Opinion ID: 1187178
Heading Depth: 1
Heading Rank: 3

Heading: jurisdiction

Text: The probate court directed that:    The remainder of the real estate shall be sold, with the indebtedness of Mr. Scott to the estate in the amounts of $210,793.00 with interest at 10% per annum from August 13, 1979, and $3,495.00 with interest at 10% per annum from the date of this judgment, to be added to the net proceeds of the sale with one-half of that amount then to be distributed to Mrs. Grieve and the remainder, if any, to Mr. Scott. In the event of a deficiency, the estate may take judgment against Mr. Scott.    Appellee Tobin's accountings reflect that when he took over the administration of the estate, he accepted the figure of $83,156 from appellant's final accounting as the amount then due the estate from appellant. After making several debits and credits to this figure in subsequent accountings as a result of a review of the transactions between appellant and the estate, the resulting amounts were set forth in the court's order. The original inventory and appraisement did not reflect any debt by appellant to the estate, but the first accounting of appellant, filed January 28, 1976, incorporated by reference a number of unaudited financial statements prepared by Certified Public Accountants Macy, Shamley and Associates, copies of the yearly income tax returns of the estate and a copy of the federal estate tax return. The estate tax return reflected that the amount of $117,706.87 was due the estate from appellant at the time of death of testator. [4] This figure was also listed as an asset of the estate on the financial statement of March 15, 1966. After many debits and credits to appellant's accounts, the amount listed on the most recent financial statement as a debt from appellant to the estate was $83,156  the amount accepted by appellee Tobin as the amount then due. The probate court had jurisdiction to control and review the management of the estate by the executor and to issue orders requiring him to account for and pay to the estate any estate assets coming into his possession. It had jurisdiction to set off against appellant's entitlement from the estate such amounts as appellant owed the estate as a result of mismanagement or misapplication of estate funds. Such action relates to the administration, settlement and distribution of the estate. But the probate court cannot determine the validity of alleged claims by and against the deceased which are contested as properly included in the estate. `While in this state the district court is the court of general jurisdiction, and the same court has by the Constitution (section 10, art. 5) jurisdiction of all matters of probate, yet, in the exercise of its probate powers, its jurisdiction is limited and special, and when its acts in probate are without [beyond] the limits of the special jurisdiction conferred, they have no binding effect even upon those who have invoked its authority.   ' In Re Stringer's Estate, 80 Wyo. 426, 345 P.2d 786, 789 (1959), on rehearing being denied for 80 Wyo. 389, 343 P.2d 508 (1959), and quoting from Church v. Quiner, 31 Wyo. 222, 226, 227, 224 P. 1073, 1074 (1924). See In Re Black's Estate, 30 Wyo. 55, 216 P. 1059 (1923); Matter of Estate of Frederick, Wyo., 599 P.2d 550 (1979); and Matter of Estate of Blaney, Wyo., 607 P.2d 354 (1980). Accordingly, the probate court cannot render judgment against a debtor of the deceased on a debt alleged to have been incurred prior to the death. If such debt is not paid, the executor must bring the action for collection in the district court proper. If the action is successful, the proper judgment will issue out of such district court. In this case, it appears that the setoff against appellant's distributive share began with a figure of $117,706.87 which appears from the record to have possibly been a debt owed by appellant to the testator before his death. If so, and if appellant desires to contest the debt, an opportunity should be afforded him to do so in an action brought against him in district court. Of course, if he acknowledges the claim, agrees to pay it, and does pay it (by accepting the setoff, or otherwise), the matter can be handled within the estate in the same fashion as is any other instance in which estate assets are voluntarily surrendered to the executor or administrator. We gave thought to the proposition that appellant may have agreed to the existence of the debt by listing it on the estate tax return and making credits and debits to that figure in his accountings. However, in his objections to the final report of appellee Tobin, appellant denies the allegations in the report concerning the alleged debt of appellant in the amount of $210,793. In any event, a judgment upon which collection can be made of any amount owed to deceased before his death must be from the district court proper. We remand the case with directions to the probate court to ascertain the amount, if any, of the allowed $210,793 and $3,495 setoff which represents an alleged claim against appellant that existed before the death of deceased, and to amend its order accordingly, if necessary. Affirmed in part, reversed in part and remanded.