Letter Of Administration

Letter of Administration is a form of declaration or order issued by the High Court when an individual passed away without a valid Will.

What Is Letter Of Administration?

Letter of Administration is a form of declaration or order issued by the High Court when an individual passed away without a valid Will.

Commonly, family members or spouses of the deceased will have an assumption that the deceased’s assets will automatically be distributed to them upon his death. Unfortunately, this is wrong as there is a legal process to be followed and how the assets are to be distributed.

Why Would You Need A Letter of Administration?

The family members or spouse of the deceased have to deal with the estate or assets of the deceased after the death of the deceased. Without having the Letter of Administration, no one can access or deal with the estate or assets of the deceased because the relevant authorities such as JPJ, SSM, Banks, Land Offices etc will only deal with Administrator as the representative of the estate of the deceased. In other word, the power or the authority to deal with the estate of the deceased is officially or legally vested in the administrator upon getting the Letter of Administration.

The Process Of Extracting The Letter Of Administration

Step 1: File an application of Letter of Administration in the High Court

The following document are to be filed in the High Court:

- Ex Parte Originating Summons

- Affidavit in Support of the Original Summons

- Notice of Appointment

- List of Assets

- List of Liabilities

- Renunciation

- Administration Oath

Step 2: Attend in the High Court for the Court Hearing

Once the above documents are filed in the High Court, the Court will fix a hearing date for the Originating Summons to be heard in the High Court. The proposed or intended administrator(s) named in the Originating Summons will have to be present during the hearing. If the Registrar is satisfied that all required document or the cause papers are in order, the Letter of Administration will be granted accordingly.

Step 3: Dispensation of Sureties

Under section 35(1) Probate and Administration Act 1959, two (2) sureties who have assets within Malaysia that the value of the assets must be equivalent to the value of the deceased’s estate are to be provided. The main reason of having sureties is to serve as security. However, it is difficult to find the sureties therefore the application for dispensation of sureties will be filed and normally it will be granted by the High Court.

Step 4: Collecting Assets and Payment of Debts

Once the Letter of Administration is extracted from the High Court, the administrator will have to start collecting all assets of the deceased into his/her possession and thereafter to settle all the debts or liabilities of the deceased. However, most of the time, locating the assets is not an easy job, it takes time and efforts.

Step 5: Distribution in accordance with Distribution Act 1958

After all assets are collected and all debts are settled by the administrator, the administrator will proceed with distribution of remaining assets of the deceased to the entitled beneficiaries in accordance with Section 6 of the Distribution Act 1958 in following manners: -

Type of Surviving Beneficiaries	Entitlement
Spouse only (no parent/child)	Spouse – 100% (1/1)
Child only (no parent/spouse)	Child – 100% (1/1)
Parent(s) only (no spouse/child)	Parent – 100% (1/1)
Spouse & Parent(s) (no child)	Spouse – 50% (1/2) Parent – 50% (1/2)
Spouse & Child (no parent)	Spouse – 33.33% (1/3) Child – 66.66% (2/3)
Parent & Child (no spouse)	Parent – 33.33% (1/3) Child – 66.66% (2/3)
Parent & Spouse & Child	Parent – 33.33 (1/3) Spouse – 33.33% (1/3) Child – 33.33% (1/3)

Institutions With the Authority to Grant Letter of Administration in Malaysia

Amanah Raya

As an alternative, the interested person may apply for summary administration through Amanah Raya provided that the deceased’s estate consists only of movable properties amounting to NOT MORE THAN RM600,000 only.

District Land Administrator

If the movable properties are MORE THAN RM600,000, there is no summary administration via Amanah Raya and it is for the District Land Administrator under the Small Estate (Distribution) Act 1955 to grant Letters of Administration.

High Court

If the gross value of the deceased's estate is MORE THAN RM2,000,000, the High Court has the authority to grant Letters of Administration to the Administrator.

Document Needed for Application of Letter of Administration

a. original copy of death certificate;

b. identity card (NRIC) of the Administrator;

c. list and identity cards (NRIC) of the Beneficiaries;

d. list of assets of the deceased;

e. list of liabilities of the deceased;

f. administration oath if there is any minor interest;

g. renunciation by other beneficiaries who are entitled to the grant but did not apply;

h. any other documents that the lawyer required from time to time.

Why Choose Michael Tie & Co ?

We provide professional and efficient service.

Applications for Letters of Administration are complex and complicated. Michael Tie & Co estate planning lawyer will advise Administrator on his or her roles and responsibilities as Administrator of the Will to avoid personal liabilities.

Case analysis service

In the event you wish to apply for Letter of Administration, our Estate Planning lawyers will examine your case by perusing all information and document furnished by you and our Estate Planning lawyers will then advise you on the entire process of the application and your obligations and responsibilities as Executor or Administrator of the estate of the deceased.

Our charging method is simple, transparent and clear.

Related Services

Grant Of Probate

When someone passed away with a valid Will, the executor named in the Will needs to execute the Will by applying to the High Court of Malaya for the Grant of Probate.