Jortikka v Haukka

Jortikka v Haukka involved a dispute between two daughters, the plaintiff and the defendant, who were co-executors of their deceased father's estate. The plaintiff applied for the removal of the defendant as executor, claiming her unfitness to continue due to her unresponsive and cavalier approach to finalising the estate administration. The court found that the paramount consideration was the welfare of the beneficiaries, and after considering Dimos v Skaftouros, the court removed the defendant and allowed the plaintiff to remain as executor. The plaintiff also sought a claim for mesne profits for the defendant’s occupation of the estate property. As the defendant had occupied the property prior to the deceased's death without consent, the court ruled that she should pay occupation rent for the period of her occupation, referencing Maher v Kuperholz and Byrnes v Kendle. Furthermore, the plaintiff applied for executor's commission, and the court awarded 3.5% considering the extensive work done by the plaintiff in clearing and refurbishing the estate property, despite the defendant's lack of engagement.

The court also addressed the defendant's request for an adjustment to her share of the residuary estate to account for costs incurred due to the delay in estate administration. The court ruled that the defendant's share should be adjusted to cover the removal and storage costs of her belongings and utilities during her occupation. The plaintiff further sought an adjustment for capital gains tax and land tax. The court found that capital gains tax should be paid by the estate as negotiations for the property sale extended beyond the two-year exemption period, but land tax should be paid from the defendant’s share of the estate. The court did not find evidence to support any depreciation in the value of the estate property. The final orders included the removal of the defendant as executor, the awarding of occupation rent, executor's commission, and adjustments to the defendant’s share of the estate to account for certain costs and taxes.