Does an executor have to treat all beneficiaries equally in Ontario?

An executor has a duty of impartiality: they must not favour one beneficiary over another, except where the will itself creates different classes of entitlement. This duty applies both to how the estate is distributed and to how it is managed during administration.

A common tension arises between income beneficiaries (those entitled to income earned by the estate while it is being administered) and residuary beneficiaries (those entitled to what remains after debts and specific gifts). For example, leaving the estate heavily invested in growth assets may favour the residuary beneficiaries at the expense of those entitled to income. The executor must balance these competing interests fairly.

Equally, if one beneficiary is also a creditor of the estate, the executor cannot give that person preferential treatment in repayment over other creditors. And if the executor is themselves a beneficiary, they cannot use their administrative role to advantage their own share at the expense of others.