Estate Administration

Deceased's company left in complete limbo by failure to allow appointment of directors.

 

The executors of the late Russell Price have had to apply to the England and Wales High Court to get themselves appointed as directors of his company and at their own cost initially.

Price was the company's sole owner and director, and there was no provision in his will or the company's articles for any directors to be appointed on his death.

The matter could not wait for probate, because the company's bank account had been frozen and it needed to carry on doing business.

Matthews HHJ accordingly agreed to an order to appoint the executors, against their undertaking to apply for probate as soon as possible and pay the required inheritance taxes, if necessary from their own resources (Williams v Russell Price Farm Services, 2020 EWHC 1088 Ch).

This is a stark reminder why business owners should check their articles of association to ensure continuance of their business following their death, draft a Will and put in place a Lasting Power of Attorney for Property and Finance appointing someone to stand in for them regarding their business decisions if they are incapacitated.

Don’t put it off any longer – give Thy Will Be Done a call on 0800 668 11 64 or see more here

http://www.thywill.co.uk/business-lasting-power-of-attorney.html