Passing of Accounts in Ontario: When Beneficiaries Can Demand One

Waiting for an estate to be settled is hard, and it is harder if you suspect the money is being mishandled or you simply cannot get answers. Beneficiaries often ask whether they can force the executor to open the books.

In Ontario, the formal tool is called a passing of accounts. This article explains when you can demand one, how the court process generally works, and what to try first.

What a passing of accounts is

A passing of accounts is a court process where the estate trustee presents a full account of what came in, what went out and what remains, and a judge reviews it. Think of it as a formal audit of the trustee's work.

It is not automatic. An executor or administrator does not have to account to a court except by inventory, unless a person interested in the estate or a creditor requires it.

When you can demand one

If you are a person interested in the estate, such as a beneficiary, or a creditor, you can require the trustee to account. An interested person may also move for an order requiring the estate trustee to pass accounts.

The trustee can also start the process themselves, often to get a judge's approval of their work and compensation. The court fee for an estate trustee's application to pass accounts is $432. A beneficiary who disagrees with the accounts can file a notice of objection, with a court fee of $93.

Children are protected too. The Office of the Children's Lawyer may follow up on a trustee's management of a child's interest and request accounts. If the court grants the request, the estate trustee must bring an application to pass accounts.

How the court process works

Once an application to pass accounts is made, notice must be given in time. The application is served at least 60 days before the hearing, or 75 days if it is served outside Ontario.

At the hearing, the judge may fully inquire into the deceased's whole property and its administration. The judge may also hear complaints of misconduct, neglect or default that caused loss, and may order payment to the estate.

Other options if trust has broken down

An accounting is not the only route. Depending on what is wrong, you may have other tools.

• Removal: the Superior Court of Justice may remove a personal representative on any ground that would justify removing another trustee, and may appoint new or replacement trustees.
• Directions: any person with a financial interest may apply or move for directions, which can help when co-trustees are deadlocked.
• Request for notice: before a certificate is issued, a person with a financial interest may file a request for notice (Form 74P), which expires three years after filing and can be renewed.

Which option fits depends on whether you need information, a correction, or a change of trustee. A lawyer can help you choose.

What to do next

Before going to court, it usually helps to ask politely and in writing. Courts and families both tend to prefer a clear, simple record of what was requested and when.

• Write to the trustee and ask for a statement of assets, debts, payments and any compensation taken.
• Keep copies of everything you send and receive, with dates.
• Note specific concerns, such as unexplained withdrawals, long delays or sales you were not told about.
• Confirm that you count as a person with a financial interest in the estate.
• Get legal advice on whether to require accounts, object to them or seek removal, since the costs and risks vary.

Frequently asked questions