Do I need to post a bond to serve as administrator of an intestate estate in Colorado?

Short answer: In Colorado a personal representative (administrator) appointed to handle an intestate estate is presumptively required to give a fiduciary bond (a surety bond) unless the court orders otherwise or all interested persons lawfully waive the bond. The court sets the bond amount and may allow alternatives (corporate surety, cash deposit, or waiver) depending on the circumstances.

Detailed answer — how bond requirements work in Colorado probate

This section explains the typical rules and procedures under Colorado probate practice. This is a plain-language explanation; consult your county probate court or an attorney for case-specific guidance.

1. Why courts require a bond

A fiduciary bond protects the estate and its heirs from loss if the administrator mismanages assets, fails to account, or otherwise breaches duties. The bond creates a financial guarantee — provided by a surety company or by depositing funds with the court — that the administrator will perform lawful duties and return estate property.

2. Default rule: bond is usually required for administrators of intestate estates

When someone is appointed administrator for an intestate estate (no will), Colorado courts generally require a bond before issuing letters of administration. Appointment of a personal representative without a bond is the exception, not the rule. The court determines the required amount based on the value and character of estate assets and anticipated administration risks.

3. How the court sets the bond amount and who can provide it

• The court orders a bond amount sufficient to protect creditors and heirs. The court may consider estimated estate value, income, pending claims, and whether the administrator has access to funds.
• Common ways to satisfy a bond: a commercial surety bond (purchased from a bonding company), a deposit of cash or securities with the court, or a certificate of deposit assigned to the court. A corporate fiduciary (bank or trust company) may qualify without additional surety if the court accepts it.
• The court can increase or decrease the bond during the administration if circumstances change.

4. When can the bond be waived?

Although a bond is normally required, Colorado law and practice allow the court to waive the bond in certain situations. Typical grounds for a waiver include:

• Unanimous written waiver by all persons entitled to notice or who have an interest in the estate (for example, all heirs or distributees). Courts commonly accept written waivers executed under oath or as part of the probate filings.
• Clear demonstration to the court that the bond is unnecessary — for example, when the estate has no liquid assets, is extremely small, or when the proposed administrator is also the sole and only heir and there is no reasonable risk of loss.
• Appointment of a corporate fiduciary or other arrangement that substitutes an acceptable level of security for a bond.

In short, a waiver is possible but typically requires either court approval or the voluntary, documented consent of every interested party. The court will not routinely waive a bond over the objections of interested persons.

5. How to request a waiver in Colorado

1. File the petition for appointment (petition for administration) in the county probate court where the decedent lived.
2. Include a proposed order or motion asking the court to waive the bond, and attach written waivers from all heirs or interested persons if available.
3. Provide evidence supporting waiver (e.g., small estate facts, that the petitioner is sole heir, lack of liquid assets, or appointment of a corporate fiduciary).
4. The court will review the petition, any objections, and the estate facts. If the court approves the waiver, it will issue letters of administration without requiring a bond or it will order another form of security it considers adequate.

6. Practical points and consequences

• If you act as administrator without a required bond, you risk personal liability for estate losses. The bond is meant to protect you and the estate: a proper bond can limit personal exposure for honest mistakes (but it does not protect against willful fraud).
• Creditors and heirs may object to waiving a bond. A contested waiver may trigger a hearing where the court evaluates risk and the administrator’s fitness.
• Purchasing a commercial surety bond is common, and costs vary with bond amount, your credit, and the surety company’s underwriting standards. If the estate is large or complex, a bond cost is often a reasonable expense of administration.

7. Where to find the law and local practice rules

Colorado’s probate statutes and court rules govern appointment and bond procedures. Consult the Colorado Revised Statutes (Title 15 — Probate) and your county’s probate court rules or clerk. The Colorado General Assembly statute portal is a starting point: https://leg.colorado.gov/statutes. For forms, local rules, and procedural information, see the Colorado Judicial Branch website: https://www.courts.state.co.us/ (look under probate forms and probate court procedures).

Helpful Hints

• Before filing, contact the county probate court clerk. Clerks can explain local filing steps and required forms.
• If you expect the heirs to agree to waive bond, obtain signed, written waivers from every interested person and file them with your petition.
• Gather basic estate information (asset list and estimated values) before petitioning. The court uses that information to set bond amounts.
• Shop for surety bonds early. Bond premiums and underwriting can take time, and some companies specialize in fiduciary bonds.
• If the estate appears small or the administrator is the sole heir, present clear evidence to the court to support a waiver request.
• Keep accurate records and provide timely accountings. Good record-keeping reduces the chance the court will require higher security later.
• Consider talking with a probate attorney if heirs disagree, the estate is complex, or there are creditor claims. An attorney can help draft waivers, petitions, and respond to objections.

Disclaimer: This article explains general principles of Colorado probate law and practice. It is educational only and is not legal advice. Do not rely on this article as a substitute for advice from a licensed Colorado attorney about your particular situation.