Special Committee Companies Bill, 1962 debate -
Tuesday, 2 Apr 1963

SECTION 210.

Mr. J. Lynch

I move amendment No. 79 :

In subsection (2), page 125, line 43, to delete " and " and substitute " or otherwise ".

This amendment is to provide for the case where a contributory dies and his legal personal representatives default in meeting the contributory's obligations. The section as it stands could be taken to provide only that proceedings may be taken for the administration of the estate of the deceased contributory. In order to tie up with other provisions of this Part, it is being made clear that proceedings other than an administration suit might be taken.

Amendment agreed to.

Question proposed : "That Section 210, as amended, stand part of the Bill."

Chairman

Section 210 only makes the personal representative liable in due course of administration.

Mr. Norton

What does that mean ? Suppose I am an executor for someone. There is a winding up of his estate and a passing over of money. It is clear of income tax. Everything is clear. I am clear. Is it the executor who will have to make provision for this man's contributions ?

Mr. J. Lynch

If administration is carried out in due course, then there is provision whereby the obligation of the estate will have terminated at a certain time and any claims made subsequently could not be entertained.

Chairman

There is a statutory notice to creditors.

Mr. Norton

Will the statutory notice to creditors terminate the period during which claims can be made, or is it possible under this section to get after the executor when in fact he has wound up the affairs of the deceased person ?

Mr. J. Lynch

The executor is liable only to the extent of the estate of the person whose executor he is, as long as he has carried out his duties in accordance with law.

Mr. Norton

I saw a case in the Department of Social Welfare where they wanted to sue a Garda sergeant for £180 which it was alleged was received by an old age pensioner who, according to the Department received the old age pension in circumstances in which he was not entitled to it. This man was the executor for the very fragmentary estate which the old age pensioner had, and the State Solicitor came down on the Garda sergeant and wanted him to pay because he was the executor, though he had no estate whatever.

Chairman

He could be liable only to the extent of the estate. He cannot be made personally liable.

Mr. Norton

The estate consisted of a house which the old pensioner had purchased from the Kildare County Council, which was a very old cottage. I want to make sure that once he has cleared and disposed of the assets, no one can get after the executor.

Major de Valera

No, no one can.

Mr. Gallagher

After that, no claim can be permitted.

Chairman

The liability does not pass to the beneficiaries.

Mr. Norton

So long as there is no conflict between this provision here and whatever provisions are in the law which enables him to terminate on the date of the deed of claim, I am satisfied.

Chairman

I think Section 210 makes it clear. It is only in due course of administration that he can be made liable.

Mr. J. Lynch

He is only personal representative as long as he is so acting. Once he has administered the estate, he is no longer personal representative.

Question put and agreed to.