Overview. In New Jersey, wrongful death recoveries are controlled by the Wrongful Death Act (N.J.S.A. 2A:31-1 et seq.). A personal representative (executor or administrator) normally brings the wrongful death action and holds any recovery for distribution to the persons entitled under the statute. An oral agreement among heirs, beneficiaries, or other family members about how to divide the proceeds can sometimes be enforced, but enforcing or disputing such an agreement requires navigating probate duties, contract law, and court procedures. This summary explains the practical steps, legal theories, evidence that matters, and likely court processes in New Jersey.

Who controls the claim and the money?

The wrongful death action is brought for the benefit of the decedent’s estate and persons entitled to recover under the Wrongful Death Act. The personal representative (PR) appointed by the Surrogate’s Court or nominated in the will has authority and a fiduciary duty to prosecute and settle claims in the estate’s best interests. That means a private oral agreement among beneficiaries does not automatically bind the PR or override the PR’s duties unless the PR agrees and the court approves a distribution consistent with law. See the Wrongful Death Act (N.J.S.A. 2A:31-1 et seq.) for the statutory framework: https://www.njleg.state.nj.us/statutes.

Can an oral agreement about dividing proceeds be enforced?

Yes — but with important limits:

• If the PR and a beneficiary reach an oral settlement that the PR later refuses to honor, a court may enforce the oral agreement if there is clear, convincing evidence of the agreement and its terms. Courts evaluate objective proof (communications, witnesses, partial performance) rather than bare memories.
• An oral agreement simply among heirs (without the PR’s participation) is weaker because the PR controls litigation and settlement. Beneficiaries cannot usually compel distribution contrary to the estate process unless they can show a binding contract, estoppel, or other equitable grounds.
• Some agreements are subject to statute-of-frauds rules or must be in writing to be enforceable in other contexts; however, courts have sometimes enforced oral settlement agreements when the parties acted on them (partial performance) or where refusing enforcement would be unconscionable.

Common legal theories used to enforce or challenge an oral allocation

• Breach of contract (if an enforceable contract can be shown).
• Specific enforcement of a settlement agreement (courts may enforce settlements, written or, in some circumstances, oral).
• Promissory estoppel (where one party relied to their detriment on promises to share proceeds).
• Unjust enrichment or conversion (if one person received funds that rightly belong to others).
• Probate/court petition to supervise distribution if the PR is refusing to distribute per an agreed plan.

Evidence that helps enforce or disprove an oral agreement

Because oral agreements rely on testimony, strong contemporaneous evidence is key:

• Text messages, emails, or written notes summarizing the agreement.
• Witness statements from people who heard the agreement.
• Bank records showing partial payments or transfers consistent with the oral deal.
• Actions by the parties consistent with the agreement (e.g., one beneficiary paid funeral costs in reliance, or the PR filed claims reflecting the agreement).
• Any release language or settlement drafts, even if unsigned.

Practical steps to enforce or dispute an oral allocation

1. Identify who controls the claim and funds. Determine whether the PR has been appointed. If not, contact the Surrogate’s Office for appointment status.
2. Preserve evidence. Save texts, voicemails, emails, bank records, and names of witnesses immediately.
3. Send a demand letter. A clear, written demand to the PR (and to other parties) explaining the claimed agreement and requesting performance can sometimes prompt resolution.
4. Attempt mediation or settlement. Courts and parties often prefer resolving distribution disputes through mediation to avoid protracted litigation and fees.
5. If negotiation fails, file in court. Typical filings include a motion to enforce a settlement, a complaint for breach of contract or declaratory judgment, or a petition in the probate court asking the court to approve or supervise distribution. Wrongful death litigation and settlement disputes are usually resolved in Superior Court (the Law Division handles wrongful death claims; the Surrogate’s Court handles certain probate issues).
6. Seek urgent relief if funds are at risk. If a party threatens to dissipate settlement funds, a party may ask the court for temporary injunctive relief or to have funds deposited with the court or a receiver.

What the court will consider

Courts weigh credible evidence of an agreement, the parties’ conduct, whether the PR fulfilled fiduciary duties, and whether enforcement would conflict with statutory distribution rules or public policy. If the PR approved and implemented the oral agreement, courts are more likely to enforce it. If the PR never authorized the deal and the agreement prejudices entitled persons, the court may refuse enforcement and require distribution under statute.

Timing and deadlines

Act promptly. Wrongful death claims have procedural deadlines and estate matters can involve separate limitation periods and probate timeframes. Delays can make evidence stale and reduce remedies available. Consult counsel quickly to preserve claims and evidence.

Possible outcomes and remedies

• Court orders enforcing the oral agreement or awarding money consistent with it.
• Monetary damages for breach, promissory estoppel, or unjust enrichment.
• Court-supervised reallocation of estate funds and, where appropriate, attorney’s fees or costs if the law or contract allows.
• Denial of enforcement where the agreement conflicts with statutory distribution or lacks sufficient proof.

Where to find the statutes and more information

New Jersey’s wrongful death framework is in the Wrongful Death Act (N.J.S.A. 2A:31-1 et seq.). The official New Jersey Legislature site with statutes is: https://www.njleg.state.nj.us/statutes. For general probate and surrogate information, contact the county Surrogate’s Office. For procedural questions about wrongful death litigation in New Jersey courts, see the New Jersey Courts public resources.

When to hire a lawyer

Because wrongful death recoveries often involve significant sums and statutory rules, it is wise to consult an attorney if:

• The PR refuses to follow the alleged agreement.
• Funds have been distributed or paid out already and you believe you were excluded improperly.
• Evidence is complex or parties dispute essential terms.
• There is an urgent risk that funds will be lost.

An attorney experienced with New Jersey wrongful death and probate disputes can evaluate your evidence, advise on likely outcomes, and file the appropriate court papers or petitions.

Disclaimer

This article is for general information only and is not legal advice. It does not create an attorney-client relationship. For advice about your specific situation, consult a licensed New Jersey attorney.