M,Are you saying the Trustee of the bankruptcy court becomes the executor of my Mother's estate?
In theory, yes. However, likely not. Any interested party
may petition to become executor. Since the trustee is an interested party due to the nature of their position, they may. However, the chances of that happening are slim. I was merely being all-inclusive in my answer.Does some paperwork have to be filed in Alabama to turn over the house to the hiers of the life estate?
When someone passes away, then their estate has to be distributed. The problem is that without probate - with assets such as titled property or bank accounts - this is hard to do. This is because you cannot switch over the assets without an order from the probate court, and simply a Certificate of Death will not do. A Certificate of Death simply states that someone has passed on, but does not give you the right to really do anything in the deceased's name.
So one files probate. Once probate is filed, the Executor of the estate gets something called a Letter of Testament/Administration
(hereinafter "Letter"). This Letter will allow the Executor to switch over the assets from the deceased individual to whoever will own the property. It is like a "Power of Attorney," but from the Court. Without that Letter, there is no way to transfer titled property and switch the assets into beneficiaries' hands. To turn over title, the Executor executes a QUITCLAIM
DEED or an EXECUTOR'S DEED to do this, taking the title out of the name of the deceased and into the beneficiaries' names.
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