QUESTION
Will the sale of a property be canceled if the owner passes away before the sale?
Asked on Apr 07th, 2014 on Estate Planning - Louisiana
More details to this question:
My sister is POA and I am an executive of the estate. The property is scheduled to be auctioned and if my mother passes away before the sale, is the sale canceled. The sale of the property is to pay the home but the money is still in the account to pay home.
13 ANSWERS
3 Awards
Usually the contract is still enforceable and the court appointed executor completes the transaction after getting authority to do so.
Answered on Apr 09th, 2014 at 1:39 PM
Commercial Contracts Attorney serving Boise, ID
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Peters Law, PLLC
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Yeah, probably because once she dies, the property belongs to her estate and the personal representative will have to sell the property.
Answered on Apr 09th, 2014 at 1:39 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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I do not fully understand your question. Contract made during life becomes the responsibility of the estate, generally.
Answered on Apr 09th, 2014 at 5:40 AM
Thomas Edward Gates
Her estate would be able to continue the sale. You, as executor, would sign for the estate.
Answered on Apr 09th, 2014 at 5:40 AM
Edwin K. Niles
1. A power of atty dies with the grantor of the power.
2. If there is a binding contract of sale, look to the terms of the contract to see if is cancelled. If you are already in escrow, probably not.
3. You must mean executor. Even though you are named as such, you are not the executor until the court says so. You need to have a probate lawyer. Once you have your court papers (called ?Letters?) you can conclude the sale.
Answered on Apr 09th, 2014 at 5:39 AM
Probate Attorney serving Newport, OR
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Minor, Bandonis & Haggerty P.C.
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There's already a sheriff's sale set? So, someone got a judgment and executed on the home . . . if your mother passes away, her estate would be able to exercise her right to redeem the property by paying the amount bid in at the sale. Or, you could simply appear at the sale and bid. But if your mother has the money to pay, and let it go this far, does she have capacity? There are lots of questions; your sister, as POA for your mother, should speak to a lawyer about this situation. Letting property go to the Sheriff's sale is a bad idea, will entail costs. Your sister should step in and step up (IMHO).
Answered on Apr 09th, 2014 at 5:38 AM
Trusts Attorney serving Sacramento, CA
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Law Office of Victor Waid
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If you are talking about a trust, but the mother settlor of the trust is not deceased, then only she can authorize a sale. If a sale has been authorized and is in process, and mother dies, then trust is now irrevocable, and trustee must complete the sale; however a court order from the probate court may be required approving the sale and the trustees power to do so.
Answered on Apr 09th, 2014 at 5:38 AM
2 Awards
No it does not cancel the sale.
Answered on Apr 08th, 2014 at 8:09 PM
2 Awards
Possibly. It depends on the date of the notice, the date of the death and the date of the sale. You may need a temporary restraining order and a temporary administration to block the sale.
Answered on Apr 08th, 2014 at 8:08 PM
Bankruptcy Attorney serving Seattle, WA
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Carrington Law Offices, P.C.
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If your mother passes away, the POA is no longer valid. The property has to go through the probate process with you as executor.
Answered on Apr 08th, 2014 at 8:07 PM
The sale can continue even after your mother's death. Any income from the sale would be placed in her estate.
Answered on Apr 08th, 2014 at 7:45 PM
Commercial Attorney serving Chicago, IL
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Ashcraft & Ashcraft, Ltd.
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If there is a contract signed by the owner (or the POA) before the owner dies then the contract must be honored by the representative of the estate. If there is no contract when the owner dies the court appointed representative can enter into a contract to sell the property. If the owner has cancellation rights or needs to ratify the auction sale then the contract with the auction house is probably not sufficient but the court appointed representative could ratify the auction sale.
Answered on Apr 08th, 2014 at 7:45 PM
Probate Attorney serving New Orleans, LA
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James G. Maguire
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The power of attorney terminates at death. The executor will sell the property on behalf of the estate.
Answered on Apr 08th, 2014 at 7:44 PM