Can an executor be removed by the court in Ontario?
Yes, in Ontario the Superior Court of Justice may remove an estate trustee on any ground on which it may remove any other trustee, and appoint another proper person in their place. Which grounds are enough depends on the facts.
A person who appears to have a financial interest in an estate may apply to court for directions, and the court may set the issues to be decided and appoint an estate trustee during litigation. If co-executors disagree, they can apply to the court without starting an action for its opinion, advice or direction on managing the estate. When accounts are passed, the judge can also inquire into a complaint, including misconduct or neglect causing loss, and may order payment to the estate.
Removal is not the only way a trustee leaves the role. An executor who has already started acting and wants to step down generally needs a court order, for example under s. 5 (appointing new trustees) or s. 37 (removal and replacement). A trustee facing a claim may ask the court to excuse personal liability for a breach of trust if they acted honestly and reasonably and ought fairly to be excused.
Key takeaways
- The Superior Court of Justice may remove an estate trustee on any ground on which it may remove any other trustee, and appoint another proper person in their place.
- A person who appears to have a financial interest in an estate may apply for directions, and the court may appoint an estate trustee during litigation.
- An executor who has already started acting and wants to step down generally needs a court order.
- The court may relieve a trustee from personal liability for a breach of trust if the trustee acted honestly and reasonably and ought fairly to be excused.