UGANDA, Kampala | Real Muloodi News | In a recent ruling, the Court of Appeal in Uganda has paved the way for beneficiaries to sell undistributed property from a deceased person’s estate, even without obtaining letters of administration.
This landmark decision by a panel of three justices—Catherine Bamugemereire, Muzamiru Kibeedi, and Christopher Gashirabake—clarifies the rights of beneficiaries in dealing with the estate of the deceased.
The case in question involved an appeal filed by Dr. Dina Kanzira against Herbert Natukunda and Robert Tukamuhbwa, all beneficiaries of the late Eric Rwanchwende’s estate.
Dr. Natukunda contested a land transaction between Dr. Kanzira and Rwanchwende, specifically a 30-acre piece of land within their father’s estate.
Natukunda argued that Rwanchwende, his brother, lacked legal authority for the sale since the estate had not been fully distributed, and he was allegedly suffering from mental illness at the time of the transaction.
The justices ruled that a beneficiary holds the right to enter into a valid sale agreement for land within the deceased’s estate, even if their name is not registered on the title, as long as it is part of their share.
Importantly, the court emphasised that the consent or authority of the heir or estate administrator is not a prerequisite for a sale to be legally binding.
Justice Bamugemereire, who authored the lead judgment, highlighted that the undistributed estate doesn’t grant the administrator sole ownership but rather involves managing it on behalf of beneficiaries.
Section 180 of the Succession Act, according to the judge, empowers the administrator but doesn’t confer sole ownership status.
The court expressed concern about a perceived monopoly of power within the late Eric Rwanchwende’s estate, urging families to be aware of each member’s rights and interests.
The ruling signifies a significant shift in the interpretation of property rights within undistributed estates. It underscores that beneficiaries have the autonomy to deal with their portion of the estate and emphasises the responsibilities of administrators to act in the best interests of the beneficiaries.
This decision provides clarity on the legal framework governing the sale of undistributed property, offering a nuanced perspective on the rights and obligations of those involved in managing the estate of the deceased.
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