Detailed Answer
Understanding how Michigan law treats vehicle ownership after the owner’s death can save time and avoid disputes. Every motor vehicle titled solely in a decedent’s name is presumptively part of the probate estate unless it passes by a nonprobate mechanism recognized under Michigan law.
Probate vs. Nonprobate Transfers
Under Michigan’s Estates and Protected Individuals Code (EPIC), property subject to probate is defined as “probate estate” under MCL 700.1403. Nonprobate transfers, which bypass probate, are listed in MCL 700.2102. Key vehicle-related nonprobate mechanisms include:
- Joint ownership with right of survivorship: Under MCL 700.7602, title held as joint tenants passes directly to the surviving owner.
- Transfer on death (TOD) beneficiary designation: Michigan allows a transfer-on-death designation on a vehicle title (Form TR-31). A properly completed TR-31 designates a beneficiary who takes title upon presentation of the certified death certificate and form to the Secretary of State.
Determining Estate Property
- Review the title: Check for any TOD beneficiary or joint owner on record with the Secretary of State.
- Verify nonprobate transfer validity: Confirm the designation was properly executed before the decedent’s death.
- Check for recent transfers: A transfer made within four years before death may be challenged as a fraudulent transfer under Michigan’s Uniform Fraudulent Transfer Act (MCL 566.34).
- Consult the personal representative: If no nonprobate mechanism applies, the vehicle remains in the probate estate. The personal representative can obtain a court-issued Certificate of Authority, submit Form TR-27, and a certified death certificate to retitle or sell the vehicle.
Key Michigan Statutes
- MCL 700.1403 – Definition of probate estate
- MCL 700.2102 – Nonprobate transfers
- MCL 700.7602 – Survivorship rights
- MCL 566.34 – Fraudulent transfer within four years before death
Disclaimer: This article provides general information only. It is not legal advice. For advice on your specific situation, consult a Michigan-licensed attorney.
Helpful Hints
- Pull the vehicle title record at the Michigan Secretary of State’s website to check for beneficiaries or joint owners.
- Keep certified copies of the death certificate handy when retitling a vehicle.
- Use Form TR-31 accurately to avoid probate delays.
- Discuss any potential disputes or complex transfers with a probate attorney.
- Maintain records of any gifts or transfers made before death to address fraudulent transfer claims.