After your loved one dies, an executor or other administrator is often assigned by the court to oversee the loved one’s assets, including financial accounts. That person – who may even be you – may be required to provide an accounting to all the heirs and beneficiaries. A dispute may arise if those heirs disagree with the transactions that are disclosed or not disclosed in the accounting.
Accounting disputes involving a loved one’s estate are common nationwide, and California is no exception. Fortunately, a seasoned probate lawyer from Trust Law Partners can protect your rights and help you ensure these disputes are resolved fairly.
The administrators of estates wield considerable power over your deceased loved one’s finances and assets. Legal trouble can arise when heirs and beneficiaries believe the administrator is not providing accurate or truthful statements on where the decedent’s assets are going or how they’re being used.
If you are a beneficiary who believes the administrator of your loved one’s estate is failing to accurately account for the estate — or if you are an administrator who is falsely accused of financial malfeasance or negligence — our skilled estate planning and probate team at Trust Law Partners can advocate on your behalf. Contact us today.
Accounting Obligations of Estate Administrators
Estate administrators, who may include executors or other court-appointed personal representatives, are tasked by law with determining what property and assets comprise a deceased person’s estate. They also handle paying the decedent's lawful debts, and distributing the remaining assets to the heirs and any beneficiaries.
From the beginning of a probate action until its conclusion, the administrator will need to keep track of several factors relating to the trust assets, and transactions involving those assets, such as:
- What assets the decedent had at the beginning of the probate case
- When new assets are discovered or become part of the estate
- Any assets that are distributed to beneficiaries before the estate is closed
- Instances where assets are damaged or destroyed
- Payment of liabilities and debts owed by the decedent
- Handling and distributing the assets that remain at the conclusion of the probate process
The estate administrator may provide an accounting to the court, heirs, and beneficiaries at various times during the probate process. An accounting will typically be prepared near the beginning of the process and again at the conclusion of the case. However, if heirs or beneficiaries request an accounting while probate is underway, the administrator must generally prepare and provide this accounting upon demand.
Administrators who refuse to account for the decedent’s estate in a timely fashion may risk unnecessary legal trouble and suspicion. If your loved one’s estate administrator refuses to give you an accounting upon demand or when required by law, it is important not to let the matter pass. There may be time limitations that require you to assert your objections right away, or risk waiving them.
A knowledgeable estate planning lawyer from Trust Law Partners can advise you on what legal remedies you might have.
How Probate Accounting Disputes Begin
If you are an heir or beneficiary of the decedent who receives an accounting statement from the administrator, you may notice an irregularity or something out of the ordinary in the statement. To provide a few examples, you may notice that:
- The value of the estate has dramatically dropped since the last statement, without a clear explanation, or the initial accounting seems too low
- There are assets that appear to be unaccounted for in the statement
- The statement lists distributions that you know were not made or that you believe should not have been made
- There are expenditures or other transactions by the administrator that seem suspicious
Once you find errors or possible evidence of misconduct in the statement, you can dispute the statement by first serving your objections on the administrator or by immediately filing a written objection with the court overseeing the probate case. It is best to use the services of a knowledgeable probate lawyer to file these objections. Doing so helps ensure all necessary information is contained within the objection.
A copy of your objection will be given to the administrator, who will be able to respond to it in writing. In their response, administrators may defend themselves or try to explain why your allegations are incorrect or not related to any wrongdoing. If you are an accused administrator, our team can help you provide a strong defense against these allegations.
Going to Court for an Accounting Dispute
Once you have lodged an objection and the administrator has had a chance to respond, the matter will go before the probate court for a hearing. An experienced probate attorney from Trust Law Partners can help you gather and present evidence supporting your position.
The administrator – or more often, his or her attorney – would then have the opportunity to present evidence in defense of the accounting. They could also testify about how they went about accounting for the estate's assets.
Litigating an accounting dispute in a California probate court is not a simple task. Rules of evidence and procedure can limit your ability to present your case if they are not followed.
This is why it is critical to consult an estate planning attorney from Trust Law Partners as early in the process as possible. We will work to put all of the relevant facts before the court to ensure a fair and positive outcome is reached.
Contact a Probate Lawyer from Trust Law Partners Today
Have you noticed a discrepancy, error, or questionable entry on an administrator’s accounting statement? Or are you an administrator who has been wrongly accused in your accounting? For any estate accounting dispute, acting immediately is key.
Your California probate lawyer from Trust Law Partners can help you take decisive action to hold anyone involved accountable and ensure your loved one’s estate is truthfully accounted for.
Contact the dedicated team at Trust Law Partners today to schedule a consultation.