or the estate for losses caused by the executor’s misconduct or mismanagement.

Why You Need an Estate Litigation Lawyer

Taking action against a personal representative can involve complex facts and legal issues. An attorney can help you by investigating your claims and developing a compelling case to hold an executor accountable for their actions.

At Pennington Law, PLLC, our experienced Arizona estate litigation lawyers will:

  • Investigate your complaints against the executor, including reviewing the decedent’s will, court records, and accountings
  • Evaluate the facts and evidence to determine whether you have a viable claim
  • Manage filing deadlines
  • Fiercely advocate on your behalf for a fair result that achieves your goals

Contact Our Arizona Estate Litigation Attorneys Today

Did you experience financial losses due to a personal representative’s misconduct or mismanagement of your loved one’s estate? Don’t let their actions go unchecked. Contact us today for a confidential consultation with an estate administration attorney.