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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Re: Sale of inheritable expectancy.. Posted by Rick Harmon on June 09, 2003 at 10:12 AM In Reply to: Sale of inheritable expectancy.. posted by Ward-CA- on June 09, 2003 at 8:39 AM I'm not certain about the which State this potential probate concerns, so I wish to comment as if it's a California matter. This plan has some loose ends. If the decedent has many other debts, i.e., Medi-Cal (Dept of Health Service), burial costs, secured and non-secured creditor claims, the estate, and hence theheirs, may have little or no equity. The biggest problem that we encounter in dealing with these situations is that if you purchase the heirs' inheritance (we use an assignment of their distributive share - haven't seen Ward's document before) you may be buying "nothing." The alternative is to purchase the property from the Administrator, once appointed, and depending on their court powers, may be able to sell the property to you with marketable, insurable title. However, the drawback is that the Admin. has a fiduciary duty to all parties, creditors included, and must be accountable to all. Also, the attorney will be concerned about representing his/her client, the Administrator, not so much the heirs, and clearly not an assignee. Frankly, this Catch-22 is something that leaves me uncomfortable. If you have yourself appointed, you can control the deal but are open to lawsuits. If the Admin. is someone else, not only are they exposed but it may be harder to control and close the deal. Rick Follow Ups: Re: Sale of inheritable expectancy.. Richard Nostrand 3:42 PM, 06/09/03 (0) Post a Followup: Name : E-Mail : Subject : Comments: : I'm not certain about the which State this potential probate concerns, so I wish to comment as if it's a California matter. : This plan has some loose ends. If the decedent has many other debts, i.e., Medi-Cal (Dept of Health Service), burial costs, secured and non-secured creditor claims, : the estate, and hence theheirs, may have little or no equity. The biggest problem that we encounter in dealing with these situations is that if you purchase the heirs' inheritance (we use an assignment of their distributive share - haven't seen Ward's document before) you may be buying "nothing." : The alternative is to purchase the property from the Administrator, once appointed, and depending on their court powers, may be able to sell the property to you with marketable, insurable title. However, the drawback is that the Admin. has a fiduciary duty to all parties, creditors included, and must be accountable to all. : Also, the attorney will be concerned about representing his/her client, the Administrator, not so much the heirs, and clearly not an assignee. : Frankly, this Catch-22 is something that leaves me uncomfortable. If you have yourself appointed, you can control the deal but are open to lawsuits. If the Admin. is someone else, not only are they exposed but it may be harder to control and close the deal. : Rick Optional Link URL: Link Title: Optional Image URL: [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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