Dealing with creditor claims in Coral Gables is an important part of the probate process. In Florida, all creditors of the deceased person have the right to file a claim against the estate, and it is up to the personal representative to handle these claims.
If you are a personal representative who is not a sole heir to the estate, you are obligated to work with a professional probate attorney. However, even a sole heir can benefit from extensive legal advice about creditor claims in order to manage everything effectively.
It is the personal representative’s responsibility to notify all creditors about the probate proceedings. Known creditors can be notified by serving a notice but it may not be possible to find all relevant parties. To let them know about the probate, the personal representative must publish a notice in a local newspaper.
The creditor has 90 days from the time they receive a notice or 30 days after the date the notice was published in the newspaper (whichever is later) to file a claim against the estate. The statute of limitations for filing a claim is two years after the decedent’s death.
The personal representative must keep all the paperwork related to handling creditor claims in probate intact. Accurate records can help resolve the related issues faster.
Once the creditor files a claim, the personal representative and their legal team must review the claim as carefully as possible. The goal is to check if the claim is valid and if the amount stated in the claim is accurate.
If the personal representative believes that the claim is inaccurate, probate provides a process to dispute the claim. It is possible to partially or fully dispute a claim. However, even if the probate court approves the rejection, the creditor can take further legal action.
The presence of a creditor claim usually means probate delays. The faster that all parties involved take action, the more efficient the process can be. An experienced Coral Gables attorney can advise on disputing a claim or on negotiating with the creditors to come to an agreement on their probate claim and speed up the proceedings.
If the claim is valid, the personal representative must pay it out of the estate’s assets. Florida law prioritizes certain debts over others, such as funeral expenses, taxes, and costs related to estate administration. After paying these, the representative can start handling lower-priority claims.
If there is not enough money in the estate to cover all claims, they must be paid in order of priority until the funds run out. Overpaying or paying the wrong creditor could delay probate or result in legal issues for the personal representative.
If you are a personal representative of an estate, you must handle the probate process according to the law. Dealing with creditor claims in Coral Gables probate is not always easy, as you may face invalid claims and legal action from the unhappy creditors. An experienced estate planning attorney can help you handle these claims and avoid unfortunate mistakes.
At Veliz & Associates, P.A., we have many years of experience assisting personal representatives through the probate process. As part of the Coral Gables community, we know the local area and how the courts work. Call us to schedule a consultation at any time.
We evaluate your case and determine how we might be able to help.
We will meet with you to discuss your next options and lay out a plan.
Our team guides you throughout the process so you feel confident about your choices.
(305) 250-9917