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<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Tedra, tedra</span><span style="font-size:11.0pt;font-family:Wingdings;color:#1F497D">J</span><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Roger Hawkes, WSBA # 5173<o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif""> sullaw@comcast.net [mailto:sullaw@comcast.net]
<br>
<b>Sent:</b> Wednesday, February 10, 2016 10:20 AM<br>
<b>To:</b> WSBA Probate & Trust Listserv<br>
<b>Subject:</b> [WSBAPT] Abatement Involving Nonprobate Account and no Residue<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-family:"Arial","sans-serif";color:black">Listmates:<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-family:"Arial","sans-serif";color:black"><br>
Maybe one of you have dealt with a similar abatement issue and can answer this. I just don't run into it very often.
<o:p></o:p></span></p>
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<p style="margin:0in;margin-bottom:.0001pt"><span style="font-family:"Arial","sans-serif";color:black">Decedent’s Will has standard provision saying admin expenses, claims, taxes payable by residue. At the time the Will was made the investment account intended
to constitute the residue was titled in her name only. Then she moves the account to another brokerage which sets up the new account as a JTWROS or TOD account to the three residuary beneficiaries. There is also a checking/saving account that is JTWROS with
my client – one of the three but also the PR. This was intentional. The Will contains a specific devise/bequest of the house and all its tangible contents to my client, who is also a residuary beneficiary and the PR. He is on SSDI, so maximizing his inheritance
is an objective.<o:p></o:p></span></p>
<p style="margin:0in;margin-bottom:.0001pt"><span style="font-family:"Arial","sans-serif";color:black"> <o:p></o:p></span></p>
<p style="margin:0in;margin-bottom:.0001pt"><span style="font-family:"Arial","sans-serif";color:black">In all likelihood the deceased client or the new brokerage made a mistake setting up the main account as JTWROS/TOD. In any case, the result is that there
is nothing in the probate residue. The only assets passing under the Will are the house and its contents, which go specifically to my client.<o:p></o:p></span></p>
<p style="margin:0in;margin-bottom:.0001pt"><span style="font-family:"Arial","sans-serif";color:black"> <o:p></o:p></span></p>
<p style="margin:0in;margin-bottom:.0001pt"><span style="font-family:"Arial","sans-serif";color:black">My question is: to what extent can the PR compel the other two beneficiaries of the JTWROS/TOD account share in the expenses of administration/income taxes/creditor
claims? (This estate will not file an estate tax return.)<o:p></o:p></span></p>
<p style="margin:0in;margin-bottom:.0001pt"><span style="font-family:"Arial","sans-serif";color:black"> <o:p></o:p></span></p>
<p style="margin:0in;margin-bottom:.0001pt"><span style="font-family:"Arial","sans-serif";color:black">I’m looking at the abatement chapter. RCW 11.040(2)(a) and (3) seem to suggest that the specific devise/bequest under the Will and the JTWROS/TOD accounts
are in the same category and abate ratably. See also RCW 11.10.010(5).<o:p></o:p></span></p>
<p style="margin:0in;margin-bottom:.0001pt"><span style="font-family:"Arial","sans-serif";color:black"> <o:p></o:p></span></p>
<p style="mso-margin-top-alt:0in;margin-right:0in;margin-bottom:12.0pt;margin-left:0in">
<span style="font-family:"Arial","sans-serif";color:black">RCW 11.18.200 says that beneficiaries of nonprobate assets take subject to the liabilities, claims and “fair share of expenses of administration reasonably incurred by the personal
<u>representative in the transfer of or administration upon the asset</u>.” Does that mean I can’t burden the nonprobate assets with the expense of opening the probate, advising the PR, etc.? Do I have to somehow source particular administrative expenses to
particular assets? How about income tax return preparation fees? See RCW 11.18.200(2)(c)&(d).<br>
<br>
Thanks in advance for any experience or wisdom. <o:p></o:p></span></p>
<p style="margin:0in;margin-bottom:.0001pt"><b><span style="font-family:"Bodoni MT Condensed","serif";color:black">Best regards</span></b><span style="font-family:"Bodoni MT Condensed","serif";color:black">,
</span><span style="font-family:"Arial","sans-serif";color:black"><o:p></o:p></span></p>
<p style="margin:0in;margin-bottom:.0001pt;text-align:justify"><span style="font-size:14.0pt;font-family:"Bodoni MT Condensed","serif";font-variant:small-caps;color:#002060"><a href="mailto:dlyons@lyonslawoffices.com" title="mailto:dlyons@lyonslawoffices.com
blocked::mailto:dlyons@lyonslawoffices.com
mailto:dlyons@lyonslawoffices.com"><span style="color:#002060">John
J. Sullivan</span></a>, </span><span style="font-family:"Arial","sans-serif";color:black"><o:p></o:p></span></p>
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