Planning Intermediate: Overview of the Probate Process

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Choose wisely. There is only one correct answer to each question.

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Review your answers below to learn more.

Select the true statement below:

Under some circumstances, an executor might be personally liable for damages to estate property under his or her control.

The executor is entitled to a fee for serving but must pay for any hired help out of that fee.

The law imposes a fiduciary duty on an executor except in those situations in which he or she is also a beneficiary under the will.

Under some circumstances, an executor might be personally liable for damages to estate property under his or her control. An executor might be personally liable if a loss to estate property results from his or her negligence or wrongdoing.

In estate planning, the personal representatives authority extends to all the decedents property located within his state of residence.

True

False

False. Assets disposed of outside the probate process are part of the "non-probate estate," and the executor or administrator has no control of these.

Which of the following statements is true?

One of the executors first tasks should be the distribution of easily transferred and liquid assets to the appropriate beneficiaries.

One of the executors first and most important duties after appointment is to take an inventory of estate assets.

A key distinction between an executor and an administrator is that the executor assumes personal responsibility for the payment of final bills if estate funds are insufficient.

One of the executors first and most important duties after appointment is to take an inventory of estate assets. The other choices are false.

Most states have expedited probate procedures for settling some estates that allow one to avoid a trip to court.

True

False

True. Most states have streamlined probate procedures for handling the settlement of small estates, or even larger ones if they are uncomplicated.

Which of the following statements is true?

Executors and administrators are examples of the decedents beneficiaries.

It is wise to name an executor, so that he or she can be given authority over the decedents non-probate as well as probate estate.

An executor is chosen by the decedent in his or her will while an administrator is appointed by the probate court.

An executor is chosen by the decedent in his or her will while an administrator is appointed by the probate court. Executors and administrators are examples of the decedents personal representatives.