Source: http://siegmethteam.com/probate/
Timestamp: 2018-02-24 00:36:26
Document Index: 97466693

Matched Legal Cases: ['§ 58', '§ 10300', '§ 6063', '§ 10503', '§ 10400', '§ 10450', '§ 10454', '§ 10454', '§ 10510']

Probate Facts Real estate agents San Fernando Valley | Realtors 91326, 91311, 91303, 91324
A Estate administration provides for the orderly distribution of real and personal property owned by a decedent. More specifically, any property which the decedent owned or in which the decedent had an interest at the time of death is collected into the estate and distributed to those entitled to it after all debts and expenses have been paid. The process of administering a decedent‘s estate is referred to as “probate,” and is generally supervised by the probate court. A personal representative is the person or entity charged with the responsibility of administering a decedent’s estate (Cal. Prob. Code § 58(a)). A personal representative is either:
• An executor (executrix) who is named in a will; or
• An administrator (administratrix) who is appointed by the court when there is no will, when the will does not name an executor or when the named executor is unable or unwilling to serve.
• The sale is necessary to pay debts, devises (gifts to persons named in the will), a family allowance, expenses of estate administration, or taxes;
• The sale is to the advantage of the estate and in the best interests of the interested persons;
• The property must be sold according to the terms of the will; or
• Authority is given in the will to sell the property.
Q 6. What is a “Notice of Sale” and is it required prior to selling estate real property?
A Notice of Sale of real property must be published at least three times over a period of not less than 10 days before the sale, with the third publication at least five days after the first (Cal. Prob. Code § 10300; Cal. Gov’t Code § 6063a). All publications must be in a newspaper published at least weekly in the county in which all or some of the property is situated. Certain sales are exempt from this requirement, most importantly, sales by a personal representative with full authority under the IAEA (Cal. Prob. Code § 10503—the property may be sold with or without notice).
A No. For sales under the IAEA any exclusive authorization and right to sell form is acceptable such as California Association of REALTORS® (C.A.R.) standard form listing contracts: RLA, RLAA and RLAN. However, in the event court confirmation is required, C.A.R. Standard Form PL is appropriate, but it may also be used for probate sales under the IAEA.
• An actual sale is made;
• The sale is confirmed by the court unless the sale is conducted under IAEA; and
• The “sale is consummated.”
Q 18. Is an offer of compensation in the Multiple Listing Service (MLS) an enforceable “agreement” between brokers to split commissions?
A Yes. The C.A.R. legal article titled California Probate Code Commission Schedule is a chart that specifies the amount of commission a broker is entitled to whether the property is exclusively or not exclusively listed, and when confirmed to the original bidder, or confirmed to an overbidder. The chart also specifies a broker’s amount of commission in the event of a successful bid or overbid as obtained by the estate‘s personal representative.
• The title to be conveyed is whatever the estate holds;
• The sale is subject to court confirmation;
• If applicable, the property is sold “as is”; and
• The total commission will be in an amount set by the court and will be paid only from the sale proceeds, whatever sum may be allowed by the court.
• The amount of the original bid, plus
• At least 10 percent of the first $10,000.00 of the original bid; plus
• At least 5 percent of the amount of the original bid in excess of $10,000.00.
A The Independent Administration of Estates Act (IAEA) is a series of laws allowing the personal representative to administer most aspects of the decedent‘s estate without court supervision. The authority to administer the estate under the IAEA can be given by the decedent‘s will or by the court upon petition by the personal representative. It is generally done when the probate proceeding is initiated but can be done at any time during the proceedings. (California Probate Code §§ 10400 et seq.) An estate cannot be administered under the IAEA if the decedent‘s will prohibits it (Cal. Prob. Code § 10450) or if an interested party provides court-approved good cause why it should not be administered under the IAEA (Cal. Prob. Code § 10454(d)). Also, an objecting interested person with good cause may convince the court to grant restrictions to the powers of the personal representative acting under IAEA. If the restriction is granted, the authority of the personal representative becomes “limited” rather than “full.” (Cal. Prob. Code § 10454(e).)
Q 36.Can the personal representative’s authority under the IAEA be limited?
Q 37. What is the difference between “limited” authority and “full” authority of a personal representative acting under the IAEA rules?
A Yes, the personal representative must give a “Notice of Proposed Action” when selling estate real property without court supervision (Cal. Prob. Code §§ 10510, 10511). The personal representative must inform the following persons and entities with an interest which may be affected by the proposed sale, unless they have waived in writing such notice or have provided written consent to the sale:
• Each person named in a will;
• Each known heir entitled by law to property of a decedent dying without a will;
• Other interested persons requesting notice, such as creditors or beneficiaries of a trust; and
• The Attorney General, if any portion of the property is to go to the State.
A The personal representative notifies the required parties, mentioned in the previous question, of the pending sale with a form called the “Notice of Proposed Action.” This form describes the terms upon which the personal representative proposes to take action on behalf of the estate, such as selling estate real property. The Notice of Proposed Action must include all of the following information:
• The name and mailing address of the personal representative;
• The name and telephone number of the person to contact for additional information;
• A reasonably specific description of the action to be taken, including a description of the property and the material terms of the sale, exchange or granting of an option to purchase property, including the price and amount or method of calculating any brokerage commissions; and
• The date on or after which the proposed action will occur.
• The process of sale under the IAEA is usually quicker than a court supervised sale;
• There is no requirement of overbidding or court confirmation of the sale under IAEA;
• The personal representative can agree to any terms and contingencies deemed necessary to close the sale;
• The general economic and market forces; and that
• Overbidding in court often times increases the purchase price of the property and the proceeds to the estate;
• Which manner of sale likely produces maximum estate assets.
• An administrator (administratrix) who is appointed by the court when there is no will, when the will does not name an executor or when the named executor is unable or unwilling to serve. The personal representative is charged with the fiduciary responsibility of gathering the assets and paying the debts of the decedent in such a way that the beneficiaries or heirs of the decedent receive the maximum inheritance. The personal representative usually will hire an estate attorney to handle the legal aspects of the probate. Most business dealings are through the estate attorney.
Q 15. When does an estate become liable for a commission to the listing broker? A The estate becomes liable for the listing broker‘s commission only after all three of the following have occurred: