How Do I Select an Executor? Considerations When Selecting an Executor
A recent New York Time article highlights some of the complexities of selecting an estate’s executor, Sendak’s Estate: Debating Where the Things Go. The article examines the estate of Maurice Sendak, author of “Where the Wild Things Are”, and its management by its executors. While Sendak’s estate is rather large and complex, the issues associated executor management of an estate can impact estates of any size.
In accordance with his estate plan, Mr. Sendak’s estate has several executors. As one of the executors of his estate worth “tens of millions of dollars”, Mr. Sendak selected his close confidant and longtime caregiver. While this may not be problematic in a number of situations, the Times article highlights that the complexities associated with an estate of this size may exceed the capabilities of a lay-person. These complexities may require professional expertise that can suitably implement a person’s last wishes while ensuring that estate assets a managed in a way that does not negatively impact their value.
Many estates may not reach the size of Mr. Sendak’s but careful consideration of an executor should take place regardless of the estate size. While one may think that their closest relation is the most suitable executor, one must consider the duties associated with executorship and ask appropriate questions.
Will the person appointed as executor be able to manage my affairs in the event of my passing when they may be under mental and emotional strain? Are the generally organized to be able to marshal my assets and contribute to the management of my estate? Will that person be comfortable dealing with potential court filings and creditor claims?
Regardless of who is selected as an executor, they will have a fiduciary duty to the estate. Simply put, this fiduciary duty requires that an executor place an estate’s interest ahead of their own when managing the estate’s affairs. This rule ensure that estate assets are preserved as much as possible and that, ultimately, the estate beneficiaries receive what is due to them.