Legal Question in Wills and Trusts in New York
Deceased being sued
I am the executor of a will. The deceased was named as a secondary defendant in a ''Tort'' case prior to passing.
The plaintiff claims to of worked for the deceased and was injured in a restaurant who is the primary defendant in the case. There is no legal (Paper) proof that the plaintiff worked for the deceased as the deceased never fully registered a business therefore I'd imagine the plaintiff worked as an independent contractor?
The case is pending and the deceased is being sued, not the estate. There is no lien, or judgment currently against the estate. Anyway, would I get in trouble if the assets of the estate are liquidated and disbursed prior to the closing of the case, as there is no lien or judgment in place?
Thank you for your time and response(s)
2 Answers from Attorneys
Re: Deceased being sued
In a word, Yes.
Re: Deceased being sued
Since you have knowledge of the pending litigation, you are at risk if you dispurse the estate assets, even if there is no lien or judgment yet. If there was no relationship between the decedent and the employee a simple defense should be entered in the litigation. If you disburse the assets and a judgment is ultimately awarded, not only could you become responsible, the transfrees of the assets could also be sued on the grounds that the distribution was a fraud on creditors and the assets received could be traced and sought in that litigation.