What exactly is a probate process? How do you prepare for a probate proceeding? You have to submit a petition to start the probate process. In various legal systems, it may go by different names. You file this petition with the probate court to request help. The probate process aids in identifying legal heirs. It should identify every participant.
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The court notifies all parties involved in the upcoming proceedings. You must make a list to prepare for the probate process. The list must include each of the heir’s name and contact address. Your attorney may not know all or most of the heirs. You must assist your lawyer in compiling a thorough and accurate list of these heirs. Handle the preparation of the list with diligence and thoroughness.
What is probate?
The entirety of a person’s net worth makes up their estate. An estate includes all real estate, personal property, investments, cash, and other assets. These are things a person owns or controls in a lifetime.
A deceased person is called a “decedent” in tax and estate planning. When someone passes away, their belongings become a part of their estate. The legal will prescribes the ultimate affairs of a decedent’s estate.
In Michigan, probate is a formal legal procedure that may be necessary following a death. A probate will help a surviving relative assemble the deceased’s possessions. Settle any outstanding obligations and taxes. The process allows the court to distribute the deceased’s assets to the beneficiaries.
A decedent leaves behind properties. Properties must pass on to the heirs of the decedent. These properties or assets could consist of:
[ a ] Real estate includes homes, other structures, land, and anything affixed to it.
[ b ] Personal property like furniture, vehicles, and other items not tied to real estate
[ c ] Money in banks
[ d ] Bonds and stocks
[ e ] Debts owed to individual
In the event of a person’s death, the law specifies the division of their property. Probate courts in Michigan are responsible for the fair division of the estate. Probate administration is the term used for this. Items belonging to the deceased are part of the estate. There is a certain group of properties not distributed by the probate court since it is not a part of the estate. Usually not included in the estate are:
[ a ] Property owned jointly
[ b ] Insurance policies
[ c ] Accounts for retirement, or
[ d ] Trusts not created by a will
What happens in probate?
When a person dies he or she leaves behind their estate for others to manage and divide. The family members of the decedent may be in mourning. But someone still has to take care of the decedent’s possessions. There are clusters of activities and processes taking care of the decedent’s possession. Some of the tasks have to do with legal compliance. This is what happens during probate.
The Simplified Process
You can manage or administer an estate in a variety of ways. An estate with a less significant amount of property can use a simplified procedure. The probate court is marginally or not at all involved in the process. The streamlined procedures are:
[ a ] Assignment of Property
[ b ] Transfer by Affidavit
[ c ] Collect payment due from an employer.
[ d ] A vehicle transfer
[ e ] Collect personal property
For a decedent who passed away in 2022, an estate must be valued at $25,000 or less to be eligible for a simplified process. Every few years, this number increases.
The Informal Probate
The probate register oversees the conduct of informal probate proceedings. There are fewer steps in informal proceedings. The process might still be challenging. Selecting the personal representative or the PR is the first stage. in the informal probate process.
Fill out the Application for Informal Probate and/or Appointment of Personal Representative form.
If you want to be the personal representative, fill out the form. Attached the following to the completed application form:
[ a ] A copy of the death certificate (certified); and
[ b ] The decedent’s will.
Submit the completed form and documents to the county probate court. It should be the decedent’s county of residence. File the paperwork in the county where the real estate is located. Do this if the decedent is not residing in Michigan but did own real estate there. Pay the corresponding filing fee.
You can fill out a Petition and Order to Open a Safe Deposit Box. You will need this to Locate a Will or Burial Deed. You are asking the court to grant you access to the will if you believe the deceased may have left one there.
The probate register signs the Probate Register’s Statement if they approve the application. The document names the personal representative and acknowledges the will. The personal representative must complete the Acceptance of Appointment form. PR signs it and files it before acting on the intentions of the will.
You must serve the notifications. Notify anyone who has a higher or equal right to be a personal representative of the estate.
Deliver the notification verbally or via letter. You must add Proof of Service to your application after completing the service. If you decide to mail the notification, the probate court must wait 14 days. 14 days before taking any action on your application after you mail the notice. The court must hold off on acting on your motion for seven days.
The Formal Probate
For formal probate proceedings to begin, you must be an “interested party.” Any individual with a stake in, claim against, or property right in the estate is an interested party. It might involve the decedent:
[ 1 ] Heir
[ 2 ] Devisee
[ 3 ] Creditor
[ 4 ] Beneficiary
To start the procedure, interested parties must fill out and submit a form. The form is called Petition for Probate and/or Appointment of Personal Representative. You may use this petition to request that the court issue any of the following orders:
[ a ] Probate a will.
[ b ] Set aside or stop informal probate of a will.
[ c ] Discover that the deceased passed away without leaving a will and intestate.
[ d ] You must notify interested parties if you file the petition seeking the judge to order a will to be probated. Or to determine testacy whether there is a legitimate will.
