Estate Planning Terms: Executive Bond Waivers

When an individual passes away leaving property, somebody has to handle the obligation to handle that property and after that transfer it to brand-new owners. This person, referred to as an administrator or an administrator, has a special task to protect the estate property and to see the decedent’s desires are followed.

To secure versus any possible errors or wrongdoing on the part of the executor, states frequently need the executor to post a bond– a specific amount of money– so any damage caused can be paid back. In numerous states the bond can be waived however just under particular circumstances. Speak with a lawyer in your area for state-specific guidance about bond waivers.
Testamentary Waiver: A person who develops a Will, called a testator, gets to choose who acts as his or her executor. Testators can also choose to let the administrator serve without having to post a bond. This bond waiver is not needed to develop a Will, however without it the executor will usually have to publish a bond.

Voluntary Waiver: Administrators may also be able to waive the bond requirements if they receive a waiver arrangement from the heirs or recipients of the estate. If all the recipients accept the waiver in composing, the administrator can send their arrangement to the probate court and ask the court to waive the bond requirements. This might not be possible in all states, so speak with an attorney.

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