Detailed Answer
When a creditor presents a settlement demand against an estate in Idaho, an executor must assemble clear, organized documentation to verify assets, liabilities, and the validity of the claim. Under Idaho’s Probate Code, an executor should gather the following key documents:
1. Letters Testamentary or Letters of Administration
These court-issued letters grant you the authority to act on behalf of the estate. The creditor may request proof of your appointment as executor. Obtain certified copies from the probate court.
2. Decedent’s Will and Death Certificate
Provide a certified copy of the decedent’s will to confirm beneficiaries and estate instructions. Include the official death certificate to verify the estate’s opening date.
3. Estate Inventory and Appraisals
Idaho Code §15-3-103 requires you to file a complete inventory of probate assets within 60 days after qualification. Include appraisals for real estate, vehicles, and valuable personal property. Link: Idaho Code §15-3-103.
4. Creditor’s Claim Notice and Supporting Documents
Attach the creditor’s settlement demand, including the claim form and any invoices or contracts. Review the claim against your inventory to confirm whether it matches the estate’s records.
5. Estate Bank and Investment Statements
Gather statements showing account balances at the decedent’s date of death and current balances. These statements help verify liquid assets available for debt payment.
6. Tax Returns and Payment Receipts
Include the decedent’s recent federal and state income tax returns, plus any estate tax filings. Provide receipts for funeral expenses, medical bills, and taxes paid by the estate.
7. Ledger of Estate Debts and Distributions
Maintain a detailed accounting of all debts paid and distributions made to beneficiaries. This ledger will help you reconcile the settlement and demonstrate accurate payments.
8. Court Filings and Communications
Include copies of any motions, orders, and correspondence with the probate court. Document all communications with the creditor, noting dates and content of discussions.
Relevant Statutes: Idaho Code §15-3-801—creditor’s claims (link); Idaho Code §15-3-804—claim payment and objection procedures (link).
Disclaimer: This article is for informational purposes only and does not constitute legal advice.
Helpful Hints
- Organize documents chronologically and by category for quick retrieval.
- Respond to creditor claims within four months of the date letters were issued to avoid default under Idaho Code §15-3-803.
- Keep detailed notes on all conversations and emails with creditors.
- Verify the legitimacy of each claim before authorizing payment.
- Consider consulting a probate attorney for complex or disputed claims.