Learn about the vital role an estate trustee during litigation—or administrator pending litigation—plays in complex estate disputes.
Settling an estate isn’t always straightforward, particularly when fewer than half of Canadians have a Will. Yet even when an individual has a well-drafted Will and estate plan in place, disputes can arise.
Estate litigation can be a lengthy, costly and emotionally draining process, often eroding relationships that took a lifetime to build. “The cost, both emotional and financial, is probably not well enough considered,” says Leanne Kaufman, president and CEO of RBC Royal Trust. “Litigation of any sort can become very expensive very quickly, and fees may soon exceed the value of the matters under dispute.”
That’s why many high-net-worth and ultra-high-net-worth individuals and families seek ways to minimize the risk of litigation.
Emotions often run high when a loved one passes. That, coupled with factors such as challenging family dynamics, concerns over a chosen executor and unclear communication, can lead to disagreements over asset distribution, valuations or the validity of a Will.
To avoid such conflicts, families can plan ahead. Communicating intentions clearly, choosing the right executor and engaging an experienced professional may help. If planning wasn’t done in advance, executors can reach out for professional help during the estate settlement process.
When a dispute can’t be resolved informally, or even if it could have been, people can turn to the courts to resolve their disputes when conflicts arise in an estate administration.
“Litigants often feel that a court will ‘side’ with them or provide them with some sort of emotionally satisfactory decision at the end of the day,” says Susannah Roth, an estate lawyer and consultant with RBC Royal Trust. “Unfortunately, the way our system of justice works, what the court can award is property, usually cash. It is very rare that a court judgment will say, ‘You were right, and your sibling was wrong.'”
Contact one of our skilled RBC Royal Trust professionals to find out more about the right services for you.
To ensure the estate is preserved during a legal dispute, the court that has jurisdiction over the litigation may appoint a neutral, third-party individual or trust company to manage its administration.
“This type of appointment requires a motion before a judge and a court order issued by a judge; so in that way, the process is similar across all common law provinces,” explains Roth. This role is called an administrator pending litigation (APL) in all Canadian provinces and territories except Ontario, where it’s known as an estate trustee during litigation (ETDL), and Quebec, where estate settlement follows a different process that does not involve an APL or ETDL.
Though the terminology varies, the responsibilities are consistent: this is an impartial administrator appointed by the court to protect and oversee the estate until the legal dispute is resolved.
The primary responsibility of an ETDL/APL is to act in the best interests of the estate. “The role, particularly when played by a professional fiduciary, can be trusted to be neutral, practical and impartial, so that all parties feel the assets are protected while the substantive matters are being resolved,” says Kaufman.
Typical responsibilities include:
By fulfilling these duties, the ETDL/APL helps ensure no party has an unfair advantage, that the estate remains intact, and that actions taken during litigation are neutral, accountable and aligned with the court’s direction.
Although an ETDL/APL has responsibilities similar to those of an executor, there are important differences.
Named in the Will, an executor has legal authority from the deceased to carry out their wishes. Expected to act in the beneficiaries’ best interests, an executor has discretion in many matters, can make final distributions and holds the role until the estate is fully settled.
An ETDL/APL is appointed by the court when the executor’s authority is in question, there is no agreement on who should act or the executor is in a conflict because of the dispute in question. This temporary role is limited to maintaining and protecting the estate while the litigation is ongoing. An ETDL/APL cannot make final distributions or resolve underlying disputes and is subject to court oversight and reporting requirements.
Professionals are often appointed to serve in the role of ETDL/APT because they have no “skin in the game,” although they may be chosen as an executor for this reason, too. “Professional executor services can relieve the stress and burden of grieving families at a time that is already very difficult and emotional,” says Kaufman. “Few people have the knowledge and expertise to understand inherently all of the nuances of settling an estate, and having to go through the education process can serve to exacerbate the grieving process with frustration and burden.”
While an ETDL/APL is a valuable safeguard during legal disputes, most families would prefer to avoid reaching that stage altogether.
Proactive professional support may help reduce the risk of litigation and ease the burden on family members, from thoughtful estate planning advice to specialized expertise and guidance at every stage of estate settlement.
Benefits include:
Individuals and families may choose a trust company to act as an agent for executor, sole executor, co-executor or court-appointed ETDL/APL, providing neutrality and experience in complex situations.
“Communicate your intentions, plans and expectations with your loved ones,” advises Kaufman. “Grief and surprise do not go well together.”
Estate disputes don’t just threaten financial value—they can divide families for generations. While litigation may be necessary in some situations, clear planning and professional guidance may help minimize the likelihood of conflict.
This document has been prepared for use by the RBC Wealth Management member companies, RBC Dominion Securities Inc.*, RBC Phillips, Hager & North Investment Counsel Inc., RBC Global Asset Management Inc. Royal Trust Corporation of Canada and The Royal Trust Company (collectively, the “Companies”) and their affiliate, Royal Mutual Funds Inc. (RMFI). *Member – Canada Investor Protection Fund. Each of the Companies, RMFI and Royal Bank of Canada are separate corporate entities which are affiliated. “RBC advisor” refers to Private Bankers who are employees of Royal Bank of Canada and licensed representatives of RMFI, Investment Counsellors who are employees of RBC Phillips, Hager & North Investment Counsel Inc., Portfolio Managers who are employees of RBC Global Asset Management Inc., Trust Advisors and Will and Estate Advisors who are employees of The Royal Trust Company or Royal Trust Corporation of Canada, or Investment Advisors who are employees of RBC Dominion Securities Inc. In Quebec, financial planning services are provided by RMFI which is licensed as a financial services firm in that province. In the rest of Canada, financial planning services are available through RMFI or RBC Dominion Securities Inc. Estate and trust services are provided by Royal Trust Corporation of Canada and The Royal Trust Company. If specific products or services are not offered by one of the Companies, clients may request a referral to another RBC partner. The strategies, advice and technical content in this publication are provided for the general guidance and benefit of our clients, based on information believed to be accurate and complete, but neither the Companies, RMFI, nor Royal Bank of Canada, nor any of its affiliates nor any other person can guarantee accuracy or completeness. This publication is not intended as nor does it constitute tax or legal advice. Readers should consult a qualified legal, tax or other professional advisor when planning to implement a strategy. This will ensure that their individual circumstances have been considered properly and that action is taken on the latest available information. Interest rates, market conditions, tax rules, and other investment factors are subject to change. This information is not investment advice and should only be used in conjunction with a discussion with your RBC advisor. None of the Companies, RMFI, Royal Bank of Canada nor any of its affiliates nor any other person accepts any liability whatsoever for any direct or consequential loss arising from any use of this report or the information contained herein. In certain branch locations, one or more of the Companies may carry on business from premises shared with other Royal Bank of Canada affiliates. Notwithstanding this fact, each of the Companies is a separate business and personal information and confidential information relating to client accounts can only be disclosed to other RBC affiliates if required to service your needs, by law or with your consent. Under the RBC Code of Conduct, RBC Privacy Principles and RBC Conflict of Interest Policy confidential information may not be shared between RBC affiliates without a valid reason.
RBC Wealth Management is a business segment of Royal Bank of Canada. Please click the “Legal” link at the bottom of this page for further information on the entities that are member companies of RBC Wealth Management. The content in this publication is provided for general information only and is not intended to provide any advice or endorse/recommend the content contained in the publication.
® / ™ Trademark(s) of Royal Bank of Canada. Used under licence. © Royal Bank of Canada 2025. All rights reserved.