Australian Capital Territory Current Acts

ADMINISTRATION AND PROBATE ACT 1929 - SCHEDULE 4

Schedule 4

(see s 41C)

Part 4.1     Order of application of assets if estate solvent

    1     Assets undisposed of by will, subject to the retention out of those assets of a fund sufficient to meet any pecuniary legacies.

    2     Assets not specifically disposed of by will but included (either by a specific or general description) in a residuary gift, subject to the retention out of those assets of a fund sufficient to meet any pecuniary legacies that are not provided for out of the assets undisposed of by will.

    3     Assets specifically appropriated or disposed of by will (either by a specific or general description) for the payment of debts.

    4     Assets charged with, or disposed of by will (either by a specific or general description) subject to a charge for, the payment of debts.

    5     The fund (if any) kept to meet pecuniary legacies.

    6     Assets specifically disposed of by will, rateably according to value.

Part 4.2     Rules about payment of debts and liabilities if estate insolvent

    1     The funeral, testamentary and administration expenses have priority.

    2     Subject to rule 1, the same rules must prevail and must be observed about the respective rights of secured and unsecured creditors and as to the valuation of annuities and future and contingent liabilities, respectively, and about the priorities of debts and liabilities that are in force at the death of the deceased person under the law of bankruptcy in relation to the assets of persons adjudged bankrupt.

    3     In the application of those rules, the date of the death of the deceased person must be substituted for the date of the sequestration order.