Appendix E
Addittional guidance on completion of factorial iventory
Documents and Information to be produced in support of the Estate of the Inventory
(a) Property which is occupied but not rented (no intention to sell)
Estimated value of subjects and band of Council Tax in which it is placed.
(b) Property which is empty and it is intended to sell
Up-to-date professional valuation.
(c) Property which is rented
Estimated value of subjects, band of Council Tax in which placed and certified Rental Statement with Missives of Let (if any) covering the period prior to appointment and showing the current rental and any arrears due. (If the rental is collected by a private individual it should be possible to show the exact position as at date of appointment but if by a Property Agent it will probably require to be the position at the preceding Whitson or Martinmas).
B. Pensions, Allowances, State Benefits, Annuities, Liferent interests
(a) State Benefits
Letter from the DSS stating the nature and rate of benefits in issue to the Ward. The date from which they first became payable to you and who they were paid to prior to that date of your appointment (NOTE - Your appointment is over all estate and pensions etc and DSS benefits must be taken into your own hands unless the Accountant's approval is given to some other arrangement).
(b) Other Pensions
Letter from the paying authority in similar terms to (Ba) above. If the pension is received by you from date of appointment, the payment advice slip will be sufficient.
(c) Annuities
By Bond of Annuity or (if missing or in cases where no Bond) letter from the paying authority giving details of the frequency and amount of the payments.
(d) Liferent Interest
By certified Extract of the Settlement showing the liferent provisions in favour of the Ward and certificated Trust Account bringing out the estate liferented by the Ward and revenue balance.
(a) (i) Bank and Building Society Accounts
By passbook or statements showing all transactions in the period from a date 3 months prior to appointment, to date of appointment. Where the passbook is missing a certified statement by the bank or building society showing the transactions in the period. (A bank or building society Certificate of Balance is not normally required except where the entries in passbook or statements are not clear. It may however be necessary in the case of a cheque account to produce a statement reconciling the position as brought out in the statements with the actual position to take account of outstanding cheques). Balances at credited of bank and building society accounts need NOT include accrued interest but passbooks should be written up-to-date prior to being exhibited to the Accountant.
(ii) Deposit Receipts
By production of the Deposit Receipts or where encashed a bank certificate showing the sum lodged, date of lodgment, date of upliftment and interest earned in the total period Deposit Receipt.
(iii) Building Society Bonds
By Bonds or where uplifted, letter from society stating sum held at date of appointment, date of upliftment and interest earned to upliftment. (The interest on some of these Bonds is credited to the capital sum lodged and accordingly, in such event, it will be necessary to produce a letter from the society stating the balance at credit of the Bond at date of appointment).
(b) Stocks and Shares, Unit Trusts etc
By the relative certificates or where missing a letter from the Registrars certifying the Ward's holding at date of appointment. A stockbroker's valuation of the investments as at date of appointment should also be produced and in the case of a private company, a valuation by the company's auditors should be produced.
(c) Damages Awards
(i) Where determined by the Court - by certified Interlocutor of the Court (including details of Award and expenses).
(ii) Where the action is still proceeding - by a copy of the Closed Record and copy correspondence to instruct the present position.
(iii) Where settled out of Court - by tender and Counsel's Opinion and any other relevant papers.
(iv) Where Criminal Injuries Compensation Board settlement - by letter from the Board stating the terms and conditions of the award including what expenses, if any, in addition to the award are being met by the Board and the date the award was remitted.
(Note - The Accountant's approval is required prior to any out of Court settlement being effected and in the case of a claim in excess of £10,000 the Opinion of Counsel as to the adequacy of the offer must be produced. In the case of Criminal Injuries Compensation Board offers this only applies where it results from the enquiries of a single member of the Board).
(d) Life Policies (see also Life Assurance Investment Bonds)
By policies or where missing, a letter from the company stating the terms and conditions of the policy. In the case of policies with an assured sum of less than £100 the sum assured will be accepted as its value but in other cases a letter from the company stating the surrender value should be obtained.
(e) Life Assurance Investment Bonds
By the Bond together with a letter from the company certifying the units held and surrender value at date of appointment. (It should be noted that these are not an authorised investments).
(f) National Savings Certificates
By Certificates and valuation as at date of appointment by the SAYE and Savings Certificates Office.
(g) Premium Savings Bonds
By Bonds or if lost, Certificate from the Bonds and Stock Office certifying the holding. (Premium Savings Bonds are an authorised investment and require to be realised. However holdings of £50 or less (which it may not be cost effective to realise) may be retained as a Special Range investment). Where there is a large holding a letter should be produced in due course stating whether any prizes were paid to the Factor to date of realisation.
(h) Executry Estates
(i) Where the Factor is appointed Executor qua Factor on the deceased's estate (or the Ward is appointed Executor and the Curator signs the Confirmation on her/his behalf) - by a certified extract of the deceased's Settlement (if testate), Confirmation and all documents to instruct the estate given up in the Confirmation.
(ii) In all other cases by a certified extract from the Settlement showing the provisions in favour of the Ward (if testate) and certified Executry Account bringing out the estate due to the Ward.
(i) Balances due to or by Law Agents
By certified copy ledger sheets.
(j) Loans etc due to estate
Where heritable by Heritable Security otherwise by document of debt.
(k) Contents of house, jewellery etc
Where these are possibly of considerable value or you are in any doubt as to whether there may be items of value, a professional inventory and valuation thereof must be obtained. Otherwise you should certify that the contents are of little or no value or include a certified list of the principal items and place a value thereon. Please note, however, that if the value placed thereon is in excess of £750.00, the Accountant will insist on a professional inventory and valuation. Where the contents have been sold the Roup Roll should be produced.
(l) Farms and Businesses
Where the estate includes a farm or other type of business you should produce a professional inventory and valuation of all assets and stock as at date of your appointment. Where the valuation of stock is at a date subsequent to appointment, as will most likely be the case, a reconciliation statement should be produced to arrive at a figure for stock at date of appointment. Certified copies of the last prepared accounts of the business should also be produced (audited if available).
(m) Debts
A Schedule of all debts due by the estate at date of appointment should be produced. The vouchers will not normally be required at this time but exceptions are:
(i) certified ledger sheets to instruct sum due to solicitors.
(ii) bank sheets (covering period 3 months prior to appointment) to instruct overdraft.
(iii) letter from building society or bank stating balance due at date of appointment in respect of any heritable debt. The Accountant may, however, on examination of the Schedule of Debts call for further documentation to instruct other debts.
Leaflets & Publications
