Why Start an Accounting Proceeding
If beneficiaries are not satisfied with the way the personal representative is handling the estate, they can start an accounting proceeding. Beneficiaries do this when they think that the personal representative is not carrying out the deceased person’s directives, or that he or she is not qualified to handle investment or business matters for the estate.
If the accounting reveals that that the personal representative is receiving improper personal benefits from his or her role, the estate beneficiaries should start fiduciary removal.
The same is true for beneficiaries of a trust. If they feel that the trustee is not doing a good job investing the trust’s assets, or they suspect that the trustee is involving his or her personal business with that of the trust (for example, selling stock of the trustee’s own company to the trust). Trust beneficiaries have the right to petition for accounting, and if their suspicions prove to be correct, can proceed to fiduciary removal.
On the other hand, situations do arise when fiduciaries are accused of wrongdoing without good cause, such as in cases where investments took a downturn at no fault of the fiduciary.
We represent both fiduciaries and beneficiaries in accounting proceedings. Call the Law Offices of Albert Gurevich at (212) 233-1233 and make an appointment to discuss your accounting proceeding.