What is the process for inventorying and distributing estate assets among multiple heirs in Michigan?

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Detailed Answer

Disclaimer: This article provides general information under Michigan law and does not constitute legal advice. Consult a licensed attorney for guidance tailored to your situation.

1. Appoint a Personal Representative

To begin probate, the court appoints a personal representative (PR), sometimes called an executor. The PR gathers assets, notifies interested parties, and handles estate affairs. For formal probate, file a petition with the probate court in the county where the decedent lived.

2. Inventory and Appraise Estate Assets

The PR must prepare an inventory listing all real and personal property, such as bank accounts, real estate, investments, and personal items. Under Michigan law (MCL 700.3711), the PR files the inventory with the probate court within 91 days after appointment. The PR may hire a licensed appraiser to value unique or high-value items.

3. Notify Creditors and Pay Liabilities

After inventory, the PR publishes a notice to creditors in a local newspaper and mails notices to known creditors. Creditors then have four months to file claims (MCL 700.3801). The PR reviews claims and pays valid debts, funeral expenses, and administrative costs before distributing assets to heirs.

4. File Accounting with the Court

The PR prepares a detailed accounting of all receipts, disbursements, and estate inventory changes. The court reviews this report to ensure the PR’s actions follow Michigan’s Estates and Protected Individuals Code. Heirs receive notice and may object if they find errors.

5. Distribute Remaining Assets to Heirs

Once debts and expenses are settled and the accounting is approved, the PR distributes the remaining assets. If the decedent left a will, follow the will’s terms. For intestate estates (no valid will), Michigan’s inheritance laws apply (MCL 700.2802). The final distribution rules appear in MCL 700.3415.

Helpful Hints

  • Start probate promptly: Michigan law sets strict deadlines for inventory and creditor claims.
  • Keep clear records: Detailed logs simplify accounting and avoid disputes.
  • Obtain professional appraisals for valuable assets to ensure fair distribution.
  • Maintain open communication with heirs to manage expectations and reduce conflicts.
  • Consult a probate attorney if the estate involves complex assets or contested claims.

The information on this site is for general informational purposes only, may be outdated, and is not legal advice; do not rely on it without consulting your own attorney. See full disclaimer.