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Big Mistakes Alberta’s Estate Executors Make & How to Avoid Them


Big Mistakes Alberta's Estate Executors Make & How to Avoid Them
A well‑crafted will is a gift to loved ones–but the executor who administers it can either honour that gift or turn it into a nightmare. In Alberta, personal representatives (formally called “personal representatives” under the Wills and Succession Act, RSA 2000, c W‑12) shoulder heavy legal duties. Overlooking details can cause financial loss, lawsuits, and emotional distress.

At Pivot Law, we’ve guided dozens of families through estate administration. Drawing on legal texts, peer‑reviewed studies, and Alberta statutes, this post highlights the most common executor missteps–and provides clear, actionable advice.  

1. Not Understanding the Probate Process

Mistake: Jumping into distribution before securing a Grant of Probate (or Administration) when required.   

Why it matters: Alberta law generally requires probate if the deceased held unjointed real estate or non‑registered investments. Executing distributions without this confirmation exposes the executor to potential invalid transfers and personal liability.   

The Norton Rose Fulbright guide (2023) lists validating the will via a formal process among the executor’s first steps.   

Avoidance tip: Assess all assets early. If real estate or substantial bank accounts are present, apply for probate within weeks. Failure to do so can invite creditor claims or legal challenges long after distributions.  

2. Ignoring Key Instructions in the Will

Mistake: Interpreting the will according to personal assumptions rather than legal terms.   

Why it matters: Legal phrasing like “per stirpes”, “in specie”, or “residuary clause” carries precise meanings. Misinterpretation can deprive heirs and invite litigation.  

“Failure to properly interpret the will resulting in a loss to one or more beneficiaries may lead to a claim and personal liability for the executor.” (advisor.ca) 

Avoidance tip: When doubts arise, consult your lawyer. Alberta courts will hold you to the terms as written–not your version of familial fairness.  

3. Poor Communication with Beneficiaries

Mistake: Falling silent for long stretches.  

Why it matters: Confusion breeds suspicion. A 2020 EstateExec survey found 44% of families experienced serious conflict due to lack of executor updates.  

Avoidance tip: Schedule quarterly updates–even a brief email stating status (“applying for probate”, “valuing property”, “tax returns filed”)–goes a long way in preserving trust.  

4. Mishandling Estate Funds

Mistake: Using estate funds for personal expenses or distributing before creditor clearance.  

Why it matters: These constitute breaches of fiduciary duty. Courts in Alberta and beyond have held executors personally liable when estate funds were misapplied.  

“Executors sometimes mishandle or misappropriate Estate funds… It’s important… never borrow or otherwise use Estate funds for your own purposes.”  

Avoidance tip: Open an estate bank account and strictly segregate estate transactions. Maintain clear records and receipts.  

Moreover, when beneficiaries have conflicting interests or disagreements regarding the distribution of assets, it can delay the probate process and strain relationships. Here are key considerations and strategies to effectively manage and resolve disputes:
5. Disbursing Funds Too Early

Mistake: Paying beneficiaries before paying debts, taxes, or obtaining a Tax Clearance Certificate from CRA.  

Why it matters: CRA mandates clearance; otherwise, executors can be personally responsible under Income Tax Act for unpaid taxes.  

Truth in numbers: Around 2‑3% of estates in Alberta settle disputes over early payouts yearly, according to Lypkie Henderson’s 2025 report.  

Avoidance tip: Wait until after estate income/deceased returns are filed, debts addressed, and CRA clears your executor liability–before any distributions.  

6. Inadequate Asset Inventory & Valuation

Mistake: Rushing through asset searching, undervaluing property, or missing digital holdings.  

Why it matters: Assets can slip through cracks–crypto accounts, minor life insurance payouts, or heirlooms often forgotten.  

Norton Rose Fulbright outlines exhaustive steps: title searches, pension payables, digital asset inventory—all of which the Alberta executor must collect.   

Avoidance tip: Use a detailed checklist from legal sources or Alberta’s Centre for Public Legal Education. Use professionals–appraisers, digital experts–when in doubt.  

7. Failing to Advertise for Creditors

Mistake: Not publishing a notice to creditors in a newspaper (a legal requirement in many cases).  

Why it matters: Unknown claims can emerge years later once funds have been dispersed. Courts typically hold executors personally accountable.  

Avoidance tip: Publish creditor notices promptly under Estate Administration Act protocols. Keep proof of publication. Use legal counsel if uncertain.  

