Letters of Administration and Estate Planning in Malaysia  | Khaw Ewe Seng & Co. | Penang Law Firm

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Handling a loved one's estate

with care

When someone close to you dies without leaving a will, we can help you obtain the legal authority to collect, manage and distribute what they have left behind. 

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How we help

We help families deal with an estate from start to finish. We can help you:

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• work out which route suits your situation, whether it is in the High Court, the District Land Office, or Amanah Raya Berhad;

• prepare and file the application for Letters of Administration;

• gather the documents you need, such as the death certificate and details of the assets and family members entitled to the estate;

• advise on an administration bond or sureties, and apply to set that requirement aside where appropriate;

• act for you at the Estate Distribution Unit of the Land Office for a small estate;

• collect the assets, settle debts and distribute the estate according to the law;

• represent you if any dispute arises.​

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​**This page is about non‑Muslim estates. A Muslim person's estate is shared according to Faraid, the Islamic rules of inheritance, through the Syariah system.

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Frequently Asked Questions

 

 

What are Letters of Administration, and when are they needed?

Letters of Administration are a document from the High Court. They give a person, called the administrator, the legal authority to deal with the estate of someone who has died without a valid will. Without this authority, banks, the land office and others will usually not release the assets. For non-Muslims, this falls under the Probate and Administration Act 1959.

 

What is the difference between Letters of Administration and probate?

The difference is whether the person left a valid will. If there is a will, the executor named in it applies for a grant of probate. If there is no will, a family member usually applies for Letters of Administration instead. Both give the legal authority to collect, manage and share out the estate.

 

Who can apply to be the administrator?

Usually a close family member who will benefit from the estate applies, such as a spouse, adult child or parent. The other people entitled to the estate often need to agree on who is appointed. Where a beneficiary is under 18, or someone has a life interest, the law generally requires at least two administrators, or a trust corporation. It is sensible to speak to a lawyer about who should apply in your case.

 

How is the estate shared out when there is no will?

For non-Muslims, the estate is divided by fixed shares set out in the Distribution Act 1958. For example, if there is a spouse and children but no living parent, the spouse takes one-third and the children share two-thirds. The shares change depending on who survives the deceased, so the exact split in your case is best checked with a lawyer.

 

What is the "small estate" route, and where is it handled?

If the estate is within the small-estate limit, the family can apply through the District Land Office instead of the High Court, under the Small Estates (Distribution) Act 1955, at the Estate Distribution Unit (Unit Pembahagian Pusaka). This route is often used where the estate includes land or a house, and is usually simpler than going to court — though many families still ask a lawyer to help prepare the papers.

 

What is the value limit for a small estate?

At the time of writing, an estate is treated as a "small estate" if its total value does not exceed RM5 million. This limit was raised in recent years (and the law now also covers estates made up of money and other movable assets, not only land). Figures like this can change, so please check the current position with the Land Office or a lawyer.

 

What is Amanah Raya Berhad, and when is it used?

Amanah Raya Berhad is a public trust corporation set up under the Public Trust Corporation Act 1995. It can administer certain estates, often smaller ones made up of money and other movable assets rather than land. Whether it suits your situation depends on the size and type of the estate, so it is worth getting advice.

 

Do we need sureties or an administration bond?

When you apply to the High Court, you may be asked to provide an administration bond, which can require two sureties (guarantors) with assets in Malaysia worth about the value of the estate. Finding sureties can be hard, so the court can be asked to set this requirement aside in a suitable case. A lawyer can advise you on this and make the application.

 

Can a person refuse or step down from being an administrator?

Yes. A person who is entitled to apply can choose not to, by formally giving up (renouncing) their right, so that someone else can take on the role. Being an administrator is a real responsibility — collecting assets, paying debts and sharing out the estate correctly — so if you are unsure whether to take it on, speak to a lawyer first.

 

What happens with a Muslim person's estate?

The information on this page is about non-Muslim estates. A Muslim person's estate is shared according to Faraid, the Islamic rules of inheritance, through the Syariah system. The family would usually obtain a Faraid certificate and deal with the estate under those rules.

 

How long does it take?

It depends on the size and complexity of the estate, whether everyone entitled agrees, and which route applies. A straightforward small estate is usually quicker than a High Court application. A lawyer can give you a realistic idea once they understand your situation.

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Lost a loved one who left no will in Malaysia?

Learn how Letters of Administration work, the small-estate and Amanah Raya routes, and how we can help.