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Potential Probate Issues When The Personal Representative May Become A Creditor Of The Estate

You just got appointed Personal Representative of an estate. Through the efforts of your probate attorney you now have authority to act regarding the estate pursuant to Letters of Administration being granted by the probate Judge. This is when you should always contact your attorney if you have any questions regarding your authority to act. Remember as a Personal Representative you are acting in a fiduciary capacity. That means you are held to a higher standard of responsibility than the average person.

Issues can arise when the Personal Representative has a potential claim against the estate. This can occur for example, when that person has paid from their own funds the funeral expenses invoice, the costs of repairs to the deceased person’s home, or paid the decedent’s credit card bills.

The solution is to have an experienced probate attorney who is representing you, file the appropriate legal papers with the Court and obtain court approval for those expenses to be paid from estate funds. You especially want your probate attorney to prepare written consents for all estate beneficiaries to sign. Your probate attorney will then file these consents with your other papers and provide them to the court.

However, if the beneficiaries do not agree to your reimbursements you then may have a conflict, and potentially may have to withdraw as Personal Representative. This is because you may become a potential creditor of the estate and cannot act as Personal Representative for the estate if other beneficiaries object to any of your requests to be reimbursed from estate funds.

Additionally, you may need another attorney other than the original probate attorney to represent you as a potential creditor against the estate, especially of you file a claim against the estate.

Probate administration often can become complex. This is but one example, where you should be certain you hire an experienced probate attorney to represent you in your fiduciary capacity, as Personal Representative of an estate. You must be certain that you properly carry out your fiduciary duties to the estate.

If you have more questions regarding a Guardianship or Probate Litigation matter, you may call Ann Marie Giordano Gilden at Ann Marie Giordano Gilden, P.A. at 407-732-7620 and set an initial consultation. You may also visit my website at http://www.AnnMarieGildenLaw.com.

This information is provided only as educational materials, and does not constitute the providing of legal advice, and does not create any attorney client relationship.