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What happens if debt is not paid off by an executor?

| Jul 26, 2018 | Estate Valuation |

 

When a Minnesota resident dies, they have often accumulated debt. It is important to address this debt when the affairs are sorted out. If there is debt that is not paid off by an executor, there can be some problems.

Paying off the estate’s debts is one of the most important jobs an executor has. Before assets are distributed to beneficiaries, the executor is supposed to pay off the testator’s debts, including credit card debt. If there aren’t enough assets to cover all the debts, then there is a hierarchy of what debts should be paid and in what order. The debts need to be paid within nine months of the testator’s death. If an executor does not pay the debts, the creditor can file a lawsuit against the executor.

When a family member believes that an executor is not doing what they are supposed to, it may be time to contact an attorney who specializes in probate litigation. An attorney can work with the family and help determine if the executor has been honest and fair. They can help the family work out their differences during this emotional time by using mediation practices.

An attorney understands the complications that can arise during an estate settlement and knows how important it is to follow the law. When there is a question regarding whether something is being done correctly, it can be helpful to have an attorney evaluate the circumstances.

When a loved one passes away, it can be a stressful situation for many families. By determining if an executor is following proper protocol during estate valuation, an attorney can ensure the estate is being settled correctly.

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