The South African law permits executors of a will to withhold money from a beneficiary for a reasonable period, usually between 6 to 12 months, depending on the complexity of the estate. However, it doesn’t allow executors to delay distribution unnecessarily or indefinitely, especially once the estate has been finalised and approved by the Master of the High Court.
Common reasons why executors may withhold money from beneficiaries include:
- Pending debts or taxes that must be settled first
- Delays in finalising the liquidation and distribution account
- Disputes between heirs or legal challenges
- Missing documentation from beneficiaries (like banking details, ID copies, tax numbers)
- Property or asset sales still in progress
Timeframes for Executors to Withhold Money From a Beneficiary
Let’s explore the reasons executors may withhold money — and the realistic timeframes for each:
1. Master of the High Court Approval (6–12 months)
Before money can be released, the estate must go through several legal processes including drafting, advertising, and approving the Liquidation and Distribution (L&D) account.
Executors can only distribute once the Master has given permission. This process alone can take 6 to 12 months.
2. Outstanding Debts and SARS Clearance (3–6 months)
The executor must ensure all creditors and SARS are paid before distributing money.
If the estate owes taxes or if SARS is slow in issuing clearance, it can delay the release by a few months.
3. Disputes Among Beneficiaries (Unpredictable)
Family disagreements, will contests, or court disputes can stall everything.
In these cases, money can be withheld until the matter is legally resolved, which can take months or even years.
4. Selling Property or Assets (4–12 months)
If an estate includes a house or vehicle that needs to be sold before distribution, this can take time due to market delays or legal processes.
Money will be withheld until the sale is finalised and transferred.
5. Beneficiary Documents Not Submitted (Until fixed)
Executors may withhold payments if a beneficiary hasn’t submitted necessary paperwork.
As soon as the beneficiary provides valid ID, bank details, tax number and proof of address, the funds can be paid out.
Can Executors Be Taken to Court?
Yes. If the executor has no valid reason and the estate is ready for distribution, beneficiaries can lodge a complaint with the Master of the High Court, or in serious cases, take legal action for undue delay.
There are cases where executors of estates intentionally delay payments for their own selfish reasons, such as holding onto interest earned in the estate’s bank account, favouring one beneficiary over another, or refusing to cooperate with professionals like attorneys or valuators. This is greed and no longer part of the lawful duties of an executor.
If you suspect that the executor is intentionally delaying payment without proper cause, it’s your right to request written updates, ask for copies of the L&D account, or escalate the matter to the Master’s office where the estate is being administered.
