If you find yourself in the unfortunate position of being responsible for managing the assets of a deceased family member, and other relatives are accusing you and threatening legal action, we want to express our sympathy for your situation. It is incredibly unfair to have to deal with grief along with lawsuits and family conflicts.
If you are feeling overwhelmed, it’s because the situation is indeed overwhelming. This is especially true if someone has threatened to take you to court over the estate. Every decision you make must be approached with caution. Responding inappropriately can escalate the situation and strain your relationship with your family, potentially resulting in long-term estrangement. Furthermore, you may end up spending thousands of dollars in legal fees and enduring years of litigation.
By handling this situation correctly, you can put an end to the drama and bring closure to the estate once and for all. This will allow you to find peace and begin the healing process, while also protecting the family assets from further loss. Let’s explore the best ways to handle this situation in a way that preserves your relationship with your family members and the integrity of the estate.
Understand The Basis Of The Accusation(s)
As a matter of law, estate executors have a lot of work to do and duty to exercise “good faith” to an estate and its beneficiaries. As the named estate executor, you are in a position where you could be sued for any number of reasons. You have to know what people are accusing you of before you can effectively refute the charges, and before you can begin to offer evidence as to your good standing with respect to the estate.
Some of the most common accusations of improper administration brought against an estate executors include:
- Misappropriation – This is theft from an estate, otherwise known as stealing/embezzling/skimming/pilfering. You might be a fiduciary accused of taking estate funds from the estate and using them for yourself, or possibly just skimming a little off the top for your own personal use.
- Self-dealing – If you have a vested interest in the estate, you could be accused of having a conflict of interest, i.e., putting one’s own interests above the fiduciary interests of the estate/ beneficiaries, and so on.
- Neglect – This is the failure to do any duty that is owed, such as paying bills, filing tax returns, etc.
- Delinquent Inventory – This charge could be brought if you fail to file a final account within a set period of time after being appointed. An executor usually files an inventory and appraisal of the assets of an estate. Late filings of these documents could result in a charge of delinquency.
- Withholding/Delaying Inheritance – The distribution of assets is an essential component of probate and is one of the final acts of the probate process. Probate can take months, so you could be charged with withholding or delaying an inheritance from one or more of your beneficiaries simply by virtue of being appointed executor.
There is usually some basis for the allegations, so it is important to understand what those reasons are. Beneficiaries sometimes lack accurate information about the process and can be mistrustful toward anyone standing between them and their inheritance. They have the legal right to use probate to reinforce their doubts and hold you accountable for any issues that may develop.
Whatever the issue, it is critical to address it and attempt to resolve it outside of the legal system, either by formal mediation or by having direct, informal discussions with the beneficiaries. The underlying cause of many inheritance disputes is poor communication and a lack of clarity. Many beneficiaries lack knowledge about the probate process and their responsibilities. State laws, which they were unaware of, actually invalidate their perception of what they believe is unfair or illegal.
An attorney can be helpful in explaining the process of probate and what the laws say, but often you can help to defuse the tension by having regular conversations with all your beneficiaries, keeping them updated throughout the process about what is happening.
Steps To Take Before Going To Court
Once you discover you have been accused of wrongdoing in a probate or trust litigation case, it’s advisable to take steps to defend yourself and mitigate any potential damage. Consider taking the following steps to protect yourself and your interests:
1. Have an open discussion to explain your position and the reasons behind it. If you are wrong, admit it and explain why. If you are right and there has been a misunderstanding, then take the initiative to clarify the situation and set the record straight.
2. Keep your cool and maintain a professional demeanor. It is not helpful to react emotionally and exacerbate the situation by getting even more irritated and offended when dealing with a relative that you reasonably believe to be a money-grubbing person.
3. Review and assess your actions. You might be liable—perhaps even guilty of something without realizing it. Evaluate your actions based on the relevant standards. This will help you determine the validity of the charges and how to respond.
4. Gather supporting records. You need proof to protect yourself from unfounded accusations or inaccuracies. Get hard copies, emails, and receipts as soon as possible.
5. Seek advice from a probate attorney. Legal representation and advice are necessary in any probate dispute. Speaking with a probate attorney with litigation experience can help safeguard your legal rights and keep you and your family out of trouble.
6. Make every attempt to resolve the dispute outside of court, if possible. If you are able to resolve the issue without going to court, you can avoid the time and expense, and stress of going to court.
The Importance Of Legal Representation
Many individuals in the executor role feel uneasy about hiring a lawyer due to concerns about exacerbating existing family conflicts or creating new ones, as well as the added cost of legal expenses. However, engaging an attorney can provide an opportunity to distance oneself from a situation where conflict may persist and escalate. It allows for a formal legal process guided by professionals rather than family members. Furthermore, the costs associated with legal representation will be covered by the estate, not by the executor. This can serve as a persuasive negotiation strategy when discussing with family members why it is in everyone’s best interest to seek alternative methods of dispute resolution outside of court.
Ultimately, not having a lawyer could cost more in the long run. If you’re accused of mismanaging the estate administration, you might be required to submit an inventory to the court that must conform to specific legal requirements. Without a lawyer, you might do things that could be interpreted as evidence of your guilt, and you could wind up paying your own legal expenses, or even be subject to criminal prosecution.
Call The Law Offices Of Patel & Cardenas Today!
If you are a person responsible for carrying out the wishes of a deceased individual and you require the services of a lawyer to handle the legal aspects of distributing their estate, to start the process of probate, or to defend your actions against allegations of wrongdoing, The Law Offices of Patel & Cardenas can help. Our team is available to speak with you and arrange a meeting where we can provide guidance on your legal remedies and suggest the most suitable courses of action for your situation.
