The distribution of the deceased’s estate depends on the smooth process of estate administration. Apart from the personal representative, the beneficiaries hold a significant role in the administration, not as recipients of the deceased’s estate but as participants in the estate administration process. Despite the clear laws governing the succession matters in Malaysia, issues of delay in distribution of estate continue to occur, being the result of unresolved disputes between the beneficiaries. As a result, there are over sixty billion ringgit worth of unclaimed estate in Malaysia as reported by various sources, indicating the seriousness of the matter. This paper addresses the problems of delay in the administration of the estates and analyzes its causes and implications. The lack of knowledge and the attitude of the beneficiaries has been identified as the key factors which lead to such problem. This paper is based primarily on the analysis of written sources namely conference papers, textbooks, statutes, case laws, journals and other library-based documents. The findings in this article show that there is a need for a cohesive approach to educate the beneficiaries of the law and to change their attitude in understanding their actual roles in the deceased’s estate administration.Keywords: Estate administration, asset distribution, beneficiaries, attitudes and lack of knowledgeCite as: Drs Nasrul, M.A., Mohd Salim, W.N. (2018). Administration of estates in Malaysia: Determinant of factors behind the delay in the distribution of the deceased’s asset. Journal of Nusantara Studies, 3(1),75-86. http://dx.doi.org/10.24200/jonus.vol3iss1pp75-86
Muhammad Amrullah Drs Nasrul, Wan Noraini Mohd Salim , Muhamad Helmi Md Said , Siti Nuramani Abdul Manap Abstract: The administration of estate formally commences upon the application by the beneficiaries to the related administrative bodies. The application marks the beginning step in the administration of estate since the application is an essential process in obtaining the letters of representation. With the existence of multiple administrative bodies in Malaysia, one needs to ensure that the application is made to the right administrative body. Furthermore, the administration of estate needs to be promptly settled to avoid any unwanted consequences, hence justifying the need for the early application by the beneficiaries. However, some beneficiaries deliberately stall the application, which is detrimental to the administration of estate. Confusion in identifying the right administrative body as well as the wrong perception of the beneficiaries of the administrative bodies have been identified as the causes behind the late application. This paper addressed the jurisdiction of the administrative bodies in the administration of the deceased’s estate in Malaysia through the comparative approach in classifying the different roles and authorities of each administrative body. The writing involved the research method by way of a library-based study whereby the data were collected from multiple sources including conference papers, textbooks, statutes, case laws, journals and other materials. The finding points out several suggestions including the need for collaboration between the society and the government in relaying the information regarding the actual impression of the administrative bodies in the administration of estate. Keywords: Administration of estate, Administrative bodies, Letters of representation, Beneficiaries. Abstrak: Pentadbiran harta pusaka bermula dengan permohonan oleh benefisiari terhadap badan-badan pentadbiran. Tindakan ini dianggap sebagai langkah permulaan dalam pentadbiran harta pusaka kerana ia merupakan proses utama dalam mendapatkan surat perwakilan. Dengan wujudnya beberapa badan pentadbiran di Malaysia, adalah perlu untuk memastikan bahawa permohonan itu dibuat terhadap badan pentadbiran yang betul. Selain itu, pentadbiran harta pusaka perlu diselesaikan dengan segera bagi mengelakkan sebarang akibat yang tidak diingini, dan ini menunjukkan bahawa perlunya sesuatu permohonan awal dilakukan oleh benefisiari. Walau bagaimanapun, terdapat sesetengah benefisiari yang sengaja melewatkan permohonan dan ini telah memberi kesan negatif terhadap pentadbiran harta pusaka. Kekeliruan dalam mengenal pasti badan pentadbiran yang betul serta persepsi negatif oleh benefisiari terhadap badan-badan pentadbiran merupakan antara punca di sebalik kelewatan dalam membuat permohonan terhadap pentadbiran harta pusaka. Artikel ini menjelaskan bidang kuasa badan-badan pentadbiran dalam pentadbiran harta pusaka di Malaysia melalui bentuk perbandingan dengan mengklasifikasikan peranan setiap badan pentadbiran. Penulisan ini melibatkan kaedah penyelidikan melalui kajian berasaskan perpustakaan di mana data dikumpulkan daripada pelbagai sumber termasuk kertas persidangan, buku teks, statut, kes undang-undang, jurnal serta bahan-bahan lain. Hasil penemuan daripada artikel ini antaranya menyentuh berkenaan cadangan perlunya kerjasama antara masyarakat yang kerajaan dalam menyampaikan maklumat tentang peranan sebenar badan-badan pentadbiran dalam pentadbiran harta pusaka. Kata kunci: Pentadbiran harta pusaka, Badan pentadbiran, Surat perwakilan, Benefisiari.
Objective This paper aims to examine the extent of the personal representative's duties and liabilities in dealing with shares on the death of a shareholder. The paper also analyses the procedure to administer the shares and the available options to the estate beneficiaries with regard to their entitlements to the shares. Methodology/Technique The discussion adopts the doctrinal analysis by examining the existing primary and secondary materials, including statutory provisions as provided by the Probate and Administration Act 1959 and the Companies Act 1965, case law and other legal and non-legal literatures relating to the duties and liabilities of the personal representative in dealing with the deceased's shares. Findings The discussion adopts the doctrinal analysis by examining the existing primary and secondary materials, including statutory provisions as provided by the Probate and Administration Act 1959 and the Companies Act 1965, case law and other legal and non-legal literatures relating to the duties and liabilities of the personal representative in dealing with the deceased's shares. Type of Paper: Review Keywords: Shareholder's Death, Shares, Estate Distribution, Personal Representative, Malaysian Law.
In Malaysia, if a deceased passed away intestate (without leaving a valid will) and no next of kin is available, his or her estate is deemed as an ownerless estate (bona vacantia). However, bona vacantia has not been classified, identified, and examined clearly, particularly in terms of the various sets of law applicable to the non-Muslims and Muslims in West Malaysia. Therefore, this paper intends to examine the classification of estates categorised under bona vacantia, its position in both Islamic law and Malaysian law, and the issues associated with the topic. The doctrinal analysis is adopted by analysing the current primary and secondary materials which include case law, statutory provisions, and other legal and non-legal literature. Consequently, the administration of bona vacantia is found to be governed by different procedures and laws, based on the personal law of the deceased. If he is a Muslim, his estate will be reverted to Baitulmal. Meanwhile, the type of estate left by a deceased non-Muslim will determine the reversion of such estate, either to the Government or the State Authority.
The concept of dual justice system practiced in Malaysia governs the area of inheritance where there is a notable difference between Muslim and non-Muslim estate administration. While the non-Muslims deal solely with civil court, the Muslims are governed under both civil and Syariah Court. For Muslims, reference to Syariah Court is required for the purpose of obtaining the fara’id certificate, prior to the application to other administrative bodies. Having to deal with multiple bodies tends to lead to a confusion among the Muslims as to which institution should they approach, signifying the extra commitment that they will have to make. The complexity of the process encountered by the beneficiary results in discouragement to proceed the administration which eventually led to delay in estate administration and distribution. The lack of understanding regarding the function of the Syariah Court holds as a key factor to this ongoing issue. This paper adopts the librarybased research which focuses on the analysis of written sources including but not being limited to journal articles, statutes, case laws and text books. In its findings, this paper states that there is a need for the government to re-look into the structure of the administrative bodies by making proper amendments in order to simplify the current process of the Muslim estate administration.
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