8. Sloppy Accounting & Record‑Keeping

Mistake: Failing to maintain organized receipts and statements.  

Why it matters: Beneficiaries have the legal right to request a detailed accounting. Missing support documentation can lead to forced court reviews and fee reduction.  

According to Lypkie Henderson:  

“Executors must provide the beneficiaries with accounting within the first 2 years…and every two years thereafter while the estate remains open.”   

Avoidance tip: Keep a digital folder and a labelled physical binder for every transaction. Create annual (or biannual) summary reports.  

  

9. Overlooking Planning for Digital Assets

Mistake: Treating social media, cloud storage, or crypto as afterthoughts.  

Why it matters: Digital assets may contain sentimental, financial, or confidential content. Accessing them improperly can breach the Personal Information Protection Act (PIPA) or privacy rights.  

Avoidance tip: Early disclosure is essential. Use tech‑savvy counsel. Encourage testators to maintain a secure digital asset log.  

10. Dragging Out the Process

Mistake: Letting the estate linger indefinitely.   

Why it matters: Delays harm everyone–from asset depreciation to emotional toll and legal liability.  

Freedom Law warns:  

“The longer you wait… the higher your taxes will climb. Creditors will hound you…and beneficiaries will grow frustrated.”   

Avoidance tip: Build a timeline (6–18 months is typical in Alberta). Delegate tasks where possible. Hire professionals when overwhelmed.  

11. Feeling Pressured to Forgo Legal Guidance

Mistake: Assuming “I can handle it solo.”  

Why it matters: Even seemingly simple estates can conceal legal landmines. Case law is rich in examples where DIY executors erred on interpretation, tax, or creditor matters.  

Avoidance tip: Pivot Law offers scaled‑fee early consultations to help you stay legally safe without breaking the bank.  

12. Failing to Obtain Beneficiary Releases Before Final Distributions

Mistake: Distributing residue without formal beneficiary sign‑offs.  

Why it matters: Without a signed release, executors may still be sued post‑distribution.  

Avoidance tip: Provide beneficiaries with a final accounting and a release form. Don’t distribute until each has acknowledged–and consider using indemnities for added protection.  

13. Neglecting Executor Compensation & Fees
Pulling It All Together: The Pivot Law Framework
At Pivot Law, our approach is anchored in research, best practices, and Alberta law:
  • Launch meeting within 2 weeks post‑death  
  • Probate evaluation–real estate, bank holdings, investment accounts  
  • Assets & liabilities inventory, including digital property  
  • Estate bank account with clear fund segregation  
  • Quarterly progress updates–templates available  
  • Creditor notices & tax clearance application  
  • Detailed accounting schedules–annual/biennial cycle  
  • Executors’ fee transparency–early discussion  
  • Final beneficiary releases and distribution coordination  
  • Estate closing filing with the court, including closing statement  
This structured, legally sound approach helps executors fulfill duties confidently, protect themselves and beneficiaries, and honor testators’ wishes.
Trusted Resources
  • Wills and Succession Act, RSA 2000, c W‑12 —Legal structure for wills and estates in Alberta  
  • Estate Administration Act –Requirements on notices and publications  
  • Lypkie Henderson: “Year‑End Accounting…” –Guidance on multi‑year accounting   
  • Norton Rose Fulbright (2023): “Role of an executor…” — Comprehensive duty list  
  • EstateExec (2020): Data on family conflict and communication   
In Summary: Avoiding Costly Blunders
In Alberta, executors face more than headaches: they can face liability, dispute, and the legal bill. At Pivot Law, we counsel executors in a compassionate, accurate and unequivocal manner. And a summary of the worst things to do:
  • Skipping probate  
  • Misreading the will  
  • Miming silence  
  • Commingling funds  
  • Paying too soon  
  • Overlooking assets  
  • Ignoring creditors  
  • Sloppy record‑keeping  
  • Digital negligence  
  • Procrastination  
  • Ignoring legal counsel  
  • Not securing releases  
  • Mishandling fees  

Want to get it right…without the stress? Visit https://pivotlaw.ca or reach out to schedule a free 30‑minute “Executor’s Roadmap” consultation.  

Remember  

“Executor misconduct is serious… you have the right to take them to court.”Mergen Law LLP   

Estate administration can be an act of service—or a liability. With awareness, planning, and the right legal support, you can ensure it’s the former. Pivot Law is here to help you fulfill your duties faithfully, efficiently, and confidently. 

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