A Property Was Left Out of a Deceased Estate – What Happens Next?

It sometimes happens that a property is only discovered after a deceased estate has already been finalised. This may be because the property was left out of the inventory or because it was still registered in a maiden or previous surname and was not identified during the administration of the estate. Once, the estate has been finalised, the property cannot simply be transferred.

Before the property can be transferred, the estate must first be corrected to include the omitted property. The reason for this is simple. The estate must accurately reflect all the assets of the deceased. This ensures transparency, protects the rights of heirs and creditors, and confirms that the estate has been properly administered in accordance with the law.

Section 35(1A) of the Administration of Estates Act 66 of 1965 requires the executor to lodge a supplementary liquidation and distribution account with the Master of the High Court when an asset is discovered after the original liquidation and distribution account has been lodged or confirmed.[1] The purpose of the supplementary account is to formally include the omitted property in the administration of the estate.

Once the Master has confirmed the supplementary account, the property may be transferred. The conveyancer attending to the transfer must ensure that the transfer accords with the confirmed supplementary liquidation and distribution account. Before registration can take place, the conveyancer must certify that the transfer complies with the confirmed supplementary liquidation and distribution account, as required by regulation 44A of the Regulations under the Deeds Registries Act 47 of 1937.[2]

Although this may appear to be an additional administrative step, it serves an important purpose. It ensures that the administration of the estate remains transparent, that the interests of heirs and creditors are protected, and that the transfer is effected in accordance with the law.

The discovery of a property after a deceased estate has been finalised does not mean that the property can simply be transferred. The law provides a clear process to deal with this situation, and that process should always be followed.

Taking shortcuts or attempting to bypass the prescribed legal process may seem like the easier option, but it often results in unnecessary delays, additional costs and avoidable legal complications.

At Neumann Van Rooyen, we regularly assist executors, heirs and surviving spouses with deceased estate transfers and other conveyancing matters. Where property is

discovered after an estate has been finalised, obtaining legal advice at an early stage can help ensure that the correct process is followed and that the transfer proceeds as smoothly as possible.

[1]Section 35(1A) of the Administration of Estates Act 66 of 1965.

[1] Regulation 44A of the Regulations under the Deeds Registries Act 47 of 1937.