Probate - Insolvent Estates
What is an Insolvent Estate?
An Insolvent Estate is where someone has died and their assets may be less than is required to pay all of their debts and other liabilities in full.
What should you do if you are involved in an Insolvent Estate?
If you are administering an Estate which may be insolvent you need to establish quickly whether or not it is or is likely to be insolvent. You should then seek legal advice on what, if any, payments should be made out of the estate until all of the liabilities are known. You need to make sure that any payments are made correctly, following the procedure with bankruptcy law.
If you are a beneficiary under an insolvent estate and monies are paid out to you, you may need to pay these monies back to the estate.