Disclaimer: This article is for informational purposes only and is not legal advice.
Detailed Answer
When a creditor submits a settlement demand in a Florida probate proceeding, the personal representative (executor) must collect key documents to verify the claim and decide whether to admit, reject, or negotiate under the Florida Probate Code. Gathering complete records streamlines your review and helps you meet statutory deadlines.
1. Statutory Framework
Florida law requires creditors to file claims within two years of the decedent’s death (Fla. Stat. § 733.702). After receiving a claim or settlement demand, you have 30 days to respond by admitting, rejecting, or proposing a compromise (Fla. Stat. § 733.708).
2. Core Documents to Gather
- Copy of the creditor’s written claim or settlement demand. Confirm the date of service and method of delivery.
- Certified copy of the decedent’s death certificate to verify the estate opening.
- Letters testamentary or letters of administration issued by the probate court. These certify your authority to act.
- Original or certified copy of the will, if one exists, to identify any specific bequests or liens against assets.
- Comprehensive inventory of estate assets filed under Fla. Stat. § 733.604. Include valuations, appraisals, and location of bank or investment accounts.
- Detailed ledger of estate transactions and distributions. List all receipts, disbursements, and ongoing obligations.
- Records of debts and liens. Confirm mortgages, car loans, credit cards, medical bills, and other obligations.
- Copies of relevant contracts or service agreements that may support or refute the creditor’s claim.
- Correspondence with the creditor. Keep emails, letters, and notes of any phone calls or meetings.
3. Reviewing and Responding
Once you assemble these documents, compare the creditor’s demand against recorded debts. Ensure accuracy of claim amounts and dates. If you dispute the validity or amount, prepare a written rejection or counteroffer within the 30-day window. If you agree, draft a settlement proposing payment terms that preserve remaining estate assets for beneficiaries.
Keep clear records of your response and file copies with the probate court. Accurate documentation protects you from later disputes and potential personal liability.
Helpful Hints
- Create a centralized digital folder for all probate documents to ensure quick access.
- Maintain a running spreadsheet of deadlines under Fla. Stat. § 733.702 to avoid missed response windows.
- Secure professional appraisals for high-value assets to justify the estate valuation.
- Retain proof of mailing or service for all responses to creditors.
- Consider informal mediation if a creditor’s demand seems excessive, saving time and court costs.
- Consult a probate attorney early to clarify complex claims or conflicting creditor positions.