Inheritance & Probate

Does an estate administrator in Israel have to post a guarantee before managing estate assets?

Often yes, and almost always when the administrator lives abroad. Chapter Six of the Succession Law 5725-1965 lets the Registrar of Inheritance Affairs or the Family Court set the terms on which an estate administrator is appointed, and one of those terms is security for the proper handling of the estate. The security can be a written personal undertaking, two local guarantors, or a bank guarantee sized to the liquid value of the estate. An appointment does not take effect until the security the court demanded is actually filed.

An estate administrator (menahel izavon) is an officer of the court, not simply an agent of the heirs. The appointment carries a duty to collect the assets, file an inventory of the estate, settle debts and taxes, and account for every shekel before distribution. Because the administrator controls money that belongs to heirs and creditors who may be scattered across several countries, the court is entitled to require security before handing over that control. The scale of the security tracks the risk: a modest estate handled by the sole heir may need nothing more than a signed undertaking, while a portfolio of apartments and bank accounts administered by a stranger to the family usually attracts a bank guarantee.

Foreign heirs run into this most often when they nominate a relative who lives outside Israel. Israeli courts have no practical way to enforce a judgment against an administrator with no local assets, so they compensate by demanding Israeli guarantors, an Israeli address for service, or cash security. Two workarounds are common. The first is appointing an Israeli attorney as co-administrator, which usually reduces the security the court asks for. The second is limiting the appointment to specific assets, such as a single bank account, so the guarantee is sized to that asset alone. Budget for the guarantee cost before you apply, because it is charged to the estate and it runs until the final account is approved.

⚖ In Practice
  • Governing law: Chapter Six, Succession Law 5725-1965 (appointment and duties of an estate administrator); Succession Regulations 5758-1998
  • Competent authority: Registrar of Inheritance Affairs (Rasham LeInyanei Yerusha) for uncontested files; Family Court (Beit Mishpat LeInyanei Mishpacha) where there is a dispute
  • Forms of security: written personal undertaking, two Israeli guarantors, or a bank guarantee; the amount is set case by case and is usually keyed to the liquid value of the estate
  • Bank guarantee cost: roughly 1% to 2% of the guaranteed sum per year, plus an issuance fee of approximately NIS 300 to NIS 500 (2026)
  • Inventory deadline: a sworn inventory of estate assets and debts is due to the heirs within 60 days of appointment, unless the heirs agree to a different date (Section 84(a), Succession Law 5725-1965), and an annual report follows for as long as the administration continues
  • Release: the security is discharged only after the court or Registrar approves the final account and the estate is distributed

From the full guide: Israeli Estate Administrator: A Complete Guide for Foreign Heirs


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Get a Free Consultation with Adv. Eli ShimonyPrepared under the direction of Adv. Eli Shimony, Eli Shimony Law Office · Editorial policy

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