[WSBAPT] Judgement - insolvent estate

[Diane J. Kiepe]

Another quick off the cuff thought or two:


  1.  Really nothing to probate because of the CPA.
  2.  CPA still subject to decedent's proper claims.
  3.  You can always talk with a debtor but you could also follow the creditor claims statute once you determine the reach of the judgement.  If no filing timely there will be a bar.  If there is a timely filing then you could begin negotiating.  When negotiating decedent's debts, don't forget the family allowance (FA) (which now in King County is I believe over $700,000.00).  I have used the FA as leverage for creditor's who took fifty cents on the dollar.  I explained we had only so much money and that money could be paid mostly to lawyers in a Family Allowance hearing or they could agree to take less.  It worked out well.
  4.  I realize these thoughts are super substantive but maybe will get response on other experiences with the FA.

Diane J. Kiepe

Diane J. Kiepe
Douglas Eden
717 W. Sprague Ave.
Suite 1500
Spokane, WA  99201
djkiepe at depdslaw.com<mailto:djkiepe at depdslaw.com>
509-455-5300

From: wsbapt-bounces at lists.wsbarppt.com <wsbapt-bounces at lists.wsbarppt.com> On Behalf Of Mike Zeno
Sent: Thursday, November 18, 2021 1:02 PM
To: WSBA Probate & Trust Listserv <wsbapt at lists.wsbarppt.com>
Subject: Re: [WSBAPT] Judgement - insolvent estate

Hi Mike-

Partial answer, off the top of my head:

There are cases about liability of a spouse for the other's debts.  See Haley v. Highland, 142 Wn.2d 135 (2000), which deals with this issue and cites earlier important cases.  (There may be more recent salient cases).

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From: wsbapt-bounces at lists.wsbarppt.com<mailto:wsbapt-bounces at lists.wsbarppt.com> <wsbapt-bounces at lists.wsbarppt.com<mailto:wsbapt-bounces at lists.wsbarppt.com>> On Behalf Of michael westseattleattorney.com
Sent: Thursday, November 18, 2021 11:49 AM
To: WSBA Probate & Trust Listserve <wsbapt at lists.wsbarppt.com<mailto:wsbapt at lists.wsbarppt.com>>
Subject: [WSBAPT] Judgement - insolvent estate

Married couple with Wills and CPA.  H gets a Judgement against him. H dies and W does not probate will but has a CPA. W dies and heirs open probate and try to sell real property only to find a Judgement against H. Judgement would make estate insolvent.
Two questions come to mind.
1. Doesn't Judgement attach only to H's share?  Does a probate need to be opened for H's estate?
2. Can W 's PR simply request Judgement debtor reduce Judgement to H's share at time of H's death?
Thanks Mike

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