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4 Frequent Sources of Estate Litigation
Henry Jennings
Estate litigation can make a challenging moment even more troubling. Whether you're worried that you might have to protect your rights or that someone may bring a case against you, it's wise to talk with an estate litigation attorney. Here are four frequent sources of litigation.
Wills
People often have questions about the terms of a will or whether a specific copy is the right one to use. For example, there may be concerns about undue influence. If someone took advantage of the impaired state of the will's grantor toward the end of their life, there may be cause for litigation. A court would then have to determine the soundness of the grantor's mind at the time of the signing of the latest version of the will.
Appointment of an Executor or Administrator
The executor is the individual who puts the deceased person's will into action. If the will doesn't name an executor, the court will have to appoint an administrator. Likewise, the judge may need to appoint an administrator if there's a problem with the executor. For example, there might be concerns about whether the named executor is going to have enough free time to do the job well. Similarly, there might be concerns about the executor's competency.
Creditors
Beneficiaries are the only people who have claims against an estate. A creditor can also hire an estate litigation lawyer and bring a case. Likewise, tax agencies have the right to pursue outstanding debts against estates.
If the executor can't settle the debts with the funds and assets available in the estate, the creditors can also ask the judge to force the estate into bankruptcy. The bankruptcy court will then hear the case and decide if it qualifies. If so, the court handling the bankruptcy will sell the estate's assets to satisfy the creditors. The court handling the estate can then divide anything remaining among the beneficiaries.
Administrative Negligence or Misconduct
The executor has a fiduciary duty. Legally, the executor must make every effort to preserve as much of the estate's value for the beneficiaries as possible. Suppose an executor allows a house that forms the bulk of an estate's value to fall into disrepair. The beneficiaries would have grounds to sue the executor for damages.
Misconduct can also drive estate litigation. Perhaps a house needed repairs, and the executor used the repair process to funnel estate funds to a friend's contracting business. Once more, beneficiaries would have grounds to sue.
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