Detailed Answer
This article explains the checks Iowa law places on estate administrators to ensure they meet their duties and bond obligations. It does not constitute legal advice.
1. Appointment, Oath and Bond
After a probate court appoints an administrator, the individual must take an oath to faithfully perform their duties per Iowa Code § 633.277 (legis.iowa.gov/docs/code/633.277). The court then requires a fiduciary bond under Iowa Code § 633.390 (legis.iowa.gov/docs/code/633.390). This bond guarantees compensation for losses if the administrator mismanages or misapplies estate assets.
2. Inventory and Appraisal
The administrator must file a complete inventory and appraisal of all estate assets within 90 days of appointment, as mandated by Iowa Code § 633.249 (legis.iowa.gov/docs/code/633.249). This record verifies the bond amount and provides transparency for heirs and creditors.
3. Court Supervision and Reporting
Iowa law requires administrators to seek court approval for major actions like selling real estate or investments. They must file periodic status reports or accountings under Iowa Code § 633.404 (legis.iowa.gov/docs/code/633.404) and a final settlement under § 633.442 (legis.iowa.gov/docs/code/633.442).
4. Enforcement: Removal, Surcharge and Contempt
If an administrator breaches fiduciary duties, interested parties may petition the court for surcharge (financial penalty) under Iowa Code § 633.359 (legis.iowa.gov/docs/code/633.359) or removal under § 633.445 (legis.iowa.gov/docs/code/633.445). The court can also hold the administrator in contempt for willful refusal to comply with orders.
These combined mechanisms—involving bond requirements, mandatory reporting, court supervision and judicial enforcement—promote accountability and protect an estate’s assets.
Helpful Hints
- Review bond terms carefully to verify coverage amount and sureties.
- Keep detailed records and receipts to support inventory and accountings.
- Monitor court deadlines for inventories and reports to avoid sanctions.
- Consult an attorney promptly if you suspect misuse of estate funds.
- Understand your rights as a creditor or heir to petition for removal or surcharge.
Disclaimer: This article is for educational purposes only and does not constitute legal advice.