Detailed Answer

When administering an estate in Michigan, the personal representative must follow clear procedures to ensure estate expenses and creditor claims are fully addressed before distributing assets to heirs. The Michigan Estates and Protected Individuals Code (EPIC), MCL 700.1101 et seq., provides the framework.

1. Appointment of a Personal Representative

Under MCL 700.3401, the court appoints a personal representative when it admits the will. If no will exists, the court appoints an administrator under MCL 700.3901.

2. Inventory of Estate Assets

Within 91 days of appointment, the personal representative must file an inventory of all assets held by the estate, as required by MCL 700.3211. This inventory identifies resources available to cover debts and expenses.

3. Notice to Creditors

Michigan law requires two types of notice to creditors:

• Published Notice: The personal representative must publish a notice to creditors once a week for three consecutive weeks in a newspaper circulated in the decedent’s county. See MCL 700.3802.
• Direct Notice: The representative must mail written notice to known creditors within two months of appointment. See MCL 700.3801.

Creditors then have four months from the date of first publication to file claims under MCL 700.3803.

4. Review and Payment of Claims

The personal representative reviews each claim and makes a written determination to allow or reject it in accordance with MCL 700.3804. The representative must pay all allowed claims, administrative fees, funeral expenses, and taxes (MCL 700.3808) before distributing assets.

5. Final Accounting and Petition for Distribution

After settling claims, the representative prepares a final account and petitions the court for distribution. The court reviews the account under MCL 700.3812. Once approved, the court issues an order directing the distribution of remaining assets to heirs.

Disclaimer: This article provides general information about Michigan estate administration. It is not legal advice. For advice tailored to your situation, consult a licensed Michigan attorney.

Helpful Hints

• Maintain detailed records of all notices, claims, and payments.
• Start creditor notice early to meet statutory deadlines.
• Communicate regularly with heirs to manage expectations.
• Seek legal guidance if creditors dispute claim decisions.