Elk River Minnesota Legal Blog

Probate is the legal process of settling one’s estate after their death from beginning to end. There are many laws governing the process and depending on the value of the estate, it can get complicated. The process of probate includes the court authenticating the last will and testament, and the executor distributing the assets and satisfying any debts.

In most cases with a will, a specific person has been designated to be the executor, but if there isn’t a will, a close relative is typically appointed for the job to be the personal representative. The designated person can decline the responsibilities if they so choose and someone else can assume the duties.

You might have a loved one who can no longer make their own legal or financial decisions. Or, maybe a friend passed away unexpectedly and their child needs a caregiver. Whether they are a minor or adult, they will need someone to look after them and ensure their needs are met. The process of becoming a legal guardian is complex and demanding, but the individual is worth it. Before going to court, it is helpful to understand the basics of legal guardianship. 

The objectives of probate are to pay creditors and distribute assets according to the law and your loved one's wishes. Before assets of an estate are paid, creditors may seek payment on debts. As a personal representative, you don't want to pay a debt the estate does not legally owe. However, you also do not want to unnecessarily tie the estate up in lengthy proceedings with a valid creditor.

The Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) amended the U.S. Bankruptcy Code in 2005 as part of a widespread overhaul of the system. The BAPCPA put into place new eligibility requirements for obtaining Chapter 7 bankruptcy protection. The provisions make it tough for individuals who have acquired mainly consumer debts, but who earn an above-average income for a household in Minnesota of similar size. The formula for determining Chapter 7 eligibility is called the means test.