The Liquidation and Distribution Account: Your 21 Days to Object
Somewhere between the funeral and the money, there is a document.
It is called the liquidation and distribution account, it sets out everything the deceased owned and owed and who ends up with what is left, and it is the only point in the winding-up of an estate at which an ordinary heir has a clear, cheap right to say that something is wrong.
The window is short, and nobody is obliged to write to you about it.
What the account is
Section 35 of the Administration of Estates Act 66 of 1965 requires the executor to submit an account to the Master
"as soon as may be after the last day of the period specified in the notice referred to in section 29 (1), but within—(a) six months after letters of executorship have been granted to him; or (b) such further period as the Master may in any case allow"
Two things are worth pulling out of that sentence before anything else.
It cannot be submitted early. It follows the section 29 creditors' notice, which has to run its course first.
Six months is the default, and extensions are routine. The Master may allow a further period "in any case". That discretion is why estates that should take six months often take two years, and it is a perfectly reasonable thing for an heir to ask the Master about: has an extension been granted, and until when?
The two notices, and why people confuse them
There are two separate advertisements in a deceased estate, with two different audiences and two different clocks.
Section 29 — the creditors' notice. The executor must publish a notice in the Gazette and in one or more newspapers circulating in the district where the deceased ordinarily resided at death, any district they resided in during the preceding twelve months, and, where they were not ordinarily resident anywhere, districts where they owned property. Creditors must lodge claims
"within such period (not being less than thirty days or more than three months) from the date of the latest publication of the notice"
and the claims that may be lodged are "all claims which would be capable of proof in case of the insolvency of the estate".
Section 35 — the inspection notice. After the account is submitted, the executor advertises again, in the Gazette and the relevant newspapers, stating the period during which and the place at which the account will lie open for inspection.
Creditors watch the first. Heirs need the second. Both are published rather than posted, which is the practical difficulty this article exists to address.
Twenty-one days, and what you may do in them
The account must lie open at the office of the Master
"for not less than twenty-one days, for inspection by any person interested in the estate"
and during that time
"Any person interested in the estate may at any time before the expiry of the period allowed for inspection lodge with the Master in duplicate any objection, with the reasons therefor."
Four things follow.
Twenty-one days is a floor, not a fixed period. The notice states the actual period. Read the notice rather than counting twenty-one days from a date you assumed.
"Any person interested in the estate" is wider than the named heirs. A creditor, a person who says they should have inherited, a spouse claiming a share — all have standing to inspect.
An objection goes to the Master, in duplicate, with reasons. Not to the executor, not to the attorney handling the estate. Reasons matter: "I am unhappy with the account" is not an objection in the sense the section contemplates.
It must be lodged before the period expires. After that, the straightforward route is gone and what remains is more expensive.
Once an objection is lodged, the Master considers it together with the executor's comments and
"may direct the executor to amend the account or may give such other direction in connection therewith as he may think fit"
That is a real remedy, obtained without litigation, for the price of a letter delivered in time.
What to look for in the account
The account is not written for lay readers, but the questions worth asking are ordinary ones.
Is everything there? Bank accounts, policies with no nominated beneficiary, vehicles, the house, shares, a business interest, money owed to the deceased. An asset omitted is the commonest substantive objection.
Are the values sensible? Property and vehicles should be supported by valuations. A figure that is obviously below market is worth querying.
What is claimed as a liability? Every debt reduces what heirs receive. Look for debts that were already settled, debts that belong to someone else, and any claim by the executor's own firm.
What has the executor charged? Executor's remuneration is regulated and the account should show the calculation. Our guide to executor fees and winding up an estate sets out how it works.
Does the distribution match the will? Read the will and the distribution side by side, clause by clause. Where there is no will, the distribution should follow intestate succession.
Is a minor's share dealt with? If a beneficiary is under eighteen, the account should show where that money is going — to the Guardian's Fund, or to a trust created by the will. Our guide to the Guardian's Fund explains the difference and why it matters.
A worked sequence
A parent dies in February. Letters of executorship are granted in April.
April to May. The executor publishes the section 29 notice in the Gazette and the local newspaper, calling on creditors to lodge claims. The period stated must be not less than 30 days and not more than three months from the latest publication — say 60 days, closing at the end of June.
July onwards. Only now can the account be prepared and submitted. The six-month outer limit from April runs to October, unless the Master allows longer.
October. The account is lodged and the executor advertises that it will lie open at the Master's office for 21 days from, say, 3 November.
3 to 24 November. This is the window. An heir who checks the newspaper in December has missed it, and an heir who assumed "21 days from when the account was lodged" has miscounted by a month.
Late November. The Master considers any objection with the executor's comments and may direct an amendment.
The shape to notice is that most of the elapsed time belongs to the creditors' notice and to the executor's preparation, and the heirs' window sits at the very end and is the shortest part of the whole process.
When the delay is the problem
Not every complaint is about the contents of the account. Often the complaint is that there isn't one.
Section 35 gives the executor six months from letters of executorship, "or such further period as the Master may in any case allow". That extension is a decision, not a drift — which means there is something to ask about.
Three questions, put to the Master's office in writing with the estate number, usually move things:
- Has the liquidation and distribution account been lodged, and if so, on what date?
- Has an extension been granted under section 35, and until when?
- Has the section 29 notice been published, and when did the period close?
An executor who has been telling the family that "the Master is slow" while no account has been lodged and no extension requested is in a different position once those answers are on paper. The Master has supervisory powers over executors, and an heir's written enquiry is the ordinary way they get exercised.
How to make sure you see it
This is the whole practical problem. The notice is published, not delivered.
Ask the executor for the estate number and the Master's office as soon as an executor is appointed. Write it down.
Ask, in writing, to be told when the account will lie open. An executor is not obliged to send you a personal invitation, but most will confirm on request — and a written request creates a record if they do not.
Diarise a check-in every two months. Phone the Master's office with the estate number and ask two questions: has the account been lodged, and has an extension been granted.
Watch the newspaper that circulates where the deceased lived, particularly once the section 29 period has closed.
If you have missed it, take advice immediately rather than assuming nothing can be done — but understand that you have moved from a letter to the Master into a more difficult and more expensive process, which is why the diary entry matters more than anything else in this article.
Frequently asked
How long does an executor have to produce the account? Six months after letters of executorship are granted, or such further period as the Master may allow — and extensions are common.
How long do I have to object? The account lies open for not less than twenty-one days, and an objection must be lodged with the Master before the period allowed for inspection expires. Read the published notice for the actual dates.
Who can object? Any person interested in the estate — which is wider than the named heirs.
How do I object? In duplicate, to the Master, with the reasons for the objection. Not to the executor.
What can the Master do? After considering the objection and the executor's comments, the Master may direct the executor to amend the account, or give such other direction as the Master thinks fit.
Nobody told me the account was open. Notice is by publication in the Gazette and the relevant newspapers, not by letter. That is why asking the executor and checking with the Master's office periodically is the only reliable protection.
Is there a simpler process for a small estate? A simplified route exists for estates below a prescribed value, with letters of authority rather than letters of executorship. The threshold is prescribed and changes, so confirm the current figure with the Master rather than relying on a number you read somewhere.
