[WSBAPT] Old Creditor Claims

[Tara M. Roberts]

My understanding is that claims that have been validly presented remain
"alive" past the 24-month cut off.  The 24-month deadline is the ultimate
deadline for claims to be presented, whether the creditor is known or not or
given notice or not.  Claims presented need to be allowed or rejected.

 

However, if the otherwise applicable SOL has passed and the underlying debt
is no longer collectible, then the estate doesn't owe the obligation anymore
either.  The debt has expired.  A validly presented claim won't preserve the
debt's collectability.

 

RCW 11.40.090(4) - A claim may not be allowed if it is barred by a statute
of limitations.

 

The creditor needs to take action to preserve their claim and get the PR to
act while the debt is valid and not just let it languish.

 

I would double check the debt SOL dates and make sure they have passed, and
then reject the claim based on an expired SOL or collection period.

 

Tara M. Roberts

Puget Sound Law pllc

roberts at pugetsoundlaw.com <mailto:roberts at pugetsoundlaw.com> 

 

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From: wsbapt-bounces at lists.wsbarppt.com
[mailto:wsbapt-bounces at lists.wsbarppt.com] On Behalf Of Sara D. Longley
Sent: Wednesday, December 14, 2016 5:15 PM
To: 'WSBA Probate & Trust Listserv' <wsbapt at lists.wsbarppt.com>
Subject: [WSBAPT] Old Creditor Claims

 

Listmates,

 

This is a new situation for me.

 

Clients opened probate in 2010.  Several creditor claims were filed within
the 4-month period after publication of the Notice to Creditors.  No
rejections were ever filed with the court per RCW 11.40.100(1), but I don't
believe the claims were ever formally allowed and no payment was ever made
by the estate.  The creditors have apparently done nothing since 2010; no
Petitions to Allow were ever filed per RCW 11.40.080(2).  The probate is
still open.

 

Now, of course, the 2-year period since death has long since run.  Are the
creditor claims, once timely filed, kept alive by the pendency of the
probate?  Must they still be formally rejected at this point (more than six
years after death)?  My reading of the statute says yes, the claims are
still valid so long as probate is open and the PR still has a duty to deal
with them.  But I would be interested to hear from attorneys who have been
here before.

 

Thanks for sharing your expertise and experience!

 

Best,

Sara

 



Sara D. Longley, J.D., LL.M.

Attorney at Law

 

1734 NW Market Street

Seattle, WA 98107

 <tel:%28206%29%20434-5644> (206) 434-5644

 <mailto:Sara at longley-law.pro> Sara at longley-law.pro

 <http://www.longley-law.pro/> www.longley-law.pro

 

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