Probate is a complex legal process that involves the distribution of a deceased person's estate to their beneficiaries. Typically, there is an existing will which specifies how the estate should be administered. A surrogate court will make a decision on the validity of the will. The instructions of the deceased will be examined during this process. And an appointed executor of the estate will act as the personal representative of the estate and will hear the interests of heirs and other parties that have any claims against the estate.
During this legal process, the deceased person's property is retitled out of their name and transferred to their beneficiary. This legal proceeding can last for several weeks or several months depending on whether or not their are any objections to the administration of the estate. Before any disbursements can be made, all creditors need to be notified and legal notices have to be published.
It is the responsibility of the trustee to settle any unpaid debts by distributing the descendants assets. In many cases, a petition to appoint a personal representative may need to be filed and Letters of Administration obtained. If there are any pending lawsuits involving the estate, these will have to be resolved before the administration of the estate. This is why this process could take many years to resolve.
If there are any real estate assets, they may need to be sold in order to pay off debts or to settle a law suit. Any estate taxes must be also be taken care of if applicable. It is important to have a lawyer that specializes in these proceedings handle the court issues regarding the estate. This will make the process go much faster and smoother. There are certain legal steps that must be followed in a timely manner.
When a probate case is opened with the court, the executor takes an account of the decedent's property and will be responsible for paying any debts. After the debts have been paid, all taxes must be paid as well, including the estate tax. After all of the applicable taxes have been paid, the remaining property can be administered to the beneficiaries. This will be as instructed by the decedent in the will.
If there are any parties that do not agree with the distribution of assets, the may contest the administration of the estate. This contest may be based on several factors that must be addressed in court. In such an event, the personal representative must abide by the fiduciary duties of the estate and hold the assets in an interest bearing account until a settlement or decision is reached.
If at all possible, it is best to avoid probate. This legal process can last from a few months to several years. It can mount up in legal costs and delay beneficiaries from receiving their monetary administration of the estate. There are many ways to avoid this process. One popular way to to have a Living trust. The original owner of the trust can transfer their assets to a Trust account which the owner controls. When the owner of the trust dies, the listed beneficiaries in the trust will then have ownership of the property of the trust. A living trust protects the deceased assets and the heirs from a public probate process.
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