Complex estate probate in New Jersey
For more complex estates, settlement often takes more than two years. Many estates contain property and/or a business as well as cash and investments.
Careful estate planning can help to mitigate the complexities and reduce delays but even then, the correct procedures must be studiously followed by the executor to avoid legal challenges.
Business and property can complicate the distribution of the assets, as can claims from many creditors and the presence of multiple beneficiaries. But the greatest threat to the timely settlement of an estate in New Jersey is litigation—which becomes more likely with larger estates and higher financial stakes.
If a will is contested, for instance, execution of an estate can run into several years while the case makes its way through the NJ court system. The most common types of lawsuits filed with estates involve contested wills and breaches of administrative duties by executors.
What happens when someone dies without a will?
If there is no will and no executor appointed for the estate, New Jersey’s “intestate” laws come into play.
These laws set out what happens to the assets of a deceased person, with a series of succession guidelines and intestacy statutes.
Generally speaking, the assets of a person who dies intestate in New Jersey pass to family members in strict order of succession, from the closest relatives to more distant ones. In particular, the individual’s marital status and number of children affect asset distribution.
However, some assets pass to surviving loved ones automatically outside of a will, without the need for court processes. These include:
- “Right to survivorship” assets like a jointly owned home or bank account
- The proceeds of a life insurance policy, which go to the named beneficiary
- A 401K, IRA or company pension plan with named beneficiaries
- The assets in a revocable living trust
If named beneficiaries die before you and the records have not been updated, the assets would go to your estate and be distributed according to New Jersey’s intestate laws.
Other personally owned assets would be distributed according to the strict order of succession outlined below:
- A surviving spouse with children from the same marriage and no stepchildren or children from a prior marriage.
- A surviving spouse and your children from a prior marriage: The spouse inherits 25% of any property (but not less than $50,000 or more than $200,000), plus one-half of any estate balance. The surviving children inherit the remainder.
- A surviving spouse and surviving parents: The spouse inherits 25% of any property (but not less than $50,000 or more than $200,000), plus three-fourths of any estate balance. The parents inherit the remaining property.
- Parents
- Siblings
- Distant relatives such as grandparents, aunts and cousins
- The State of New Jersey
If there is no surviving spouse or children, the estate’s assets go to:
If a private representative has not been named, anyone interested in administering the estate of a deceased person who dies intestate must file an affidavit of administration through the surrogate court of the county where the deceased lived at the time of their death—10 days or more after the death.
How long does it take to settle an estate in New Jersey without a will?
Even if there is no will, there may still be creditors, disputes between heirs/beneficiaries, and complexities surrounding assets like a business or property.
This will add to the time it takes for the court-appointed administrator to finalize the estate and, just like with executing an estate with a will, there is no definite deadline set out for this process.
If you need assistance with estate planning or executing an estate in New Jersey, contact the Law Office of Steven M. Cytryn, LLC for an initial consultation.
