What Happens When an Executor or Trustee Isn't Doing Their Job?

If you're named as a beneficiary in someone's will or trust, you have legal rights and legal options if those rights are being ignored.

When someone passes away, the person responsible for handling their estate, called an executor or trustee, is supposed to act in the best interests of the people who are set to inherit (that's you, the beneficiary). Most of the time, this process goes smoothly. But sometimes it doesn't. Assets go missing, money gets mishandled, or distributions are delayed for no good reason. And beneficiaries are left in the dark, not knowing what’s going on.

If you're in that situation, you should know that you have the power to make things right. New Jersey law gives beneficiaries ways to hold executors and trustees accountable. Here's what you need to know.

First, What Exactly Is an Executor or Trustee?

An executor is the person named in a will to handle someone's estate after they die. They're responsible for gathering assets, paying debts, filing taxes, and making sure everything gets distributed to the right people according to the will.

A trustee does something similar, but within the context of a trust, a legal arrangement where assets are held and managed for the benefit of others. Unlike an executor whose job ends once the estate is closed, a trustee might manage assets for years or even decades.

Both are called fiduciaries, a legal term that simply means they have a duty to act in your best interest, not their own. When they fail to do that, there are consequences.

Can Beneficiaries Actually Sue an Executor or Trustee?

Yes, absolutely. This surprises a lot of people who assume they just have to wait things out or hope for the best. But beneficiaries have real legal standing to take action when something isn't right.

New Jersey courts take fiduciary misconduct seriously. If an executor or trustee is mishandling the estate, you can file a legal claim against them. The most common reasons beneficiaries take this step include:

Mismanagement of estate assets, for example, neglecting property, making bad investment decisions with trust funds, or simply being careless with what they're supposed to be protecting.

Failure to distribute assets properly, if someone is supposed to receive an inheritance and the executor keeps stalling or distributing things incorrectly, that's a problem the court can address.

Fraud or self-dealing, this is one of the more serious violations. It happens when an executor or trustee uses their position to benefit themselves, like transferring estate property to their own name or paying themselves excessive fees.

Refusing to provide an accounting, beneficiaries have the right to know what's happening with the estate. If the executor or trustee refuses to share records, financial statements, or updates, that's a legitimate basis for legal action.

When a court finds that misconduct happened, it can order the fiduciary to repay losses to the estate out of their own pocket, and in some cases, remove them from their role entirely.

A Closer Look at Self-Dealing

Self-dealing deserves special mention because it's more common than people expect—and often disguised as ordinary decisions. Here are a few real-world examples:

An executor sells estate property to a family member at below-market value.

A trustee hires their own business to perform services for the trust at inflated rates.

An executor "borrows" funds from the estate with no intention of repaying.

These situations create a conflict of interest; the fiduciary is no longer acting in your best interest, they're acting in their own. Courts in New Jersey take a low view of this.

Can an Executor Be Removed in New Jersey?

Yes. A New Jersey court can remove an executor from their role if there's sufficient evidence of:

Breach of fiduciary duty — any action (or failure to act) that harms the estate or its beneficiaries in violation of the executor's legal obligations.

Mismanagement of estate funds — careless, reckless, or intentional mishandling of the money and property they're supposed to protect.

Failure to perform duties — simply not doing the job, whether that means ignoring creditors, missing tax deadlines, or leaving assets unattended.

Conflicts of interest — when the executor's personal interests are at odds with the estate's interests, the court may decide they can no longer be trusted in that role.

Removal isn't something courts do lightly, but when the situation calls for it, the court has full authority to step in, appoint a new administrator, and require the removed executor to account for everything they did (and didn't do) while in that role.

What Should You Do If You Suspect a Problem?

If something feels off, trust that instinct. Beneficiaries often know before anyone else that something is wrong. Assets disappear, communication decreases, or distributions keep getting delayed with vague explanations.

You can:

Request an accounting in writing. You have the right to a full accounting of the estate's assets, liabilities, and transactions. Put your request in writing and keep a copy.

Document everything. Save every email, letter, or text from the executor or trustee. Note dates when you made requests and whether you received responses.

Don't wait too long. New Jersey has deadlines for filing legal claims related to estates and trusts. The longer you wait, the more complicated things can get.

Speak with an estate litigation attorney. An attorney who handles estate disputes in New Jersey can review the specific facts of your situation and help you move forward to get justice. 

As a beneficiary, you have legal rights, and the law in New Jersey provides mechanisms to enforce them. 

If you're worried about how an estate or trust is being handled, the most important thing you can do is get informed. Understanding your rights is the first step toward protecting them.