What is a passing of accounts in Ontario and when is it needed?
A passing of accounts is the court process in which an estate trustee puts the estate's accounts before the Superior Court of Justice for approval. In Ontario, there is no statutory requirement to pass accounts at fixed intervals, and trustees may choose not to unless the court compels them. Apart from an inventory, an executor generally need not account to a court unless asked by or for a person interested in the property or a creditor of the deceased.
A person who appears to have a financial interest in an estate may move for an order requiring the estate trustee to pass accounts. To apply, the trustee files the accounts verified by affidavit (Form 74.43), a copy of the certificate of appointment, and any latest judgment on a passing of accounts, and the court then issues the notice of application (Form 74.44). Notice and a draft judgment must be served on every person with an interest at least 60 days before the hearing date if served in Ontario, or 75 days if served outside Ontario.
A beneficiary who objects must serve and file a notice of objection (Form 74.45) at least 35 days before the hearing date.
Key takeaways
- Ontario has no statutory requirement for estate trustees to pass accounts at fixed intervals.
- Any person who appears to have a financial interest in an estate may move for an order requiring the estate trustee to pass accounts.
- A beneficiary who objects must serve and file a notice of objection (Form 74.45) at least 35 days before the hearing date, and no objection may be raised at the hearing unless it was in that notice, unless the court orders otherwise.
- If no notices of objection are filed, or all are withdrawn, the court may grant judgment without a hearing.