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What is Probate Court?
A probate court refers to the court with authority to deal with probates. Fundamentally, they supervise the transfer of the deceased persons' estates. It is also known as a surrogate court or orphan's court.
It involves validating deceased persons' wills. If it is valid, the court administers the distribution with the assistance of an executor, and the deceased person's estate transfers according to their will. Without a will, the process becomes more tedious and complicated.
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- Probate court refers to the court with the jurisdiction to handle probates.
- They supervise the transfer of assets of the deceased persons. The transfer occurs in line with the will or to the next of kin.
- It is also known as a surrogate court or orphan's court.
- It becomes very difficult to transfer property to the beneficiaries or the legal heirs when people die without writing a will. Hence, surrogate courts play an important role in allocating the share of the assets.
Probate Court Explained
The probate court deals with a deceased person's assets and liabilities. Primarily, the court identifies whether the will is valid or not. If the deceased person dies without a will or forgets to name an executor clearly in a will, the court appoints an administrator to oversee the probate process. The assets in such cases are passed onto the next of kin of the deceased person.
There are many probate courts in the United States. One of the examples is the Probate Court of Cuyahoga County. The surrogate courts are generally governed by state and local laws of the country, and they may differ from country to country. The county court selected for probate depends on the location of the deceased's residence. A separate probate procedure is sometimes necessary if the deceased owned real estate in more than one state.
Process
The probate process begins when an entity or an executor file a petition for probate with the court. The court appoints an administrator or a personal representative if the person dies without a will. The executor or the personal representative presents the court with relevant forms filled, details of assets and liabilities of the deceased person, and the beneficiaries list. Furthermore, the procedures include passing information to the creditors, settling the liabilities, preparing and filing tax returns, and distributing the remaining assets to the heirs or beneficiaries.
A probate proceeding can take months or even years to complete. It can take anywhere from months to two years, and the longer it takes, it gets expensive. In addition, if any heir contests a will, the process becomes more time-consuming and costly.
There are various ways through which an individual can avoid the probate proceedings:
- Assigning the trustee is very crucial. Trusteeship leaves the rights of ownership on behalf of the person. Therefore, property or estate should have trustees.
- Most states have an exemption level that allows for an expedited probate process for very small estates.
- When a property is owned jointly by the family or businesses, assets can be transferred from one person to another without going through the probate process. It minimizes the burden of long court proceedings.
Examples
Let us look at probate court examples to understand the concept better:
Example #1
The Minnesota-based musician Prince Rogers Nelson who died in 2016, did not leave a will regarding his $156 million worth of property. Therefore, after six years, Minnesota First Judicial District ordered that the cash in Prince's estate will be divided equally between Prince Legacy LLC and Prince OAT Holdings LLC.
The representatives for Prince Legacy LLC include three of Prince's half-siblings, Sharon Nelson, John Nelson, and Norrine Nelson. Prince Oat Holdings LLC is owned by music publishing company Primary Wave and consists of interests once held by Tyka Nelson, Omarr Baker, and Alfred Jackson.
Example #2
In the United States, COVID-19 caused more than lakhs of fatalities, which means thousands of people passed away without leaving a will. Probate court lawyers assisted people in determining the share of assets among the legal heirs. A global pandemic has caused more deaths than some courts could handle, which has increased the number of probate cases. It also indicates the escalation of caseloads of surrogate court judges.
Frequently Asked Questions (FAQs)
It refers to the court that has the power to handle matters regarding probate and the administration of decedents' estates. They oversee and control the distribution of the decedent's assets under the terms of the will if one is present; otherwise, the assets are distributed to the next of kin or legal heir. Generally, completion time can range from months to years. In case of the nonexistence of will, it may take many years.
It starts with filing and submitting the relevant probate court forms with the court, and it also involves submitting documents proving under whose name the deceased person has left the will, if any. Then, the process involves lawyers and court proceedings in which the will provisions are read and validated, and the property is distributed to the legal beneficiaries. Depending on the size of the estate, the probate process can take some time. The executor is in charge of overseeing the probate process.
Generally, records are open to the public; however, estate inventories and accounts are confidential and may only be viewed by the personal representative or an authorized party, as defined under the probate law.
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