Disclaimer: This is general information only and not legal advice. I am not a lawyer. For legal advice about your specific situation, consult a Colorado probate attorney.

Detailed answer — What can happen under Colorado law

If you handled the sale of a decedent’s car while acting for the estate and your sibling now accuses you of mismanaging estate assets, Colorado law gives the court and the parties several ways to address the dispute. Outcomes depend on whether you were acting as the personal representative (executor or administrator), whether the sale was authorized, whether you kept clear records, and whether beneficiaries were harmed.

1. Who has the duty to manage and sell estate property?

The person appointed by the court as the personal representative has the legal duty to collect, preserve, and, when appropriate, sell estate assets to pay debts and distribute the remainder to beneficiaries. If you were the personal representative, you had fiduciary duties to act reasonably, in good faith, and in the beneficiaries’ best interests. If you sold the car without being the appointed representative, your authority is more limited unless the court or all beneficiaries later ratify the sale.

Colorado codifies probate and fiduciary rules in the Colorado Revised Statutes (see Title 15, Probate, Trusts, and Fiduciaries): Colorado Rev. Stat. Title 15.

2. When is selling an estate vehicle allowed?

• If the decedent’s will or a court order specifically authorizes sale, the representative can sell.
• If sale was needed to pay estate debts, taxes, or reasonable administration expenses, the representative may sell after following any procedural requirements (notice, inventory, and accounting).
• If all beneficiaries expressly agree in writing to the sale, that typically validates the transaction.

3. Key duties you must follow when selling estate property

• Give required notices to interested parties and beneficiaries.
• Obtain a fair market price — use an appraisal, comparables, or multiple offers when appropriate.
• Keep complete records: bill of sale, title transfer, receipts, bank deposits, and communications with beneficiaries.
• Record the sale and account for proceeds in the estate accounting submitted to the court.

4. What your sibling can do if they claim mismanagement

Your sibling can ask the probate court to:

• Require a formal accounting of the sale and all estate transactions.
• File a civil claim for breach of fiduciary duty. If the court finds a breach, it can order repayment of losses or “surcharge” the fiduciary (i.e., hold you financially liable for damages).
• Seek removal of the personal representative if that person’s conduct shows incompetence, dishonesty, neglect, or a conflict of interest.
• Request rescission or restitution in limited cases if the sale was unauthorized and the proceeds are still traceable in the estate.

5. Possible court outcomes

Depending on facts and proof, outcomes include:

• Dismissal of the claim (if the sale was authorized and properly handled).
• Requirement to provide a detailed accounting and substantiating documents.
• Monetary liability for losses if sale was at an unfair price, was self-dealing, or otherwise breached duties.
• Removal from the personal representative role and appointment of a successor.
• Settlement or mediation between siblings to divide proceeds or adjust distributions.

6. Criminal concerns

Most disputes over estate sales are civil. However, knowingly converting estate property for personal use without authority can trigger criminal charges (the prosecutor would evaluate intent and evidence). If you acted in good faith and fully documented the sale, criminal exposure is less likely.

7. Time limits

Statutes of limitations and probate timelines apply to fiduciary claims and to challenges to estate administration. That means beneficiaries should raise disputes promptly. Check the probate rules and consult counsel early.

8. Practical proof that defends you

To defend against a mismanagement claim, produce:

• Court orders or will provisions authorizing the sale (if any).
• Appraisals, ad listings, or comparable prices showing fair market value.
• Receipts, bank records, and a clear chain showing sale proceeds went into the estate account.
• Communications with beneficiaries showing notice and any consents.

What steps to take right now

1. Gather documents: title transfer, bill of sale, bank deposit records, any appraisals, emails/texts with beneficiaries, and the will or court paperwork.
2. If you were the personal representative, file or prepare the estate inventory and accounting with the probate court if not already done.
3. Talk to your sibling: consider mediation before litigation. Courts often favor settlement.
4. Consult a Colorado probate attorney right away — they can evaluate whether the sale complied with fiduciary duties and advise on defense or settlement.

Relevant Colorado resources

• Colorado Revised Statutes, Title 15 (probate, trusts, and fiduciaries): https://leg.colorado.gov/statutes/title-15-probate-trusts-and-fiduciaries
• Colorado Judicial Branch — probate information and forms: https://www.courts.state.co.us/

Helpful hints

• Document everything. Good records are your best defense.
• If you’re the personal representative, don’t co-mingle estate funds with personal funds.
• Get at least one independent valuation before selling unique or high-value items.
• Notify beneficiaries in writing before finalizing major sales when practicable.
• If you didn’t have authority to sell, consider disclosing the error to beneficiaries and proposing a remedy (repayment, distribution adjustment, or court approval).
• Use mediation as a faster, cheaper option than litigation for family disputes.
• Act quickly — delays can harm your credibility and limit legal options.