Detailed Answer
Disclaimer: This article is for general information and does not constitute legal advice.
When someone dies in Delaware, the personal representative (executor) must notify creditors—including medical debt collectors—about the probate proceeding. Proper notice ensures that valid debts are submitted and paid before distributing the estate.
1. Identify Known and Unknown Creditors
The personal representative must compile a list of known creditors (e.g., hospitals, credit card issuers) from the decedent’s records. Unknown creditors may emerge later and rely on a published notice.
2. Publication of Notice to Unknown Creditors
Under 12 Del. C. § 901(a), the representative must publish a notice once a week for three consecutive weeks in a newspaper of general circulation in the county where probate is filed. The notice must:
- Name the decedent and personal representative
- State the deadline (two months after the first publication) for unknown creditors to present claims
See 12 Del. C. § 901(a): delcode.delaware.gov/title12/c001/sc01/#901.
3. Written Notice to Known Creditors
For each known creditor, the representative must mail a written notice by registered or certified mail within four months after letters of administration are issued. Once the creditor receives that notice, they have two months to file a claim. See 12 Del. C. § 901(b): delcode.delaware.gov/title12/c001/sc01/#901.
4. Time Limits for Claim Submission
- Unknown creditors: file within two months after first publication of notice.
- Known creditors: file within two months after date of mailed notice.
Missing these deadlines generally bars a claim. See 12 Del. C. § 903: delcode.delaware.gov/title12/c001/sc01/#903.
5. Priority and Payment of Claims
Approved claims are paid according to priority rules in 12 Del. C. § 903. Medical debts typically rank as general unsecured claims and are paid after funeral expenses and administrative costs.
Helpful Hints
- Keep a detailed list of all potential creditors, including medical providers.
- Verify each creditor’s current address before mailing notices.
- Select a newspaper with wide local circulation for the publication requirement.
- Track publication dates and retain mailing receipts to confirm deadlines.
- Consider consulting a probate attorney to address complex claims or disputes.