A sudden death can reveal a rift in families. It becomes even more complicated in the cases of blended families. Stepchildren may sometimes feel like the surviving parent is bleeding the estate dry and leave them out in the cold.
There is often conflict and confusion in murky matters like this. Each side accuses the other of greed. Neither understand their rights.
How this problem solved? How is it determined who gets what? Here is a step-by-step process to ironing out the estate.
List How the Deceased Person’s Assets are Titled
It is important to start with a solid list of the deceased assets and how they are titled. This will help determine the need for probate and the rights of the various parties. If you don’t know what the assets are and how they are titled, you’re unfortunately stuck.
If you are in a bind, contact the experienced attorneys at Gaslowitz Frankel to help.
Take Stock of Non-Probate Assets
Not all assets are probate assets. Many pass automatically to a survivor based on how it is titled. The most common examples of non-probate assets include:
- Real estate that is owned jointly with rights of survivorship
- Joint bank accounts
- Life insurance and financial accounts that have valid beneficiary designated beneficiaries
- Assets that are titled in a living will pass in accordance with the terms of the trust
In most cases, if the step-parent is able to get to the assets, it’s because he or she have the right to them. Third parties (like banks, realtors and title companies) know when probate is required. If they are giving the step-parent access to the deceased’s property, it is usually because they became the owner of the property upon death.
Be Able to Prove Ownership of Remaining Assets
Once the non-probate assets have been removed from the entire list of assets, the remaining ones are assets of the estate. These are “probate assets” that are governed by the will or intestacy laws (if the parent died without a will.)
If the deceased had a bank account or piece of real estate in his or her name alone, everything is pretty cut and dry. The property will pass under the will or intestacy laws to the heirs or beneficiaries. The rights of the children and step-parent in the property are easy to determine. All that needs to be done next is to choose the person to represent the estate, hire the probate attorney, and start the process.
Many times, all that is left after subtracting the non-probate assets is miscellaneous personal property (household items, furniture, electronics, etc.) You will need to prove who owns that property. If the parent and step-parent bought it together, can you prove it belonged solely to the deceased parent? In most cases, the answer is no. This makes it virtually impossible to claim ownership in most personal property.
Decide Whether it’s Worth It
If you’ve completed the first three steps, you should have a pretty good idea of the value of the assets. You need to compare this value to the costs of probate to determine whether it is worthwhile to deal with the estate in court.
The best way to compare cost to value is to talk to an attorney. The experienced legal team at Gaslowitz Frankel can help. Contact us today for your consultation.
