Law Office of Jason D Jones, P.C.

Accounting Proceedings

Accounting Proceedings

In an accounting proceeding, a fiduciary’s administration of his estate or trust is being challenged. A fiduciary has a non-delegable duty to disclose to beneficiaries and persons interested in the estate or trust, which assets he or she has received and paid out. Proper accounting shields the fiduciary from personal liability.  Improper accounting or even worse, self-dealing by the fiduciary in an accounting proceeding, can lead to fiduciary surcharges or even removal by the Surrogate. There are informal and judicial methods types of accounting proceedings. I am skilled in handling accounting proceedings and explaining the pros and cons of bringing them in the Surrogate’s Court to my clients. 

Accounting Proceedings

What are the various methods to make a fiduciary account to a beneficiary?

  • A fiduciary may prepare an informal accounting on receipts and releases, whereby persons interested in an estate furnish the fiduciary with receipts and releases thereby absolving the fiduciary from further liability. There are also judicial accountings which are more formal and are overseen by the Surrogate’s Court.

Which parties are entitled to file objections in an accounting proceeding?

  • Only beneficiaries who might have their financial interests adversely affected may raise objections. Further, if a beneficiary provides a valid receipt and release in favor of a fiduciary who fully disclosed the administration of the estate, he or she may not file objections thereafter.

What is the statute of limitations for accounting proceedings?

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