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<p class="MsoNormal"><span style="font-family:"Times New Roman",serif">Have the surviving members buy out the deceased member using a promissory note, payable in five or ten years, secured by a second deed of trust on the building. Minimal cash outlay at this
time but secures the estate’s position. Then the promissory note is distributed to the heirs and you close probate.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Times New Roman",serif"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif"><o:p> </o:p></span></p>
<p class="MsoNormal"><a name="Paul_A__Neumiller"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif"><img width="250" height="150" style="width:2.6in;height:1.5583in" id="_x0000_i1025" src="cid:image001.jpg@01DB68C4.4A5402A0"></span></a><span style="font-size:11.0pt;font-family:"Calibri",sans-serif"><o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:11.0pt;font-family:"Calibri",sans-serif">From:</span></b><span style="font-size:11.0pt;font-family:"Calibri",sans-serif"> wsbarp-bounces@lists.wsbarppt.com <wsbarp-bounces@lists.wsbarppt.com>
<b>On Behalf Of </b>Neli Espe, J.D. - Olympic Legal<br>
<b>Sent:</b> Friday, January 17, 2025 9:32 AM<br>
<b>To:</b> WSBA Real Property Listserv <wsbarp@lists.wsbarppt.com><br>
<b>Subject:</b> [WSBARP] Keep probate open for how long?<o:p></o:p></span></p>
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<p class="MsoNormal">Dear Listmates, <o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">Decedent, together with a couple of partners, started a business and bought a building in which the business was located. They formed two LLCs, one for business, one for building, decedent a third owner in each. Business is still functioning
and cannot be moved to a different location (location, nature of business and expensive building improvements already made). Decedent’s share of Business LLC already paid to estate. <o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">Value is in the building, not in the business. Operating agreement of<b> </b>Building LLC<b>
</b>allows for share to be offered to the living members first, then to general public (obviously, for the second there is no realistic market). They do not have the money to buy out the deceased partner’s share and did not get life insurance. They state that
refinancing of current mortgage would be ‘detrimental’. They further state that they plan to retire in 3-4 years and would sell the building and business at that point. Payout to estate, in their minds, would be at that point.<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">Decedent’s heirs (siblings) live out of state and would rather avoid any court clashes to force the hand of the living Building LLC members. <o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">They are ready to wait. <o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">I am not. <o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">But, I have a hard time formulating a winning strategy. Any help would be appreciated.<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">Kind regards, Neli <o:p></o:p></p>
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<p class="MsoNormal"><span style="font-size:9.0pt;font-family:"Optima-Regular",serif;color:#5BD2E6">___________________________________</span><span style="font-size:9.0pt;font-family:"Optima-Regular",serif"><o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:"Optima-Regular",serif;color:#1B40AF"> Neli Espe, J.D., Olympic Legal </span></b><span style="font-size:9.0pt;font-family:"Optima-Regular",serif"><o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:9.0pt;font-family:"Eurostile",serif;color:#133FE9"> </span><span style="font-size:9.0pt;font-family:"Eurostile",serif;color:#003649"> </span><span style="font-size:9.0pt;font-family:"Optima-Regular",serif;color:#003649"> 360.630.3635</span><span style="font-family:"Optima-Regular",serif"><o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:9.0pt;font-family:"Optima-Regular",serif;color:#003649">2114 Commercial Ave., Anacortes</span><span style="font-family:"Optima-Regular",serif"><o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:9.0pt;font-family:"Optima-Regular",serif;color:#133FE9"> <a href="http://olympiclegal.com/">olympiclegal.com</a></span><span style="font-family:"Optima-Regular",serif"><o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:9.0pt;font-family:"Optima-Regular",serif;color:#1B40AF"> Estate Planning | Probate </span><span style="font-family:"Optima-Regular",serif"><o:p></o:p></span></p>
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