Executors and Administrators: Key Responsibilities and Guidelines in California
Executors and administrators are court-appointed personal representatives of the estates of individuals who have passed away. They are tasked with numerous duties and responsibilities and are held to a strict fiduciary standard regarding the actions they take in carrying out those duties.
Contact a Probate Administration Attorney
If you have a loved one who has passed away, we strongly encourage you to get in touch with a qualified probate administration attorney as soon as practicable. Your attorney will assist you with the complex probate administration process from beginning to end and serve as a trusted advisor on any legal issues that may arise.
Feeling Overwhelmed as an Executor?
If you’ve been nominated by the decedent’s will to serve as the executor of an estate or have a loved one who has passed away without a will, and you have minimal or no experience handling probate administration matters, you may be feeling a bit lost and nervous. These are perfectly normal reactions, as the failure to adequately perform your duties as an executor or administrator of an estate can lead to personal liability.
Dos and Don’ts for Executors and Administrators in California
Don’t Make Payments Without California Court Approval
Executors and administrators must inventory estate assets, communicate with creditors and taxing authorities, pay taxes and debts of the decedent, make payments for various services (such as professional appraisals, tax preparers, and attorneys), and eventually distribute the estate assets to the rightful beneficiaries. Failure to adequately accomplish these tasks may result in personal liability for breach of fiduciary duty.
It’s important to note, however, that executors and administrators cannot make distributions to heirs or beneficiaries without first securing court approval. Additionally, special procedures must be followed when selling or liquidating estate assets. Securing court approval for the sale of assets can slow things down considerably. If you wish to avoid obtaining court approval for selling the house, you can request that the probate court grant you full powers as the estate representative. If the request is granted, the need to obtain court approval for most such actions can be avoided.
Don’t Act as the Executor Before a Formal Appointment in California
Being nominated as an executor in a loved one’s will is often considered an honor. However, you may not move forward with your duties until you have been formally appointed by the court. In California, the fact that the will names an executor is not a guarantee that the court will appoint the named individual as executor. The court must still “vet” you to ensure that you can handle the responsibilities at issue.
Do Identify and Notify All Creditors and Beneficiaries
The probate process in California is designed to ensure that all creditors and beneficiaries secure what they are entitled to receive from a decedent’s estate. As the executor or administrator, you must give creditors and beneficiaries the opportunity to engage in the process. It is your duty to notify all known creditors and beneficiaries regarding the passing of the deceased individual. You are also obligated to provide certain specifics regarding the probate hearing process.
Do Be Cognizant of Applicable Deadlines for Executors
Executors and administrators must inventory and appraise the estate assets, identify and serve notice upon creditors and beneficiaries, and manage the assets, all within very rigid deadline periods. For example, executors and administrators in California have four months from the date of their appointment to complete a comprehensive inventory and appraisal of the estate assets. An unjustified delay may give rise to penalties and additional administrative burdens. Under certain circumstances, a lengthy delay may even be deemed a breach of fiduciary duty and expose the executor to personal liability.
Do Make Sure to Collect Remaining, Unpaid Assets
As the executor or administrator, it’s part of your job to identify all the assets belonging to the deceased individual, including those that are owed to the decedent but remain unpaid, and secure them on behalf of the estate. These assets may include unpaid salary, retirement benefits, healthcare benefits, tax refunds, disability benefits, and payments under contract. If a third party prevents you from collecting the unpaid assets, you may need to request a court order to compel payment or file a lawsuit on behalf of the estate.
Guidance on Being Executor or Administrator of an Estate in California
Executors and administrators are tasked with an enormous range of duties and responsibilities when closing out an estate. Consulting with an experienced probate administration attorney who can provide professional and effective representation is crucial for navigating the twists and turns that define the California probate process
