Being named the executor of a friend or family member's estate is a great honor. It means they consider you to be trustworthy, honest and reliable. Ye...
Being named the executor of a friend or family member's estate is a great honor. It means they consider you to be trustworthy,
honest and reliable. Yet, it can be a burden too. Acting as an executor brings with it many fiduciary duties such as the administration of the person's assets, paying of debts and distribution of wealth to heirs. Sometimes these duties can be overwhelming to executors, especially if they've never been a fiduciary agent before. When this is the case, estate lawyers can be brought in to help you understand and fulfill your responsibilities in compliance with the law.
What Does A Fiduciary Do?
As it relates to individuals, a fiduciary (also sometimes called an executor) has the responsibility of managing the financial affairs of someone else, generally someone who has passed away. You will probably be responsible for making sure all bills, debts and taxes are paid and then for overseeing the transfer of the remaining assets to the heirs. One important part of this duty is to protect the assets while these other issues are being settled. Without a fiduciary agent, it would be all too easy for unscrupulous heirs to attempt to obtain the assets for their own use, without regard for the deceased's wishes or obligations.
You don't have to be a legal expert or a finance whiz to be named executor, which is why so many estate lawyers offer assistance to people with these types of fiduciary duties. It's something that few people have enough experience with to manage on their own from start to finish. Making people even more nervous is the fact that executors must report to a court of law on what steps have been taken to distribute the assets and settle the estate.
Sometimes, the process of identifying, locating and obtaining access to the assets is difficult and takes a long time. There may be decisions to make as to whether or how property or financial assets should be sold. There may be questions about whether the case needs to go through probate. There may be questions about who inherits the property or other assets, locating those heirs and informing them of their inheritance. This becomes the executor's responsibility particularly if there is no will to be found. The executor must make decisions in compliance with state law, another good reason to have estate lawyers on your side.
Another time-consuming duty is managing the everyday affairs. Cancelling credit cards and bank accounts, and notifying appropriate government agencies and service providers or utilities are all tasks that fall to the executor to oversee.
Through it all, fiduciary agents must keep detailed records of all of the decisions, actions and transactions that have taken place.
How Do Estate Lawyers Help Executors?
Given all of the duties required of executors and the legal ramifications of the decisions and actions taken, it is easy to see why so many fiduciary agents rely on the experience and expertise of estate lawyers to guide them through the process.
These lawyers are well-trained in the nuances of state law regarding wills, probate, trusts and the distribution of assets. Not only do they make sure you're meeting your legal requirements, they can also be a great resource for other services, from simple things such as finding realtors or storage companies to more complex issues such as notifying government agencies of the death.
Another way these attorneys help the fiduciary agent is by ensuring they are performing their duties in compliance with the law. This is important because if you don't comply with the law, you open yourself up to personal liability. The last thing you want is to be involved in a personal liability situation when all you were trying to do was help settle an estate for a trusted friend or family member.
Estate lawyers will be familiar with the laws of your state and can advise you on appropriate actions which may speed up the entire process, all the while making sure you are operating within the confines of the law. You can find one by contacting your local bar association or even speaking with your own personal lawyer. He or she can probably recommend a qualified colleague who can advise you.
