Detailed Answer
Under Georgia law, a personal representative must follow specific steps before distributing assets to heirs. These measures ensure that estate expenses and creditor claims are addressed properly:
1. Petition for Probate and Appointment
An interested party files a petition for probate of the decedent’s will or for letters of administration with the probate court. See O.C.G.A. § 53-3-20 and O.C.G.A. § 53-3-2. The court then appoints a personal representative who gains legal authority to manage and settle the estate.
2. Inventory and Appraisal
The personal representative prepares a detailed inventory and appraisal of the decedent’s assets and files it with the court within 90 days of appointment. See O.C.G.A. § 53-7-12. This document establishes the estate’s total value.
3. Notice to Creditors
Within one month of appointment, the representative must mail written notice to known creditors and publish a notice in the county’s official legal organ. See O.C.G.A. § 53-7-11. Creditors then have four months from the date of notice or publication to present claims against the estate.
4. Presentation and Review of Claims
Creditors submit their claims in writing by the deadline. The personal representative reviews, accepts, or rejects each claim. Disputed claims may require court intervention. See O.C.G.A. § 53-7-41.
5. Payment of Debts and Expenses
After the claim period expires, the representative pays valid creditor claims, funeral expenses, administration fees, taxes, and other authorized costs. Georgia law prioritizes administrative expenses first. See O.C.G.A. § 53-12-200.
6. Final Accounting and Distribution
Once debts and expenses are settled, the representative files a final accounting and petition for distribution. The court reviews the account, approves any remaining fees, and issues an order directing distribution to heirs under the will or Georgia’s intestacy statutes. See O.C.G.A. § 53-12-260. The representative then distributes the remaining assets accordingly.
Helpful Hints
- Start probate promptly to meet all deadlines.
- Maintain organized records of notices, claims, and payments.
- Use certified mail and proof of publication for creditor notices.
- Keep estate and personal finances strictly separate.
- Consult an attorney for complex claims or disputes.
- Understand creditor priority: administrative costs, secured claims, then unsecured claims.