Many people assume that if they are named as an executor in a will, live in a deceased parent's home, or help manage a loved one's finances, they automatically have the right to take control of estate assets after death.
The law says otherwise.
The decision in Cambareri v. Sorrenti, 2023 ONSC 4918 (CanLII) serves as a powerful reminder that individuals who take control of estate property without proper authority can be required to account for their actions, repay money to the estate, pay occupation rent, and even lose the opportunity to administer the estate altogether.
The Risks of Acting Without Authority
When a person dies, their assets do not automatically become the property of family members, even if those family members expect to inherit.
Until an executor or administrator is properly authorized to act, estate assets must be managed carefully and in accordance with fiduciary obligations.
Problems often arise when someone begins:
- Collecting rent from estate property;
- Managing bank accounts;
- Paying themselves from estate funds;
- Allowing others to occupy estate property;
- Selling assets; or
- Treating estate property as their own.
Even where the person believes they are acting appropriately, courts may later require them to justify every decision.
Being Named in a Will Does Not Grant Unlimited Authority
One of the important lessons from the case is that being named as an executor in a will does not automatically permit a person to do whatever they wish with estate property.
Executors and estate trustees owe duties to all beneficiaries.
These duties generally include:
- Acting in good faith;
- Preserving estate assets;
- Keeping proper records;
- Avoiding conflicts of interest;
- Treating beneficiaries fairly; and
- Maintaining transparency throughout the administration process.
When those duties are ignored, courts can intervene.
What Is a Trustee de Son Tort?
A key concept discussed in the case is the idea of a trustee de son tort.
This legal doctrine applies when someone assumes control of estate or trust property without proper authority and begins acting as though they are the trustee.
Examples can include:
- Collecting estate income;
- Managing estate investments;
- Exercising control over estate bank accounts;
- Renting estate property; or
- Making decisions concerning estate assets.
A person does not need a formal appointment to face liability.
By taking control of the property, they may also assume the legal responsibilities that accompany that control.
Accounting Obligations Are Serious
One of the most common themes in estate litigation is the failure to maintain records.
Many individuals believe they can reconstruct transactions later if questions arise.
Courts frequently disagree.
Anyone managing estate property should be able to explain:
- What assets existed;
- What income was received;
- What expenses were paid;
- Where funds were deposited;
- Why expenditures were made; and
- How each decision benefited the estate.
Without proper documentation, courts may draw adverse conclusions.
In many cases, uncertainty created by poor record keeping is resolved against the person responsible for maintaining the records.
Estate Bank Accounts Still Belong to the Estate
The decision also addresses a common source of disputes: joint bank accounts.
Many elderly parents add adult children to accounts for convenience so bills can be paid and finances managed more easily.
That arrangement does not necessarily mean the account becomes the child's property after death.
Courts continue to distinguish between:
- Legal ownership; and
- Beneficial ownership.
A surviving joint account holder may have access to the account while still being required to prove that the deceased intended them to receive the funds as a gift.
Without evidence of that intention, the account may belong to the estate.
Living in Estate Property Can Become Expensive
Another important aspect of the decision involved occupation rent.
Occupation rent arises when one beneficiary or family member continues using estate property while excluding others from its benefits.
Many people assume they can continue living in a parent's home following death without financial consequences.
That assumption can be risky.
Courts may conclude that:
- The occupant received a benefit;
- The estate lost potential rental income; and
- Compensation should be paid.
In some circumstances, occupation rent can amount to tens of thousands of dollars.
The longer a dispute continues, the larger that liability may become.
Family Members Cannot Put Their Interests First
A recurring issue in estate disputes is the belief that a family member's personal wishes should take priority.
For example, a child may believe:
- The parent wanted them to have the family home;
- They deserve additional benefits because of caregiving contributions;
- They are entitled to free use of estate property; or
- Their siblings should simply accept their decisions.
Courts focus on the terms of the will, applicable law, and fiduciary obligations.
A personal belief about what should happen is rarely enough.
Estate assets must be administered for the benefit of all beneficiaries according to the governing legal documents and obligations.
Courts Can Remove Estate Trustees
Many people are surprised to learn that courts can remove an executor or estate trustee.
Removal may occur where the evidence shows that an individual:
- Failed to account properly;
- Preferred their own interests;
- Withheld information;
- Created conflicts of interest;
- Mismanaged assets; or
- Undermined confidence in the administration process.
The court's primary concern is protecting the estate and the beneficiaries.
Where confidence in the estate trustee has been lost, replacement may become necessary.
Practical Lessons for Families
Do Not Assume Control Equals Ownership
Managing or possessing estate property does not make it yours.
Keep Detailed Records
Every receipt, deposit, withdrawal, and expense should be documented.
Communicate With Beneficiaries
Transparency can help prevent litigation and mistrust.
Preserve Estate Assets
Estate property should be protected and managed for the benefit of all beneficiaries.
Obtain Legal Advice Early
Questions about authority, ownership, and administration are often easier to resolve before disputes arise.
The Bottom Line
Cambareri v. Sorrenti is a powerful reminder that taking control of estate assets can carry significant legal responsibilities. Individuals who manage property, collect income, or deal with estate assets without proper authority may find themselves subject to accounting orders, repayment obligations, occupation rent claims, or removal from their role entirely.
Estate administration is not simply about carrying out a loved one's wishes. It is a fiduciary role that requires transparency, accountability, and careful stewardship of estate assets.
How MerGen Law Can Help
At MerGen Law, we assist clients throughout Alberta with estate administration, executor disputes, accounting applications, joint account disputes, occupation rent claims, fiduciary duty issues, and estate litigation. Whether you are administering an estate or questioning how someone else has managed estate property, we are here to help.
This article is intended for informational purposes only and does not constitute legal advice. Individuals facing concerns about elder abuse should seek professional advice tailored to their specific circumstances.