Legal Question in Wills and Trusts in Alabama
executor borrowed money
grandmother died a few years ago
and unclaimed moneys where
found. executor disbursed some
money but borrowed 60k .this
money was not part of estate. is
this legal
as my grandmothers share. what is
the law if this money was not part
of the estate?
1 Answer from Attorneys
Re: executor borrowed money
I can not fully understand what the facts are. Any money owned by or owed to your grandmother would be part of her estate; if she had no trust set up, and her estate assets exceeded $100,000, her estate would have to be probated. Being named executor in the Will does not mean the Court will automatically appoint that person administrator [the one who eventually distributes the assets] of the Will. No one is allowed to "borrow" money form the estate; that is thift. You need to petition the court for a hearing to have the person file a final accounting as to what happened to all the property and to order what should happen to all the money. First contact the exedutor and find out what happened to the money, why she thinks she could borow it, how long will it take for her to return all the money plus interest at the legal rate of 10%, what she plans to do with the money, what is the status of the probate, has she prepared a list of the assets, debts, amounts already paid out by the estate, etc. Look up the court file on its web site or by going down to the court house.
If she is not willing to replace the money she took, and you are sure that she did take money form the estate without authority, file a motion in court to have her removed, state who should be appointed in her place, see if she had taken out a bond that you can go against, etc. Contact the police and report the facts; do not threaten her that you will go to the police unless she pays the money back because that could be considered black mail.
Before acting on the information you get, speak to an attorney with knowledge in the area of probate law.
good luck.