Murrieta Probate Attorney

Murrieta Probate Lawyers

If you are an entrepreneur or a business owner, you may want to consider hiring a Murrieta probate attorney to protect the interests of your company. Probate is the legal process of managing and distributing a deceased person’s assets to the appropriate beneficiaries after their death. Many people try to avoid probate because it can be a lengthy and costly process; however, because businesses tend to have considerable debts, assets, and property, probate is often necessary.

Consulting with the right law firm can help you maneuver the unique procedures of probate court. Be sure to act quickly rather than wait for the state to distribute your hard-earned assets.

Being an entrepreneur is hard work, and it requires a significant amount of time and financial resources to be successful. You do not want to be left with your business interests and assets unprotected. Hiring a probate attorney may be the right choice for you.

What Is the Probate Process?

The probate process consists of a few steps, which are mainly handled by the executor. An executor is the person you name in your will to handle your estate, which includes your business. If you do not name an executor in your will, the court will appoint an administrator to handle your paperwork, which is usually a close relative or the primary beneficiary of your assets. The probate process for a business is similar to a personal probate and goes as follows:

• The will, if there is one, determines the executor of the estate. The will also determines who receives the person’s business assets and ownership interests. Then, the executor hires a probate lawyer to prepare and file a Petition for Probate with their local probate court.
• The lawyer notifies everyone in the will of their loved one’s death and publishes their death in the newspaper so creditors are aware of the death. The lawyer also notifies all parties of the probate hearing.
• At the hearing, the court determines the validity of the will and, if there are no objections, officially appoints the personal representative of the estate, or the executor.
• The executor identifies, takes possession of, and manages the estate’s assets. They also present a list of all the deceased’s property to the court and appraise said property.
• The executor pays any taxes or debts that the deceased person owes. Sometimes, the executor is required to sell assets to pay outstanding debts or taxes.
• The executor distributes what remains of the property as the will directs (if there is no will or directive, the court determines the distribution of property).

Another step entrepreneurs should take is naming a business successor. A business successor is the person who is responsible for taking over the business once the primary owner dies.

The probate process is timely and requires a considerable amount of paperwork to be filed. Ignoring one step can stall the process and may lead to your business’ assets being mismanaged. An experienced and capable lawyer can help you avoid making mistakes.

Is Probate Necessary?

Probate is not necessary in every case. The estates of individuals who do not own property or who have created trusts will likely not need to go through probate. However, because entrepreneurs tend to own property for their businesses, have outstanding debts, or owe taxes, probate may be unavoidable. It is wise to speak with a Murietta probate attorney to determine if your estate must go through probate.

Whether or not your assets must go through probate is also determined by their specific value. In California, if your property value or your assets are over the threshold of $184,500, you will likely have to go through probate. Most businesses are valued at this amount or more, so if you are an entrepreneur, you should expect to require this process.

How Long Does the Probate Process Take in California?

Depending on the complexity of the estate, this process can vary in length. In Murrieta, the executor has a year from the date of appointment to complete probate. However, if they file a federal estate tax, they can take up to 18 months. If the estate is sizable or if there are hardships or other complications, the executor must put that in writing to extend the timeframe.

How Much Does Probate Cost in California?

In Murrieta, the cost of probate is set by law as a percentage of the estate. Costs associated with the estate are appraisal costs, executor fees, court costs, and legal and accounting fees. Further, if there are complications or if someone decides to contest the will, this can drive costs up in the form of litigation fees.

Why Should I Hire an Attorney to Handle Probate?

You’ve worked hard to build your business. You have invested countless hours and a large amount of money to ensure it is impactful and successful. The last thing you want is for your hard-earned assets to be distributed to undeserving parties. Also, the probate process can be complicated and is different from general estate planning, where you may only need to draft a will.

In addition to making money, businesses often rack up considerable debt. A probate lawyer will ensure your business debts are paid out of your estate so that what remains is appropriately distributed to your loved ones. Also, since it is often required that real estate or business interests are sold to pay for outstanding debt; a capable law firm will help you navigate this process.

Taxes are another factor that plays an important part in estate planning for entrepreneurs. An attorney ensures all business taxes are paid so there aren’t any complications later. Your lawyer can also mediate disagreements amongst your loved ones and help your executor avoid mistakes and meet deadlines.

Contact Lockhart Law Firm

At Lockhart Law Firm, we are dedicated to the success of your business, and we have the capabilities and experience to ensure your business assets are protected when you are no longer here. Reach out today to schedule a consultation.