QUESTION
As the executor of estate, must I pay my niece?
Asked on Mar 27th, 2013 on Estate Planning - Michigan
More details to this question:
My mother left my niece money. I tried to pay my niece but all certified letters were sent back. It was the correct address, she choose to not accept. Now five years later, she is requesting the money. Do I have to pay her? What if I have lived on this money? What are my rights?
17 ANSWERS
Yes, you probably have to pay her. Is the estate still open? If not, how did you close the estate without paying her? Did you set up an escrow or deposit money with the court?
Answered on Apr 01st, 2013 at 2:49 AM
Business Attorney serving Orem, UT
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Kirton & McConkie A Professional Corporation
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A few other pieces of information are necessary to determine the answer to this more definitively, but if a person refuses delivery of a gift the gift is not complete. The niece has likely lost her right to demand the money, but it depends on whether the estate is still open and what the will said. If an heir refuses a gift, that gift may or may not lapse, depending on the language of the will. The will, or the state's default law, would then determine to whom that refused gift should go. It may have been you, but maybe not. I recommend you consult with an attorney experienced in this area.
Answered on Mar 31st, 2013 at 10:55 PM
Business Planning Attorney serving Livonia, MI
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Frederick & Frederick Attorneys at Law
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Yes, you need to pay her. Five years ago, you should have complied with the "missing legatee" laws. If you had done so, then two years ago, you would have likely received these funds, free from any restrictions or issues with the niece. Because you apparently did not do this, you do not have any protection against her, now.
Answered on Mar 27th, 2013 at 5:07 PM
Taxation Law Attorney serving Glendale, CA
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Irsfeld, Irsfeld & Younger LLP
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Count yourself lucky if all you have to pay is what she was originally entitled to. She probably could get triple damages, plus interest.
Answered on Mar 27th, 2013 at 3:14 PM
Commercial Contracts Attorney serving Boise, ID
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Peters Law, PLLC
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You have no rights, you have obligations. You had an obligation as the executor to give her the money. If nothing else, you could have gone to her house with the check and say, "Here!" Yes, the estate owes her the money.
Answered on Mar 27th, 2013 at 2:43 PM
Trusts Attorney serving Sacramento, CA
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Law Office of Victor Waid
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Advise you obtain probate legal representation to represent you, as to your sister's claim, and maybe you can settle this matter; the money was not yours top spend.
Answered on Mar 27th, 2013 at 2:41 PM
The personal representative, or PR, has a duty to the beneficiaries of an estate and as such is not permitted to spend the estate money on themselves for personal use. When a PR spends money on him/herself they are liable to the estate for the money they took. In otherwords, you owe the money back to the estate if it was someone else's.
Answered on Mar 27th, 2013 at 11:59 AM
3 Awards
Did you receive an order of final discharge from the court? If so, then the estate has probably been finally settled. However, I am guessing that you did not, as I am unsure how you would have since you did not have a receipt for her distribution. Usually in that circumstance, the distribution is made for her benefit to the county treasurer where the estate is being administered. I urge you to speak with an attorney to address the possible additional liability you may face. Honestly, having to make the distribution to your niece may be the least of your worries. In Nevada you may face a double damage judgment. Please seek legal counsel if you do not already have one and have the attorney review all of the pleadings and communications with your niece. Posting a question on this site is insufficient to establish an attorney client relationship. The advise given is hypothetical in nature and the legal issues you face need personal attention and advice from a qualified attorney.
Answered on Mar 27th, 2013 at 11:59 AM
Thomas Edward Gates
As the executor, it was your obligation to pay the beneficiaries as the WIll directed. She is due the money and you must pay her. How were you able to close probate without paying her?
Answered on Mar 27th, 2013 at 11:59 AM
Probate Attorney serving Newport, OR
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Minor, Bandonis & Haggerty P.C.
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How did you close the estate without a receipt from your niece? Basic answer, yes, you have to pay her; you have a duty as PR of the estate to carry out the instructions in the Will. Upon not being able to reach her, you should have paid the money over to the state's Department of State Lands; they would have held it for her.
Answered on Mar 27th, 2013 at 11:59 AM
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You do not have the right to take the money just because your niece did not accept it. You should have put it in unclaimed property or held it for her benefit. Yes you must pay her the money.
Answered on Mar 27th, 2013 at 10:41 AM
Since it's been five years since your niece repeatedly refused to accept the certified letters, I think you've got a pretty good case for viewing her actions as a refusal to accept the bequest, even if she didn't sign off on any form. Check to see how long your state allows someone to make a claim against an estate; statutes may ban such a late demand for payment.
Answered on Mar 27th, 2013 at 10:23 AM
Business Law Attorney serving Bingham Farms, MI
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James T. Weiner, P.C.
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Has the estate been formally closed? Did you notify the Court that she refused the money? and get the court's blessing on keeping the funds? Was it over 4 years since the estate was closed? (there may be a statute of limitation of 3 years if you were deemed to have converted the funds after you are discharged as the executor which I believe is 1 year after the estate was closed) Please contact an attorney if you have any more questions..
Answered on Mar 27th, 2013 at 10:21 AM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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It is her money.
Answered on Mar 27th, 2013 at 10:21 AM
Estate Planning Attorney serving Wilmington, DE
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Reger Rizzo & Darnall, LLP
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Depending on the amount of the estate and the amount of the bequest, you may have had to open an estate. You would not have been able to close it without a beneficiary signing a waiver. If she did not sign one, the Register of Wills would have sent her notice of the closing and if she did not respond in the required time, they would have closed it and the final distributions could have been made. I would keep all the documentation that you have that you tried to get the money to her.
Answered on Mar 27th, 2013 at 10:20 AM
Contact an attorney who specializes in estate matters. Depending on the documents she signed at the time, she may have waived or disclaimed her interest. Her rights may also be extinguished due to the passage of time. However, to protect yourself, consult with an attorney.
Answered on Mar 27th, 2013 at 10:20 AM
Trusts and Estates Attorney serving Troy, MI
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Barron, Rosenberg, Mayoras & Mayoras, P.C.
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Is the estate closed?
Answered on Mar 27th, 2013 at 10:08 AM