In contested estate matters, time doesn’t stand still just because a legal dispute is unfolding. Assets may need protection, bills must be paid, tax filings are due — yet no one may have legal authority to act. That’s where an Estate Trustee During Litigation (ETDL) comes in.
An ETDL is a court-appointed trustee tasked with managing the estate temporarily, while litigation is ongoing. Their role is strictly administrative — they don’t take sides in the dispute, and they aren’t there to interpret the will. They’re there to keep the estate functioning and protected until the litigation is resolved.
When Is an ETDL Appointment Necessary?
Courts in Ontario will appoint an ETDL when:
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There is no probate certificate due to ongoing will challenges or disputes over who should be trustee
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There is no consensus among beneficiaries or interested parties about how the estate should be administered
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The named executor is unwilling, unable, or conflicted
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Estate assets are at risk — for example, real estate needs securing, taxes must be paid, or financial accounts are vulnerable
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Urgent decisions must be made, and no one has legal authority to act
In short, an ETDL may be necessary when the estate would otherwise be left in limbo, exposed to unnecessary risk or delay.
Who Can Act as an ETDL?
An ETDL is usually:
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A neutral third party (often a lawyer or trust company)
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Appointed by the court under Rule 75.06 of the Rules of Civil Procedure
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Agreed to by the parties or selected by the court if there’s no agreement
It’s crucial that the ETDL has no stake in the outcome of the litigation. Their job is to administer, not advocate.
What Powers Does an ETDL Have?
The court order appointing the ETDL will specify their powers, but typically they can:
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Collect and preserve estate assets
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File taxes
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Maintain or insure estate property
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Pay ongoing expenses and debts
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Communicate with beneficiaries on administrative matters
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Prepare interim reports or accountings
Importantly, an ETDL does not distribute the estate — they hold assets in trust until the legal issues are resolved and the rightful estate trustee is confirmed.
Why an ETDL Can Be Critical
Without an ETDL, key estate functions can grind to a halt. That might mean:
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Mortgage defaults on estate property
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Insurance lapses
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CRA penalties for missed tax filings
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Family business interruptions
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Inability to access bank accounts to pay debts
In litigation that can take months or years to resolve, this kind of paralysis is not just inconvenient — it’s harmful to the estate and its beneficiaries.
Can an ETDL Be Contested?
Sometimes parties resist the appointment of an ETDL, especially if one side feels it delays matters or undermines their position. However, courts prioritize preservation and impartiality. If there’s a serious dispute or vacuum in authority, courts are likely to appoint an ETDL to ensure that estate assets are not mismanaged or left unguarded.
Final Thoughts
An ETDL appointment is not a sign of failure — it’s a strategic safeguard used when estate litigation is underway and action must still be taken. Whether you’re contesting a will, disputing the choice of executor, or simply trying to protect estate assets during a dispute, an ETDL can provide critical stability and neutrality.
At Kimel Law Group, we assist clients in both seeking and responding to ETDL applications, and we advise ETDLs on their responsibilities once appointed. If you’re involved in a contested estate and unsure how to move forward, contact us today to discuss whether an ETDL might be appropriate in your case.