One of the jobs a trustee or personal representative of an estate has is paying allowable debts, or claims. The claims process may be the most complex part of administering a trust or probated estate. Michigan law sets out a strict timeline for notifying creditors, paying or disallowing debts and challenging a denial of payment, also known as a disallowance. The law also states what types of creditors may make a claim against the estate or trust.
At Bieber & Czechowski, our attorneys have over 80 years of combined experience. We are a full-service firm that focuses on estate planning and probate. Whether you represent an estate or trust, we can walk you through the process of notifying creditors, paying debts and disallowing claims.
Publishing For Claims Puts Creditors On Notice
After a person dies, if they have a trust or a will, the respective trustee or personal representative must publish a notice to creditors in most cases. Publishing this notice informs potential creditors of the limited time period those creditors have to file a claim against the trust or estate.
If a creditor files a claim and the personal representative or trustee (within the appropriate time period) files a disallowance, the creditor must file a lawsuit within 63 days. If the creditor fails to file within this limited time period, their claim will be dismissed.
Recently, our firm discharged a hospital debt of more than $95,000, when the creditor filed their lawsuit only one day late. It is important as personal representative, trustee or creditor to follow the procedures and time periods for all claims.
Need Help With A Claim Against An Estate Or Trust?
Contact our office to schedule a consultation with an experienced probate and trust attorney today. Our law office is in Center Line, in the heart of Warren, Michigan. Call 586-754-1450 or fill out our online form.