Disclaimer: This article is for educational purposes only and is not legal advice.
Inventorying and Distributing Estate Assets in Montana: Step-by-Step Guide
Detailed Answer
When a person dies, their estate enters probate in Montana. The probate process ensures that multiple heirs receive their shares under state law. Below are key steps to inventory and distribute estate assets.
1. File a Probate Petition (MCA § 72-3-301)
The personal representative (sometimes called executor) files a petition with the district court in the county where the decedent lived. The court issues Letters of Appointment that authorize the representative to manage estate matters. See MCA § 72-3-301: https://leg.mt.gov/bills/mca/title_72/chapter_3/part_3/section_301.
2. Inventory and Appraise Assets (MCA § 72-3-303)
Within 60 days of appointment, the representative must list all decedent property—real estate, bank accounts, investments, business interests, vehicles, jewelry, and other personal items—and file the inventory with the court. The court or a qualified appraiser sets fair market values. See MCA § 72-3-303: https://leg.mt.gov/bills/mca/title_72/chapter_3/part_3/section_303.
3. Notify Creditors and Pay Debts
The representative publishes a notice to creditors in a local newspaper and mails notices to known creditors. Montana law gives creditors four months to submit claims. The representative reviews valid claims and uses estate funds to pay outstanding debts, funeral expenses, taxes, and administration costs before distributing assets.
4. Identify Heirs and Calculate Shares (MCA § 72-2-104)
If the decedent left a valid will, the representative follows its instructions. Without a will, Montana’s intestacy statutes determine heirs and their shares. The representative identifies each heir—spouse, children, parents, siblings—and calculates their percentage per MCA § 72-2-104: https://leg.mt.gov/bills/mca/title_72/chapter_2/part_1/section_104.
5. Transfer Assets to Heirs
After debts and taxes clear, the representative distributes the remaining estate. Real estate transfers require new deeds recorded in the county clerk’s office. Financial institutions typically need a certified court order or Letters of Appointment. For personal property, heirs may sign written agreements or divide items by value under court supervision.
6. Final Accounting and Closing the Estate
The representative prepares a final accounting that details assets received, expenses paid, and distributions made. They file this accounting with the court and request an order of discharge. Once the court approves, it closes the estate and the representative’s duties end.
Helpful Hints
- Maintain organized records of all transactions and communications.
- Obtain professional appraisals for valuable or complex assets.
- Notify heirs early to minimize disputes and delays.
- Consider selling or partitioning hard-to-divide assets if heirs disagree.
- Consult a qualified probate attorney to navigate deadlines and court procedures.