Dealing With Estate Property

1. Manage Probate Assets

Personal representative must manage property with the care that a prudent person would take of his or her own property.▪ PC § 230▪ EC § 351.101

2. Sell Estate Property

PR may need to sell estate property to pay debts and expenses.

2. Sell Estate Property

Order of property sold▪ PC § 322B▪ EC § 355.109

1. Property passing by intestacy2. Residuary property (personal first,

then real)3. General bequests (personal first,

then real)4. Specific gifts of personal property5. Specific gifts of real property

2. Sell Estate Property

Court permission needed in most cases▪ PC § 331▪ EC § 356.001

2. Sell Estate Property

Avoid hassle of getting court permission by authorizing sales in the will▪ PC § 332▪ EC § 356.002

Freeman v. Tinsley – p. 141

Special rules for independent administrations▪ PC §§ 145A & 145C▪ EC § 401.006 & Chapter 402

2. Sell Estate Property

Avoid self-dealing (PR cannot purchase estate assets)▪ PC § 352▪ EC § 356.651

Exceptions▪ Express permission in will▪ Court permission if in best interest of estate▪ PC § 352▪ EC §§ 356.651-356.655

In re Estate of Hernandez – p. 144

3. Rent Estate Property

Without court permission ≤ 1 year Must be in best interest of the

estate▪ PC § 359▪ EC § 357.001

With court permission > 1 year▪ PC § 361▪ EC § 357.002

4. Mineral Property Authority

PC §§ 367-372

EC Chapter 358