Do I have to post a bond to serve as an administrator in Vermont probate?

Short answer: In Vermont the probate court generally requires a fiduciary bond for a personal representative (administrator or executor) unless the court approves a waiver. Interested persons (heirs or beneficiaries) can often consent to waive the bond, but the court has the final say and may still require a bond when it believes the estate needs protection.

Detailed answer — how bonds work in Vermont probate

When someone dies without a will (intestate) or with a will but the named executor cannot serve, the probate court appoints an administrator or an administrator with will annexed to manage the estate. A bond (also called a surety bond) is a financial guarantee that the fiduciary will perform duties properly and protect estate assets for the heirs and creditors.

Under Vermont probate practice, filing and approval of a fiduciary bond is a common requirement. The bond amount is usually set to cover the estimated value of the estate and is intended to protect beneficiaries and creditors if the fiduciary mismanages assets.

However, Vermont courts may waive the bond requirement in appropriate circumstances. Typical situations where the court may waive or reduce bond include:

• All interested persons (heirs and beneficiaries) give a written, signed waiver or consent to the appointment without bond.
• The decedent’s will expressly waives a bond for the named fiduciary.
• The estate is small or the record shows minimal risk to creditors and beneficiaries.
• The proposed fiduciary can show strong reasons (for example, a co-owner of property continuing to manage jointly held assets) supporting a waiver or lower bond.

Even when all heirs agree to a waiver, the Vermont probate judge has discretion to require a bond. The court will consider factors such as the size of the estate, the clarity of the ownership of assets, the number and nature of creditors, the relationship and trustworthiness of the proposed fiduciary, and any disputes among interested persons.

Practical consequences of waiver vs. bond:

• With a bond: heirs have a surety company as an additional source of recovery if the fiduciary mismanages assets. The fiduciary pays the bond premium (a percentage of the bond amount).
• Without a bond: beneficiaries rely on the fiduciary’s honesty and any court remedies if problems arise. Recovery can be more difficult and slower than a claim against a surety bond.

What you can do if you want to waive the bond

1. Identify all interested persons: list heirs and beneficiaries whose interests would be affected.
2. Prepare written waivers or consents: each interested person should sign a clear, dated, written waiver or consent to appointment without bond. Notarization may be required or recommended by the probate clerk.
3. File the waiver with the probate petition: submit the waiver documents with your petition for appointment (or as a separate filing) so the judge can consider them at the time of appointment.
4. Be ready to explain to the court why a waiver is safe: provide an inventory or estimate of estate value, information about creditors, and any other facts that reduce perceived risk.
5. Accept the court’s decision: if the judge requires a bond, you can post a surety bond (work with a bonding company) or ask for a lower bond amount or other safeguards.

Where to look for authoritative Vermont guidance

Vermont’s probate courts and the state statutes govern these rules. For general probate procedure and local practice, see the Vermont Judiciary’s Probate Division pages: Vermont Judiciary — Probate Division.

For the underlying statutory authority and more detail on fiduciary duties and court powers, consult the Vermont statutes governing estates and fiduciaries (Title 14). The Vermont Legislature’s statutes are available online: Vermont Statutes, Title 14 — Probate, Trusts, and Fiduciary Relations.

Helpful hints

• Talk with the probate clerk in the county where the decedent lived — clerks can explain local filing rules and any required forms or wording for waivers.
• Collect written waivers from every person who has a legal interest in the estate; courts are more likely to accept a waiver when it is unanimous and documented.
• If there is any creditor concern, unknown heirs, or contested issues, expect the court to require a bond.
• Consider a limited bond: if the court is concerned about a portion of the estate only, it may permit a bond limited to certain assets or a reduced amount.
• Understand that waiving the bond increases the personal risk to the fiduciary — the fiduciary remains personally liable for mistakes, theft, or improper distributions.
• When in doubt, consult a probate attorney or ask the court for guidance before assuming a waiver will be accepted.

Next steps

If you are preparing to be appointed and want a bond waiver, gather signed written consents from all interested persons and submit them with your petition. If the court asks for a bond, you can obtain a surety bond through an insurance or surety company — the probate clerk or local attorneys can often recommend providers.

Disclaimer: This article is for general informational purposes only and is not legal advice. It does not create an attorney-client relationship. For advice about your specific situation, consult a licensed Vermont probate attorney or contact the probate clerk where the estate will be administered.