When Probate Matters

This morning I received a call from a son who just loss his mother to cancer. I expressed my condolences and we proceeded to discuss the reason for his call. His mother, who was very meticulous and maintained very good records of her finances, died without a Will. As you can imagine the drama unfolds from this point.

There are 3 children and they have at least agreed that the son who made the call to me could serve as the Administrator of the Estate. If that had not been agreed upon, the administration of the estate could be significantly delayed. Of course there are other issues that could have been avoided with a Will.

(1) The mother wanted her eldest son to have her extensive art collection - NOT - (they do not agree)
(2) The homestead still has a mortgage on it and one daughter wants to stay in the home - NOT - (they do not agree)
(3) The mother wanted everything to be equally distributed upon her death - NOT - (she only had one of her children on her insurance policy and on her bank account)

AND THE LIST goes on. Plan now and let us help you by contacting us at http://www.ythlaw.com/

Sometimes 2 Heads Are NOT Better than One - The Executors Dilemma

Are you an Executor of an estate? Do you share that role with another person? Well, it can all get so complicated if you do not get advice up front. Here are some tips for you:

1. You can hire and fire the attorney you hire for the estate. Determine what your fee arrangement was and proceed accordingly. Any fees incurred would have to be paid but you do not have to continue with the same attorney.

2. All executors have to agree on the estate attorney. One executor can not make that selection. If Executors can not agree that could result in court action to protect the estate from ineffective executors. An estate can be almost depleted if not totally if internal fights results. If unjustified, executors could be liable for waste.

3. All executors have to act together. Both or how ever many executors there are have to appear to be sworn as executors. Action on the estate can not occur until this is done.

My advice is to think twice before you make more than one person executor of your estate. If you must name more than one then give one power to decide any disagreement. Need more help, contact me at www.ythlaw.com

Probate - Estate Administration

If you are the executor or administrator of an estate, remember the following when closing out the estate:

1. Make sure all deeds are properly titled to the beneficiary/ies.
2. Make sure all final forms are submitted to register of wills, including final status report; any formal accounting; or family settlement agreement.
3. Make sure final approvals are obtained regarding inheritance tax filings.
4. Make sure you close out the estate account after everything is finalized.

This is a helpful checklist of things that often get overlooked. However, it would be to your benefit to consult with a professional probate attorney. We have that expertise. Contact us at www.ythlaw.com

When someone dies, who pays the Debts?

I just got off the phone with a friend of mine who recently loss her husband. She does not live in Pennsylvania but knows I handle estate administration and I have been available to answer the numerous questions that inevitable arise. She has made good use of my book Stop! What are you waiting for? Your step-by-step guide to estate planning which was a gift to her before any of us realized just how sick her husband was.

She asked about the bills, medical bills specifically, which are beginning to pile up. Is she responsible for paying these bills? The answer is the estate is responsible. Did her husband have any assets in his name alone? Such funds must be used to first pay the debts of the estate before any distribution is made to beneficiaries. However, assets jointly with his wife and accounts/investments/retirement accounts with beneficiary designation are NOT part of the estate. Therefore, if all of the assets fell into those categories, the estate is bankrupt and can not pay its debts.

Remember though if the estate should come into any money, ie. win a law suit for wrongful death, then the estate has money and those piled up bills have to be paid first. Leave your comments here or contact me at http://www.ythlaw.com/

Wills Help Avoid Crimes

I was watching Law and Order - Criminal Intent and, once again, was reminded of the importance of having a Will. This episode addressed estate fraud. When a person dies without a Will, someone has to be put in charge of the administration of the estate. That person is determined by the legal system. Sometimes there are opportunities where the system fails the deceased persons and in this episode such was the case.

There was pilfering of a number of estates while assets were held under the protection of the state. The system failed because of the criminal intent of a state employee with access. With no direction provided by the deceased persons via a Will, their assets languished within the system providing ample time and opportunity for thievery. Clearly, this was not what the decedent intended for their assets. However, failing to take that important step in creating a Will a criminal benefitted from the persons' estate.

Leave your comments here or contact us at http://www.ythlaw.com/