[WSBARP] Estate Expenses question

[Andrew Hay]

Good question.  There may be some case law on the subject but I don't know of it.  Nothing jumps out at me from Title 11.

Generally however, I prepare an accounting for review and approval by all the heirs prior to distribution.  I put it on a excel worksheet and show everything coming in and going out and how much everyone is getting as their final share.  I get people to approve that and then do the final distro and declaration of completion.  If everyone approves it and cashes the check, then the heirs would have a hard time complaining about anything and the Declaration of completion gives the PR some pretty powerful protections.   So I would do the allocation option your client prefers and circulate it and if no one complains, then close it out on that basis.

If heirs complain, then you can ask the court for guidance on the subject.

But I would do some research on case law and take a good look through Title 11 first.


Andrew Hay
Hay & Swann PLLC
201 S. 34th St.
Tacoma, WA 98418
www.washingtonlaw.net<http://www.washingtonlaw.net/>
andrewhay at washingtonlaw.net<mailto:andrewhay at washingtonlaw.net>
253.272.2400 (w)
253.377.3085 (c)
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From: wsbarp-bounces at lists.wsbarppt.com <wsbarp-bounces at lists.wsbarppt.com> On Behalf Of Gerald Sprute
Sent: Wednesday, September 2, 2020 3:50 PM
To: wsbarp at lists.wsbarppt.com
Subject: [WSBARP] Estate Expenses question

Question regarding reimbursement for estate expenses:

A&B will inherit proceeds from house sale
A,B C and D will inherit the remainder
A is the executor, spent her own money paying the mortgage and utilities while the house was on the market.  Now that the house is sold, where does she get reimbursed for "loaning" money to the estate?

  *   From the house proceeds because it only benefitted A&B,
  *   or from the remainder as an "estate admin" expense?

If it makes a difference, the mortgage is mostly interest payments so there is no real increase in equity due to the mortgage being paid (the loan just stayed out of default which would have complicated the sale)

Jerry Sprute



Law Office of Gerald A. Sprute
P.O. Box 1657
Duvall, WA 98019
Tel: (425) 892-4079
Fax: (425) 844-9151
www.sprutelaw.com <http://www.sprutelaw.com>








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