<div dir="ltr"><div><div><div>Eric,<br><br></div>My reading of the statute for the issues you presented: #1 - I agree with your interpretation that the $125 is only talking about a decedent's portion of c/p or separate property. If the surviving spouse has $500k in separate property it is not the decedent's, so the exemption applies to only the decedent's estate, and for that matter, only the probateable estate. Also, half of the c/p is considered the surviving spouse's and should not be reflected in the $125 calculation; I have calculated the entire c/p value then halved the amount and have been successful in courts accepting this interpretation in awarding the exemption. A consideration under 11.54.050 is for a creditor to claim that there are nonprobate assets sufficient to the survivor and therefore a reduction should be applied to the presumption.<br><br></div>Question #2 in my opinion is simply telling us what the exemption amount is... no where in 11.54 is the ceiling exemption expressed. It is a horrible reference but 6.13.030 is only pulling the exemption amount to the homestead statute. It is an aggregate amount so the combination of real, personal, investment, etc is all combined to reflect the exempt amount (I find Mike accurately states whether it is c/p or separate prop). However, there is an opportunity to seek an increased award, so just like a creditor can seek for a reduction so the petition can seek for an increase.<br><br></div>That is my humble interpretation - hope my rambling assists<br></div><div class="gmail_extra"><br clear="all"><div><div class="gmail_signature"><br>Paul H. Grant - JD, LL.M<br><br>Planning with Purpose, Inc<br>Lynnwood, WA 98036<br>425-939-9948<br><a href="http://www.planningwithpurposeinc.com" target="_blank">www.planningwithpurposeinc.com</a><br><br>Estate Planning. Business Planning. Wealth Succession.<br><div style="display:inline"></div><div style="display:inline"></div><div style="display:inline"></div></div></div>
<br><div class="gmail_quote">On Tue, Sep 15, 2015 at 2:21 PM, Eric Nelsen <span dir="ltr"><<a href="mailto:Eric@sayrelawoffices.com" target="_blank">Eric@sayrelawoffices.com</a>></span> wrote:<br><blockquote class="gmail_quote" style="margin:0 0 0 .8ex;border-left:1px #ccc solid;padding-left:1ex">
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<p class="MsoNormal">I'm having trouble figuring out exactly what assets count toward the family support award, and also what the heck is covered by
<a href="http://app.leg.wa.gov/rcw/default.aspx?cite=11.54&full=true#11.54.080" target="_blank">RCW 11.54.080</a> re "additional exempt assets."<u></u><u></u></p>
<p class="MsoNormal"><u></u> <u></u></p>
<p class="MsoNormal">I get that the basic family support award is $125,000, and the assets awarded are exempt from all other claims against the estate (except secured creditors).<u></u><u></u></p>
<p class="MsoNormal"><u></u> <u></u></p>
<p class="MsoNormal">First question: The award also protects the survivor's half of community property, not just the half owned by the decedent.
<a href="http://app.leg.wa.gov/rcw/default.aspx?cite=11.54&full=true#11.54.070" target="_blank">RCW 11.54.070(2)</a>. Does the survivor's half interest count toward the $125,000, or is the survivor's half
<u>in addition to</u> $125,000 inherited from the deceased spouse's estate? <a href="http://app.leg.wa.gov/rcw/default.aspx?cite=11.54&full=true#11.54.010" target="_blank">
RCW 11.54.010(1)</a> says the award is from the "property of the decedent." To me, that means $125,000 from the decedent's half of community property, and then the survivor's half is also protected even though that means more than $125,000 is ultimately protected.
Am I being piggy?<u></u><u></u></p>
<p class="MsoNormal"><u></u> <u></u></p>
<p class="MsoNormal">Second question: What the heck kind of assets can be protected as "additional exempt assets" under
<a href="http://app.leg.wa.gov/rcw/default.aspx?cite=11.54&full=true#11.54.080" target="_blank">RCW 11.54.080</a>? Subsec (1) says "This section applies if the party entitled to petition for an award holds exempt property that is in an aggregate amount less than [$125,000]."
What does "exempt property" even mean in this statute? It's undefined in RCW 11.54 and trying to import the meaning of "exempt" from RCW 6.13 or RCW 6.15 doesn't seem to make sense. I don't think it means the survivor's half of community property, because
that appears to already be protected under the general award. Section .080 also suggests that a child of decedent could be holding "exempt property"--but what could a decedent's child be holding that the parent's creditors could possibly affect, unless it's
already an asset of the estate?<u></u><u></u></p>
<p class="MsoNormal"><u></u> <u></u></p>
<p class="MsoNormal">I have a suspicion I'm making this too complicated, but can't seem to find my way out. Any sage advice out there?<u></u><u></u></p>
<p class="MsoNormal"><u></u> <u></u></p>
<p class="MsoNormal"><span style="font-size:12.0pt">Sincerely,<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><u></u> <u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">Eric<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><u></u> <u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">Eric C. Nelsen<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">SAYRE LAW OFFICES, PLLC<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">1320 University St<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">Seattle WA 98101-2837<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">phone <a href="tel:206-625-0092" value="+12066250092" target="_blank">206-625-0092</a><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">fax <a href="tel:206-625-9040" value="+12066259040" target="_blank">206-625-9040</a><u></u><u></u></span></p>
<p class="MsoNormal"><u></u> <u></u></p>
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