Family consulting businessman

One of my roles as an estate planning attorney is representing individuals who are named as personal representatives or executors of the estates of deceased persons. In Oregon, the person who administers an estate is called a personal representative. In other states, that person may be called an executor. Serving as a personal representative can be complicated, time-consuming and expensive.

Although most people are willing to serve in this role, it is important that the personal representative have an understanding and guidance as to their duties and obligations to the court and the beneficiaries.

When a person chooses who they want to nominate to serve as the personal representative of their estate, it is important that they choose someone who is trustworthy and capable of handling the duties required of a personal representative. Outlined below are some of the duties and responsibilities of a personal representative.

Determine if there is a will. If the personal representative does not have the decedent’s will, the personal representative is obligated to contact heirs of the deceased, prior legal counsel and check the places that the decedent kept their important papers such as a safe or safe deposit box to determine if a will exists.

Determine which assets are subject to probate. The personal representative will need to determine if the decedent’s assets were jointly owned or have designated beneficiaries. If the estate assets can be transferred by joint ownership or to a designated beneficiary, then a probate may not be necessary.

Review the decedent’s mail. Once appointed personal representative by the court, the personal representative should contact the post office to have the decedent’s mail forwarded to them. This will assist the personal representative to determine the assets and debts of the decedent.

Notify financial institutions, credit card companies and other agencies. The personal representative is charged with notifying the decedent’s banks, financial institutions and credit card companies that the decedent has passed away. Typically, the funeral home will notify the Social Security Administration of the death but the personal representative is obligated to confirm that it has been notified.

File a probate petition. Once the personal representative determines that a probate is necessary to transfer assets, they must file a petition with the court identifying the heirs and devisees named in the will or informing the court that no will exists. Also the personal representative needs to advise all interested parties that the probate has been filed.

Publish notice in the newspaper. The personal representative must publish a notice to creditors in the newspaper which states that the probate has been filed and the creditor has four months to make a claim against the estate. The notice must be published once per week for three consecutive weeks.

Open an estate account. Once the court has issued documents opening the probate and appointing the personal representative, the personal representative should open an estate bank account where incoming funds can be deposited and outstanding bills can be paid.

File an inventory. After the personal representative has had an opportunity to become familiar with the decedent’s assets and within 60 days of appointment, the personal representative will need to file an inventory of the decedent’s assets with the court.

Take control of the decedent’s property. The personal representative must ensure that the decedent’s property is safe and secure during the course of the probate including personal property. This can be difficult if other people attempt to take possession of the property before the personal representative is appointed.

Pay the debts and taxes. Before assets can be distributed, the personal representative must pay the decedent’s outstanding debts and taxes including all creditor claims. If the personal representative does not believe that a creditor’s claim is valid, the personal representative must deny the claim in a timely manner.

Distribute the assets. Once the debts have been paid and the assets sold, as necessary, the personal representative will submit documents to the court requesting permission to distribute the estate assets as indicated in the decedent’s will or by state law if the decedent has no will.

Represent the estate in court. If the probate runs smoothly and the personal representative fulfills his or her obligations to the court and to the beneficiaries and the assets are distributed, the estate can be closed. However, in certain situations, there may be objections filed to the probate or the proposed distribution or valuation of assets. Objections are set for hearing before a judge and the personal representative is obligated to appear in court on behalf of the estate.

Personal representatives should ask for assistance from professionals that can assist them with their duties. They may need assistance from a CPA, real estate agent or attorney to fulfill their responsibilities. Once the personal representative has completed their responsibilities and the assets have been distributed to the beneficiaries, the personal representative can request that he or she be discharged and the estate be closed.