Detailed Answer
When someone dies, ownership of assets takes two basic paths: (1) property that is part of the probate estate and must be administered through the probate court, and (2) property that passes outside probate because of a survivorship right or a named beneficiary. In Oregon, assets that pass automatically by right of survivorship (for example, joint tenancy with right of survivorship, payable-on-death (POD) bank accounts, transfer-on-death registrations, and many beneficiary-designated retirement or life-insurance proceeds) generally pass to the surviving owner or named beneficiary by operation of law and are not part of the decedent’s probate estate.
That general rule means: you normally do not include survivorship assets as part of the probate estate’s value on the inventory as if they belonged to the estate, because the estate does not acquire legal title to those assets. However, many personal representatives (and some Oregon courts) still list such items on the inventory or on a separate schedule and clearly label them as “non-probate” or “passes outside probate” with the name of the surviving owner or beneficiary. Doing so avoids confusion, helps the court and heirs understand what exists, and documents that the asset did not become estate property subject to distribution under the will or by intestacy.
Practical points under Oregon practice:
- Identify the asset type. Common non-probate vehicles include joint tenancy with right of survivorship, POD/TOD accounts, life insurance and retirement accounts with named beneficiaries, and property held in a revocable trust.
- Confirm the controlling document. For real estate, look at the deed language. For bank and brokerage accounts, look for POD or TOD designations or joint account agreements. For retirement accounts and life insurance, check the beneficiary designation form.
- Label items on the inventory. If you file an estate inventory with the probate court, a clear entry such as “Bank of County — Checking account ending XXXX (POD to Mary Smith; passes outside probate to Mary Smith)” or “Real property at 123 Main St. — joint tenancy with right of survivorship (survives to John Doe)” is best practice. This shows the court the asset exists, but that it did not become estate property.
- Provide supporting proof. Attach or be ready to provide copies of the deed, account statements showing POD/TOD, beneficiary designation forms, and a certified copy of the death certificate when dealing with financial institutions or the court.
- Watch creditor and administration rules. Even though survivorship assets usually pass outside probate, creditors may still have claims against the estate. How and when creditors are paid depends on the probate process and local rules. Listing non-probate assets separately makes it easier to show which items are not available to satisfy estate debts.
Where to check in Oregon: Oregon’s probate practice is governed by state statutes and local court procedures. The Oregon Judicial Department provides probate information for the public and courts; and the Oregon Revised Statutes (ORS) contain the probate code and related rules. If you need statute-level references or specific court rules, contact the probate clerk in the county where the estate is filed or consult ORS and local court forms:
- Oregon Judicial Branch (probate information): https://www.courts.oregon.gov/
- Oregon Revised Statutes (full index): https://www.oregonlegislature.gov/bills_laws/Pages/ORS.aspx
When you definitely should include a survivorship asset on the inventory
- The probate court’s local rules or the probate clerk requests a complete schedule of all assets (many clerks prefer a single, transparent schedule that notes non-probate assets).
- There is any dispute about whether the survivorship designation was valid, or whether the decedent intended the asset to pass differently.
- Creditors are active and you need to document what is and is not available for creditor claims.
- You want a clear record for beneficiaries to avoid later claims of concealment or mistake.
Practical sample inventory entry (for guidance only)
“Acme Bank checking account ending 6789 — POD to Jane Doe (non-probate; passes outside probate to Jane Doe). Account statement attached.”
Helpful Hints
- Collect documents early: get deeds, account statements, beneficiary forms, and certified death certificates before contacting institutions.
- Label clearly: if you list a non-probate asset, call it “non-probate” or “passes outside probate” and name the survivor/beneficiary on the inventory entry.
- Don’t transfer assets hastily: financial institutions may require specific paperwork. Transferring assets before you have legal authority can create liability.
- Check local practice: call the probate clerk in the county where the decedent’s probate is filed and ask whether they want non-probate assets identified on the inventory or on a separate schedule.
- Preserve evidence: keep copies of what you file with the court and what you provide to banks or brokers.
- Get legal help if contested: if heirs disagree about whether property should pass by survivorship or be part of the estate, consult an Oregon probate attorney to avoid costly mistakes.
Next steps you can take now
- Review the account or deed documents to confirm survivorship language.
- Make a simple list of all suspected non-probate assets and the likely recipients.
- Contact the probate clerk to learn local filing expectations for inventories and supporting documentation.
- Consider asking an attorney for a short consultation if there is any dispute or if a significant asset is involved.
Disclaimer: This article explains general information about Oregon probate practice and is not legal advice. It does not create an attorney-client relationship. For advice about a specific situation, consult a licensed Oregon attorney.