Debts owed by decedent

[dustycrockett]

What is the name of your state (only U.S. law)? Louisiana and Texas

I am 1 of 4 heirs and the named executor in my father's will, which was probated in Louisiana as a Succession Without Administration. The Judgement of Possession was rendered 3 months ago. His house is on the market and I have some cash set aside in my own account to maintain it until sold. Final accounting was waived, although I report to my siblings.

A creditor of my father's is attempting to collect a debt incurred in Texas, which I rejected in writing 7 months ago because I have good reason to doubt its validity. They are now threatening to sue in small claims court.

Questions:
1. Can I truthfully tell them that the estate is "closed" or "settled"? That would be so much easier than arguing the validity of the claim.

2. If they sue anyway, what court would have jurisdiction? I am a Texas resident, the creditor is in Texas, the transaction occured in Texas, but the decedent was domiciled in Louisiana.

Thanks!

 

[LdiJ]

What is the name of your state (only U.S. law)? Louisiana and Texas

I am 1 of 4 heirs and the named executor in my father's will, which was probated in Louisiana as a Succession Without Administration. The Judgement of Possession was rendered 3 months ago. His house is on the market and I have some cash set aside in my own account to maintain it until sold. Final accounting was waived, although I report to my siblings.

A creditor of my father's is attempting to collect a debt incurred in Texas, which I rejected in writing 7 months ago because I have good reason to doubt its validity. They are now threatening to sue in small claims court.

Questions:
1. Can I truthfully tell them that the estate is "closed" or "settled"? That would be so much easier than arguing the validity of the claim.

2. If they sue anyway, what court would have jurisdiction? I am a Texas resident, the creditor is in Texas, the transaction occured in Texas, but the decedent was domiciled in Louisiana.

Thanks!

How much money are we talking about here...and how much is the house worth? What kind of cr4ditor are we talking about?

 

[latigo]

What is the name of your state (only U.S. law)? Louisiana and Texas

I am 1 of 4 heirs and the named executor in my father's will, which was probated in Louisiana as a Succession Without Administration. The Judgement of Possession was rendered 3 months ago. His house is on the market and I have some cash set aside in my own account to maintain it until sold. Final accounting was waived, although I report to my siblings.

A creditor of my father's is attempting to collect a debt incurred in Texas, which I rejected in writing 7 months ago because I have good reason to doubt its validity. They are now threatening to sue in small claims court.

Questions:
1. Can I truthfully tell them that the estate is "closed" or "settled"? That would be so much easier than arguing the validity of the claim.

2. If they sue anyway, what court would have jurisdiction? I am a Texas resident, the creditor is in Texas, the transaction occured in Texas, but the decedent was domiciled in Louisiana.

Thanks!

Sure the estate was "closed/settled"! You did so without there being a judicial determination of the validity of the creditor's claim!

Its hard to perceive that an adult person would be so naïve as to think they can do a quickie small succession of a deceased parent’s estate - arbitrarily choose which of the parents outstanding debts should be paid and not be paid - distribute the assets among the heirs - close the estate leaving creditors in the lurch - AND NOT INCUR PERSONAL LIABILITY.

AND, believe that if the creditor wishes to seek the use of the courts to establish its claim, it has to chase the responsible person across state borders. Your actions took place in Louisiana and that state will have jurisdiction of your person. La. Rev. Stat. Ann. § 13:3201 § 13:3201.

You need to speak with a Louisiana attorney familiar with the state’s mind boggling probate laws. If there are any in here, they must be sleeping under the carpet.

Another option might be to have a local attorney reach a settlement with the creditor and the four of you sibs split it. But you are not in a very favorable position to barter.

Plus it is highly improbable that you possess or could retrieve what documents might be available, if any, to successfully dispute the claim.

 

[tranquility]

I agree with latigo. Small estate administration relies on the administrator taking on a lot of responsibility. If he does not do well, the estate will be litigated. You don't just get to claim all things are done. Not in any state. (While I have no idea about LA. It is a bit different from the rest.) Tap, tap, no cooties does not really work when you're talking about legal debts.

 

[anteater]

You need to speak with a Louisiana attorney familiar with the state’s mind boggling probate laws.

Indeed.

If there are any in here, they must be sleeping under the carpet.

They are all out with Billy the Exterminator fighting off a raccoon invasion at the Duck Commander workshop with supplies from the Cajun Pawn Shop.

Just from the little I know about LA, a "Succession without Administration" does not necessarily translate into what we normally think of as a small estate process. In this situation, size does not necessarily matter.

I wonder if the creditor would have been required to petition the court for an administration once the OP told the creditor to get lost. (???)

 

[dustycrockett]

ok, a little clarification: to LdiJ, it's only $1200, a small amount compared to the assets, and the creditor is a pharmacy (mom & pop, not a chain). If it were a substantial amount, I'd have already turned it over to the attorney who prepared the succession. The amount is too immaterial to have been separately listed in the inventory.

The terms "closed" and "settled" seem to be used a lot with respect to estates, but I haven't been able to uncover exactly what they mean to the State of Louisiana. The thought occurred to me that the Judgement for Possession might be it, since it seems to be the document that actually passes possession of all the property to the heirs. It's a reasonable question -- if you aren't familiar with the state’s mind boggling probate laws, there's no shame in that, no need to get ugly about it. I don't think you meant to suggest that I should just pay anybody who asks for money. I consider it my responsibility to determine which debts should not be paid.

Six months ago I invited the creditor to provide documentation in support of their claim, which they have not done. As I said before, I have good reason to doubt the validity of the debt. I haven't provided more details because I'm not asking for opinions on whether I'm right about that or not. I'm convinced I would prevail, although I've had no formal training since taking b-law at LSU 30 years ago.

Since the creditor is a local business not qualified to do business in Lousiana, the result predicted by latigo (that La would have jurisdiction) would be excellent. But I just have one naive question about that: does it preclude Texas from having jurisdiction also?

btw, I understand that "tap, tap" doesn't absolve us of liability, if it in fact does exist (which I'm convinced it doesn't) -- I'm just hoping it will discourage the other party from pursing their questionable claim any further.

Thanks to all for your answers,

[edited -- just saw anteater's post... correct, a succession without administration must be filed by a qualified attorney. Existence of real property precluded a "small estate", or at least, that's how I understand it. Therre may be other factors. ]

 

[anteater]

The terms "closed" and "settled" seem to be used a lot with respect to estates, but I haven't been able to uncover exactly what they mean to the State of Louisiana. The thought occurred to me that the Judgement for Possession might be it, since it seems to be the document that actually passes possession of all the property to the heirs.

Again, from my limited understanding of LA, you are correct. The Judgment of Possession is it.

 

[tranquility]

My point is that the person doing such administration usually has to affirm many things and would be on the line if the affirmations were incorrect.

 

[dustycrockett]

Thanks again for the help.

I wrote back, reiterating my request for documentation, and directing them toward Caddo Parish where the estate would be domiciled.