[WSBAPT] Allocation of Estate costs to specific property causing the cost

[Heather deVrieze]

I think the language in the statute about when title to real estate vests. 11.04.250 is the basis for the argument:

When a person dies seized of lands, tenements or hereditaments, or any right thereto or entitled to any interest therein in fee or for the life of another, his or her title shall vest immediately in his or her heirs or devisees, subject to his or her debts, family allowance, expenses of administration, and any other charges for which such real estate is liable under existing laws.

Haven't taken the time to research any case law interpreting this statute, but might be a good start.

Heather

Heather S. de Vrieze
Attorney-at-Law
[cid:image001.jpg at 01D013C2.30F35160]
3909 California Avenue SW
Seattle, WA 98116-3705
(206)938-5500
heatherd at westseattlelaw.com<mailto:heatherd at westseattlelaw.com>
www.westseattlelaw.com<http://www.westseattlelaw.com/>

Click here to connect with de Vrieze | Carney on Facebook:   [FB Logo] <https://www.facebook.com/DeVriezeCarney>

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From: wsbapt-bounces at lists.wsbarppt.com [mailto:wsbapt-bounces at lists.wsbarppt.com] On Behalf Of Eric Nelsen
Sent: Thursday, November 19, 2015 9:53 AM
To: WSBA Probate & Trust Listserv <wsbapt at lists.wsbarppt.com>
Subject: Re: [WSBAPT] Allocation of Estate costs to specific property causing the cost

Yep--I can understand the equitable argument, and I know it's a common practice in administering estates. I just can't find any actual legal authority for a PR to allocate expenses in that way, absent agreement of the involved beneficiary.

Sincerely,

Eric

Eric C. Nelsen
SAYRE LAW OFFICES, PLLC
1320 University St
Seattle WA  98101-2837
phone 206-625-0092
fax 206-625-9040



From: wsbapt-bounces at lists.wsbarppt.com<mailto:wsbapt-bounces at lists.wsbarppt.com> [mailto:wsbapt-bounces at lists.wsbarppt.com] On Behalf Of Heather deVrieze
Sent: Thursday, November 19, 2015 9:20 AM
To: WSBA Probate & Trust Listserv
Subject: Re: [WSBAPT] Allocation of Estate costs to specific property causing the cost

Eric,

I have, without specific statutory authority, but what I see as common sense offset expenses related to specific property against income from that property. For example, rental property which is gifted to a particular beneficiary has rental income, out of the rents taxes, insurance, even mortgage payments on that property can be made, with the net rents due to the specific beneficiary. If there is no income against which to offset the expenses, I think there is an argument to be made that the beneficiary of the property owes the cost of those necessary items (property taxes, etc.), but if they didn't have a say (like the new roof) it might be harder to argue.

Heather


Heather S. de Vrieze
Attorney-at-Law
[cid:image001.jpg at 01D013C2.30F35160]
3909 California Avenue SW
Seattle, WA 98116-3705
(206)938-5500
heatherd at westseattlelaw.com<mailto:heatherd at westseattlelaw.com>
www.westseattlelaw.com<http://www.westseattlelaw.com/>

Click here to connect with de Vrieze | Carney on Facebook:   [FB Logo] <https://www.facebook.com/DeVriezeCarney>

CONFIDENTIAL & PRIVILEGED. This e-mail message may contain legally privileged and/or confidential information.  If you have received this e-mail in error, please notify the sender immediately and delete all copies of this e-mail message and any attachment.

From: wsbapt-bounces at lists.wsbarppt.com<mailto:wsbapt-bounces at lists.wsbarppt.com> [mailto:wsbapt-bounces at lists.wsbarppt.com] On Behalf Of Eric Nelsen
Sent: Wednesday, November 18, 2015 5:23 PM
To: WSBA Probate & Trust Listserv <wsbapt at lists.wsbarppt.com<mailto:wsbapt at lists.wsbarppt.com>>
Subject: Re: [WSBAPT] Allocation of Estate costs to specific property causing the cost

I didn't get many responses, but so far no one has come up with any case law or theory that avoids the basic rule under Ch. 11.10 RCW, where estate expenses and debts simply abate estate property ratably in accordance with their classification as gifts. So, I think the authority I thought was out there, ain't.

Sincerely,

Eric

Eric C. Nelsen
SAYRE LAW OFFICES, PLLC
1320 University St
Seattle WA  98101-2837
phone 206-625-0092
fax 206-625-9040



From: wsbapt-bounces at lists.wsbarppt.com<mailto:wsbapt-bounces at lists.wsbarppt.com> [mailto:wsbapt-bounces at lists.wsbarppt.com] On Behalf Of Eric Nelsen
Sent: Friday, November 06, 2015 12:09 PM
To: WSBA Probate & Trust listserve (wsbapt at lists.wsbarppt.com<mailto:wsbapt at lists.wsbarppt.com>)
Subject: [WSBAPT] Allocation of Estate costs to specific property causing the cost

I cannot find the authority that I swear is out there--

Estate expenses (costs of administration, post-death expenses) are normally paid from estate assets pursuant to the abatement statutes, RCW 11.10.

But, if the Estate includes an item property that causes specific expenses - for example, a house that requires a new roof to prevent new substantial damage from leaks during the rainy season, or even just payment of delinquent real property taxes - it is permissible to charge those specific expenses against that specific property.

In such a case, if the property is given to a particular heir (by specific bequest, or other distribution in kind), that heir's share of the estate is therefore charged specially with those expenses.

Anyone have authority, statutory or case law? Or am I searching for something that isn't there?

Sincerely,

Eric

Eric C. Nelsen
SAYRE LAW OFFICES, PLLC
1320 University St
Seattle WA  98101-2837
phone 206-625-0092
fax 206-625-9040

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