California Probate Process Explained

The legal process begins with a "petition" (request)Intestate Succession
to open the estate and formally name a personalThe following is an attempt to simplify the
representative who is responsible for themanner in which separate property is distributed
administration of the deceased's property. Anwhen one dies without a will.
Official Notice of Creditors is printed in a localIf there is a surviving spouse, but no surviving
newspaper and a Notice of Administration is sentchildren, parents, brothers or sisters:
to other involved parties. Creditors then have aAll to surviving spouse
set amount of time to file their claims based onIf there is a surviving spouse, and one surviving
the date of first publication. The personalchild:
representative then pays the debt and distributes1/2 to surviving spouse
the remaining estate. Finally, a petition for1/2 to child
discharge is filed, and the estate is closed.If there is a surviving spouse and more than one
This is a very simplistic overview of a complexsurviving child:
legal process and you should engage the services1/3 to surviving spouse
of a skilled attorney. Upon your attorney's2/3 to children
recommendation, you may also be encouraged toIf there is not a surviving spouse and no children,
consult with a CPA or tax consultant.but there are parent(s):
Probate - First monthAll to parents
File original wills and codicils (executor must petitionIf there is not a surviving spouse, no children, and
for probate within 30 days or may lose right tono parents:
be executor)All to siblings
Publish Notice of Petition to Administer Estate (3If there is not a surviving, spouse the preferential
times before hearing date, 1st publishing must beorder of distribution:
at least 15 days prior to hearing)Children
Mail Notice of Petition to Administer Estate (atParents
least 15 days prior to hearing)Parent's children
File proof of publication and proof of mailingGrandparents
"Notice of Petition to Administer Estate"Children of grandparents
File proof of will, if required and check calendarChildren of predeceased spouse
notes at least two days before hearingNext of kin
File Order for Probate and if required probateParents of predeceased spouse
bondChildren of parents of predeceased spouse
Letters issued - may be at the same time, orState of California
after filing order for probateOverbids
Next 4 - 5 monthsThe Court must confirm the sale. At the time of
Apply for Employer Identification Numberthe confirmation hearing, another buyer may
Notify Director of Health Servicesoverbid the original buyer. Typically overbids are
Open Estate Bank accountoffered at the hearing verbally. At the
Arrange for preparation of income tax returnsconsummation of the confirmation hearing, the
Prepare inventory & appraisements and sendsuccessful over-bidder will be required to execute
to Refereethe bid in writing and usually at this time, the
Mail Notice of Administration to creditors, paybuyer must present a 10% deposit.
debts without requiring formal claimsThere is a statutory formula for the first overbid.
File approval or Rejection of formal Creditor'sIt is an additional amount equal to 10% or more,
Claimson the first $10,000 and 5% on the amount of
File Inventory and Appraisement with courtthe original bid in excess of $10,000.
List property for sale with Realtor and start toFor example:
market and sell propertyOriginal bid = $100,000
File petition for Confirmation of Property Sale (ifFirst overbid must be 10% of 10,000 = + 1,000
no IAEA Administrator)5% of $90,000 = + 4,500
Attend court hearing for overbids (if no IAEAOverbid must be = $105,500
Administrator)If the court receives an acceptable overbid, the
File change in Ownership Statement with countycourt will ask for any additional overbids. The
assessor for all real propertyjudge will usually establish minimum increments as
File federal estate tax return if gross estate isto additional overbids. All overbids will be taken
valued at $675,000 or moreinto account based on the gross amount (without
Final Month - Closing Estatetaking into account any brokerage fees).
File Petition for Final DistributionThe above is only meant as a simplification of a
Mail Notice of Hearing to heirs and beneficiariesvery complex procedure, and only an attorney
File proof of mailing Notice of Hearingcan give proper advice. Information that is more
File Order for Final Distributiondetailed can be found in Sections 6400-6413 of
Transfer assets and obtain receiptthe California Probate Code.
File Receipts and Affidavit for Final Discharge