Disclaimer: This article is for informational purposes and does not constitute legal advice. Consult a qualified attorney for guidance.
Detailed Answer
Under Connecticut law, when a decedent’s estate does not have sufficient liquid assets to pay valid creditor claims, the estate’s fiduciary (executor or administrator) may petition the Probate Court to sell estate property. This process ensures that creditors are paid in accordance with state statutes. Key steps include:
- Notify Creditors: Within two months of appointment, publish notice to creditors in a newspaper in the decedent’s residence area, per Conn. Gen. Stat. §45a-265.
- Review Claims: Allow at least three months for creditors to submit claims. Verify and object to invalid claims.
- Petition to Sell Personal Property: File a petition under Conn. Gen. Stat. §45a-357 for authority to sell personal assets at public or private sale.
- Petition to Sell Real Property: For real estate, file under Conn. Gen. Stat. §45a-358. Include a proposed sale price, appraisal, and a description of the property.
- Court Hearing and Approval: The Probate Court schedules a hearing. Provide notice to interested persons. Upon court approval, obtain an order permitting the sale.
- Conduct the Sale: Follow court instructions: advertise the sale, conduct auction or negotiation, and confirm highest bid or offer to the court for final approval.
- Apply Proceeds to Claims: Distribute sale proceeds according to priority under Conn. Gen. Stat. §45a-453: administrative expenses, funeral expenses, debts, and then residuary beneficiaries.
Helpful Hints
- Obtain professional appraisals to support the proposed sale price.
- Keep detailed records of notices, orders, and sale procedures.
- Serve notices to all interested persons as required by the Probate Court.
- Work with a probate attorney or court clerk to ensure compliance with court rules.
- Consider obtaining a fiduciary bond if required to secure the estate’s administration.