freedom law.ca
September 8th, 2025
Examples of executor-beneficiary conflict of interest— What happens when this arises?
An executor-beneficiary conflict of interest arises when the executor (or personal representative) cannot execute their duties under a will because the act required of them may cause them personal financial harm or conflict with their personal interests in some other way.
It is important to note that the executor of a will is often also a beneficiary of the will and this fact alone does not cause a conflict of interest.
As an executor, it is important to be aware that simply being in a position where your interests appear to conflict with those of the beneficiaries may be enough for a court to remove you as an executor. It is not necessary that you act against the interests of the beneficiaries.
The executor’s duties upon the death of the testator include:
- taking possession of and protecting the assets pending distribution or sale
- selling or investing assets appropriately
- paying the debts and expenses of the estate, including income taxes, and
- distributing the assets to the beneficiaries according to the will.
What Happens When There Is An Executor-Beneficiary Conflict Of Interest?
If there is a conflict of interest between the executor and the beneficiaries of a will, the beneficiaries can ask the court to remove the executor and assign someone else to the job. The court may decide to remove the executor or they may decide to monitor the situation more closely to ensure that the executor is acting in the best interests of the beneficiaries despite the appearance of a conflict.
