Disclaimer: This article is for informational purposes only and does not constitute legal advice.
Detailed Answer
When a creditor submits a claim against an estate, the executor must evaluate and respond under New Hampshire probate law. Under RSA 551:14, creditors have a set period (typically 90 days after notice) to file claims. Once a claim is on record, the executor has two months to allow or disallow it per RSA 551:16.
To challenge a claim on predatory lending grounds:
- Collect and review loan documents. Gather the promissory note, payment history, disclosures, and any communications.
- Verify statutory deadlines. Confirm the claim was filed within 90 days under RSA 551:14 and that your objection meets the two‐month deadline under RSA 551:16.
- Check usury limits. Compare the loan’s interest rate to state caps in RSA 399:1. Rates above the statutory maximum may render the debt partially or wholly unenforceable.
- Assess unconscionability and deceptive practices. Under the New Hampshire Consumer Protection Act (RSA 358-A:2), predatory terms or unfair disclosures can void or limit enforcement of the contract.
- File a written objection. Submit a detailed notice of disallowance to the probate court, citing specific statutory grounds such as usury or unconscionability.
- Request a hearing. Ask the court to schedule a hearing on your objection. Prepare evidence, including documentary proof and potential expert testimony.
- Present your case. At the hearing, demonstrate how the loan violated state law. If successful, the court will disallow the claim, barring the creditor from recovering from the estate.
If the court upholds the creditor’s claim, consider a separate action on behalf of the estate for restitution under RSA 358-A:9.
Helpful Hints
- Maintain thorough records of all probate notices, filings, and communications.
- Review New Hampshire’s probate statutes and the Consumer Protection Act regularly.
- Consult a probate or consumer law attorney for complex predatory‐lending issues.
- Watch deadlines closely; late objections may bar any challenge.
- Explore mediation to resolve disputes efficiently and reduce estate administration costs.