Applying for Letters of Administration in the Northern Territory

Applicable laws

Each State has its own laws governing the administration of the estate of an intestate person. In the NT, the applicable laws are the Administration and Probate Act 1993 (NT).

Applicable Court

Applications are filed at the Probate Office of the Supreme Court of the NT (contact details are provided at the back of the kit). A grant of Letters of Administration will generally be issued by the Court within 14 working days of the application being filed unless additional information is required. If further information is needed, requests, known as requisitions, will generally be sent out by letter within 3 working days.

When intestacy occurs

When a person dies leaving real property (land or anything attached to it) or personal property of any kind, that property must be distributed. The deceased can direct, during his or her lifetime, how the estate is to be distributed after death by drawing up a will. Intestacy occurs when either the whole or part of the deceased’s estate is not disposed of by a will. Total intestacy occurs when the deceased failed to make a will at all, failed to make a valid will or made a valid will but all the beneficiaries have since died. Partial intestacy occurs when the deceased made a valid will but the terms of the will do not dispose of the whole of the estate. This kit is aimed at the situation where the deceased dies without having made a will.

The distribution of an intestate estate

State law allows for the appointment of an administrator to administrate the deceased’s estate in the absence of a will appointing an executor chosen by the deceased. This person is given the duty of paying any debts the estate owed and distributing the assets in accordance with the rules of intestacy. They are given legal authority to act under a court order which is known as the grant of letters of administration.

Who can apply for letters of administration?

The Administration and Probate Act 1993 (NT) sets out who can be appointed as an administrator. The Court can appoint a spouse (Including de facto – see below), one or more of the next of kin or the spouse together with one or more of the next of kin. If no such person exists or if, in the opinion of the court, the person concerned is not fit to be trusted with the responsibility, the Court can grant administration to any person it thinks fit.

The purpose of the State rules of intestacy

Intestacy occurs quite frequently in Australia. Government statistics reveal that 6% of the matters dealt with by the probate registry of the Supreme Court in Tasmania in 2003 involved applications made in circumstances of intestacy. The aim of the legislation in each state is to try and produce the same sort of result as if the deceased had made a will. It identifies the deceased’s closest relatives as the main beneficiaries and assumes that these are the people that the deceased would most want to benefit. The rules make assumptions about who the deceased is closest to. The rules do not therefore take account of individual circumstances. The rules are designed to act as a safety net to protect those who have failed for whatever reason to direct what they would like to happen to their assets when they die.

An explanation of the rules of intestacy

1. Where the intestate is not survived by: (a) issue; or(b) a parent, a brother or sister or the issue of a brother or sister, the spouse is entitled to the whole of the intestate estate.

2. Where the intestate is survived by issue.

1. The spouse is entitled:

(a) if the value of the intestate estate does not exceed the prescribed amount ($370,000) – to the whole of the intestate estate; or

(b) if the value of the intestate estate exceeds the prescribed amount – to be paid out of the intestate estate the prescribed sum ($370,000) and an additional sum equal to:

(i) if one child or the issue of one child of the intestate but no other issue of the intestate survives the intestate – one-half of the value of the balance of the intestate estate; or

(ii) if any other case – one-third of the value of the balance of the intestate estate.

2. The issue of the intestate are entitled to the balance (if any) of the intestate estate after payment to the spouse of the sum or sums to which the spouse is entitled under paragraph 1.

3. Where the intestate is not survived by issue but is survived by a parent, brother or sister or the issue of a brother or sister.

1. the spouse is entitled:

(a) if the value of the intestate estate does not exceed the prescribed amount $530,000) – to the whole of the intestate estate; or

(b) if the value of the intestate estate exceeds the prescribed amount – to be paid out of the intestate estate the prescribed sum ($530,000) and an additional sum equal to one-half of the value of the balance of the intestate estate.

2. If the intestate is survived by one or both of his or her parents (whether or not the intestate is also survived by a brother or sister or the issue of a brother or sister), the surviving parent is entitled, or the parents are entitled in equal shares, as the case may be, to the balance (if any) of the intestate estate after payment to the spouse of the sum or sums to which the spouse is entitled under paragraph 1.

If the intestate is not survived by a parent, the brothers and sisters of the intestate who survived the intestate, and the issue who survive the intestate of a brother or sister of the intestate who died before the intestate, are entitled to the balance (if any) of the intestate estate, after payment to the spouse of the sum or sums to which the spouse is entitled under paragraph 1 of this item in the shares in which he, she or they would have been entitled to the intestate estate if the intestate had not been survived by his or her spouse.

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