We see the following scenario all the time. First the deceased person (the Decedent) owned a home, (assume worth $200,000.00) but the mortgage on the home was worth more than the home (assume mortgage secured a promissory note of $350,000) and there are other assets in the probate estates (assume $150,000.00). In probate this is usually not a large problem if the personal representative is properly represented. First the personal representative should continue paying the on the mortgage. Then the personal representative should publish notice to creditors and send the mortgage company a notice that it must file a claim with the clerk of the probate court within xx days (depending on the situation). Most of the time, the mortgage company does not file a timely claim if the mortgage payments are current when the mortgage company receives the notice to creditors. After the time for filing a claim expires, then the personal representative stops making mortgage payments. The secured real property (worth $200,000.00) will have to be used to satisfy the mortgage (secured creditors do not need to file a claim in property to protect their secured asset). However, unless the mortgage company filed a timely claim in probate, the unsecured portion of the mortgage will not be paid by the probate estate and the $150,000 will go to the estate beneficiaries. This simple example demonstrates the need to hire a qualified probate attorney. For more information contact Cody & Linde, PLLC today.
Timely notice may cut off unsecured probate creditors
Terms and Conditions for Use of Website: Cody & Linde, PLLC (the "Firm") makes available the information and materials on this website, http://www.floridaprobatelitigator.com/ (the "Materials") for informational purposes only to the user ("You.”). While the Firm hopes the Materials will be helpful as general information, the Firm does not warrant that the Materials are accurate or complete. Moreover, the Materials are general in nature, and may not apply to your legal issue. Under no circumstance do the Materials constitute legal advice and should not be relied on as such. Furthermore, the Firm accepts clients only in accordance with mutually agreed upon procedures and renders legal advice only after completion of those procedures and when it is legally permissible to do so. Any usage of this website and Materials is provided with no warranties or guarantees of any kind. The hiring of a lawyer is an important decision that should not be based solely upon advertisements. Before you decide, ask the Firm to send you free written information about our qualifications and experience. We, the attorneys at Cody & Linde, PLLC regularly handle cases in Fort Myers, North Fort Myers, Cape Coral, Bonita Springs, (Lee County) Punta Gorda, Port Charlotte, (Charlotte County) and Naples (we will have a fully staffed office in Naples starting in January 2019) including Marco Island (Collier County) and occasionally throughout the State of Florida. The Firm provides legal services in probate and trust litigation and administration, will contests, estate litigation, fiduciary litigation, guardianship administration, estate planning, tax litigation and planning and elder law.