[ e ] You must enclose a certified copy of the decedent’s death certificate. Attached it to your petition. A filing fee is due when you submit your petition.
Serving Notices to Interested Parties in a Probate
The court clerk will set a hearing date once you submit your petition. You have to ask the court clerk when you file your petition when to expect hearings. The clerk of court may not schedule your hearing when you file your petition. Ask the clerk of court whether you should call back to seek a hearing date.
You must notify or secure the petition’s signed consent from the following parties:
[ a] All the heirs of the deceased.
[ b ] All the devisees and personal representatives mentioned in the will.
[ c ] If applicable, a personal representative whose appointment has not been terminated.
[ d ] Any individual who, if relevant, submitted a demand for notice.
[ e ] The trustees of any trusts left by the deceased, if any.
Notice may be given through:
[ a ] First-class mail at least 14 days prior to the hearing.
[ b ] Personal delivery at least seven days prior to the hearing.
[ c ] Published a single notice in a newspaper with wide distribution in the county. This notice is an alternative in case the identity or address of an interested party is unknown.
Attending the Hearing
The probate judge will look into the following:
[ a ] The decedent’s domicile (legal residence),
[ b ] The decedent’s heirs, and
[ c ] If a valid will exists during the hearing.
How long hearings will be and how long, depends on whether someone is contesting the petition. An interested party may contest (object to) the will’s validity to probate. It might be challenging to contest or support a will.
You should ask a lawyer to assist you with this aspect of the case.
The judge will enter an Order of Formal Proceedings if your petition is not objected to. Or the judge can decide to proceed with the case in spite of the objections. The PR must sign and submit the Acceptance of Appointment before acting on behalf of the estate.
Closing an Estate
The following needs to take place before an estate can be closed:
[ a ] The estate must be accessible for at least five months.
[ b ] The publication of the required notice to creditors. (At least four months before closing the estate).
[ c ] Payment of the inventory fee.
[ d ] Payment of taxes on estates and inheritances (proof of payment required)
There are two approaches to closing an estate:
[ a ] Complete an estate settlement. Or,
[ b ] Request a settlement order.
If you are going to end up being a PR in an estate, it may be expedient to work with an attorney. You may need someone to navigate the legal system and the probate laws.
What is a personal representative in probate?
A Probate Court appoints somebody to be a personal representative or PR. The PR oversees the administration of a decedent’s estate. during the Michigan Probate procedure.
The PR is in charge of overseeing and allocating the decedent’s estate to the heirs. The estate includes debt, cash, and assets that the deceased person owned at the time of their passing.
The PR carries out the instructions in the decedent’s Last Will and Testament. A will sometimes name a PR. In the absence of a Will, you may apply to the court. You can be appointed a Personal Representative. You can administer the estate under Michigan Law.
A personal representative from Michigan must be older than 18 years of age. You are a person who is not legally incapacitated. There is a specific hierarchy for the selection of a Personal Representative. According to Michigan Probate Law, this order is as follows:
[1] The person designated in the decedent’s will as Personal Representative
[2] If the surviving spouse is a beneficiary under the Will, then the surviving spouse.
[3] Other beneficiaries named in the will.
[4] The surviving spouse if not named a beneficiary in the will.
[5] Other heirs of the deceased
[6] With the probate judge’s approval, a creditor may be appointed. This is done if no one has been named after a specific amount of time.
How do you prepare for a probate proceeding?
You or the families of the deceased should take the following actions as soon as possible. Take these actions before a PR is appointed:
[ a ] The PR specified in the will may carry out the written instructions of the decedent dealing. Taking care of the decedent’s body. Make funeral arrangements and order enough copies of the death certificate.
[ b ] Locate the will if it exists. Find out where it is, and make arrangements to protect the decedent’s important papers.
[ c ] Get the identities of the heirs of the decedent. Including all other individuals mentioned in the will. Collect information about their residences and Social Security numbers.
[d] Get a list of the deceased person’s assets and information on how they are held. Verify if they are in joint names, trusts, sole names, or beneficiary designations. for things like life insurance, IRAs, and employment benefits, among other things.
[e] Make security arrangements for the deceased’s residence and company.
[f] Report the death to the Social Security Administration. Find out if any survivor payments are going to be granted.
[g] Ensure all funeral and estate-related costs are meticulously documented.
[h] Find out who will serve as the personal representative (PR) and, if a will exists. Take the necessary steps to file a petition for the appointment of a PR and the determination of testacy. If there is a will, open a probate in the probate court in the decedent’s home county.
Until a person has been formally appointed by the court as PR, nobody may act on behalf of the estate. A PR’s authority is official through the issuing letters of authority. There may be disagreement before the appointment of a regular PR. The court resolves this by appointing an interim PR.
The special interim PR will protect the estate assets and get the original will. Or pursue specific legal rights.
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