Common Causes of Probate Disputes
Probate is the legal process through which a deceased person's estate is administered, including the payment of debts, distribution of assets, and resolving any claims against the estate.
While probate in South Texas is typically seen as a routine legal procedure, it’s not uncommon for disputes to arise during this process, particularly in cases where the decedent’s will is contested, beneficiaries disagree, or creditors challenge the estate's financial standing.
In Texas, probate disputes can be emotionally and financially draining, often leading to lengthy and costly litigation. Located in Corpus Christi, Texas, I encounter these disputes frequently at Russell Manning Law PLLC. Read on to learn five common causes of probate disputes so you can better understand the process.
Contesting the Validity of the Will
One of the most frequent sources of disputes in probate in South Texas is the contesting of a will’s validity. There are several grounds on which a will may be contested, and these disputes often create intense family drama and legal battles.
Lack of Testamentary Capacity
A will can be contested on the grounds that the decedent lacked the mental capacity to make a valid will. Under Texas law, a testator (the person who makes the will) must have the mental ability to understand the nature of their actions, recognize the extent of their property, and comprehend the relationships they have with their heirs.
If family members believe that the decedent was suffering from a mental condition such as dementia or Alzheimer’s disease, or if the will was made during a time of incapacity (e.g., under the influence of medication), they may challenge the will’s validity.
Undue Influence
Undue influence occurs when someone exerts improper pressure on the testator to make or change a will in a way that does not reflect the decedent’s true intentions. This is a common cause of disputes in probate in South Texas, especially when the decedent’s estate includes significant assets.
If a family member or caregiver is accused of coercing the decedent to alter the terms of the will, it may lead to legal challenges. Proving undue influence can be difficult, as it requires showing that the testator’s will was overpowered by the undue influence of another person.
Fraud or Forgery
A will can also be contested on the basis of fraud or forgery. If it’s believed that the will was forged or that the decedent was tricked into signing a will that they did not intend, this can lead to a dispute.
Fraud may involve the testator being misled into believing false information or signing a document without understanding its contents. In these cases, the court may determine that the will is not legally valid.
Even if a will is valid, disagreements can arise over its interpretation. I’ll go into more detail on that below.
Disagreements Over Will Interpretation
In Texas, a will’s provisions must be clear and unambiguous. However, when language is unclear or there’s confusion about the decedent's intentions, beneficiaries may disagree over how the will should be interpreted. This can include disputes over:
Asset Distribution
If the will does not clearly specify how assets are to be distributed, it can lead to disputes between beneficiaries.
For example, if the will mentions a property or asset but fails to specify which beneficiary is entitled to it, family members may argue over ownership. Additionally, vague language or poorly defined terms, such as referring to "my children" without specifying who those children are, can cause confusion.
Ambiguous Bequests
A bequest in a will may be poorly worded, leaving open the possibility for multiple interpretations. This can lead to differing opinions on how an asset should be divided.
For instance, a bequest such as “my jewelry collection” might lead to disputes over what specifically constitutes the jewelry collection and how it should be divided among the heirs.
Executor or Trustee Disputes
The role of the executor or trustee is crucial during probate in South Texas. Disagreements can arise if beneficiaries believe that the person named to manage the estate is not fulfilling their duties properly.
For example, if an executor is accused of mismanaging the estate, failing to distribute assets according to the will, or showing favoritism, this can lead to a legal dispute. Executors or trustees who make mistakes or act in bad faith can be removed from their position and replaced by the court.
Disagreements over the language in a will aren’t the only source of complications. Issues can also arise if creditors make claims against the estate.
Claims Against the Estate by Creditors
Creditors are entities that the decedent owed money to at the time of their death. In probate, creditors may file claims against the estate to recover the debts owed to them. Disputes often arise when the decedent’s estate does not have enough assets to pay off all debts or when there’s disagreement over the legitimacy of the debt.
Outstanding Debts and Liabilities
If the decedent left behind significant debt, creditors may file claims to collect what they are owed. Common creditors include:
Credit card companies
Mortgage lenders
Medical providers
Personal loan lenders
Disputes can occur if family members or heirs believe that certain debts should not be paid, or if they believe the decedent’s assets should be distributed to heirs before settling outstanding debts.
Improper Claims by Creditors
In some cases, creditors may submit improper claims, such as trying to collect on debts that were discharged in bankruptcy or debts that aren't legally owed by the estate. Beneficiaries or the executor may dispute these claims by challenging their validity, leading to lengthy litigation over the estate’s finances.
Estate Insolvency
In situations where the estate is insolvent, meaning its liabilities exceed its assets, disputes can arise about how the estate should be distributed.
Texas law sets out a specific order of priority for paying creditors, and if the estate lacks sufficient funds to pay debts, the executor may have to make decisions that upset certain creditors or beneficiaries. This can lead to disagreements about which debts to prioritize and whether the estate should be liquidated to pay creditors.
Next, let’s examine how disputes over inheritance rights can affect probate.
Disputes Over Inheritance Rights
Texas law outlines the rights of spouses, children, and other family members to inherit property. However, disputes often arise when these rights are unclear, especially in the context of blended families or when a decedent dies without a will (intestate).
Claims by Spouses and Children
Texas is a community property state, meaning that property acquired during marriage is typically owned jointly by both spouses. In the event of a spouse’s death, the surviving spouse is generally entitled to half of the community property, while the deceased spouse’s share is distributed to the heirs.
However, disputes may arise when children from different marriages or other family members contest their share of the estate, particularly when one spouse claims that the decedent intended for certain assets to go to them alone.
Intestate Succession
When someone dies without a valid will, the estate is divided according to Texas intestate succession laws. Disputes may arise when family members disagree about the distribution of assets, particularly if there are multiple heirs or if the decedent did not have a clear relationship with some of the beneficiaries.
For example, if a person has children from multiple marriages, disputes may arise between the children over how the estate should be divided.
Disinheritance
In cases where a will disinherits a child or spouse, there can be disputes over the validity of the disinheritance.
In Texas, a will can legally disinherit a child or spouse, but this often leads to feelings of resentment or anger. Disinherited family members may contest the will, arguing that the decedent did not have the capacity to make such a decision or that they were subjected to undue influence.
In addition to disagreements over inheritance rights, the probate process may also be impacted by claims of breach of fiduciary duty.
Claims of Breach of Fiduciary Duty
Executors and trustees are fiduciaries, meaning they have a legal obligation to act in the interest of the estate and its beneficiaries. If beneficiaries believe that the executor or trustee has violated their fiduciary duties, this can lead to disputes. Common breaches of fiduciary duty during probate in South Texas include:
Mismanagement of Assets
If the executor or trustee mishandles estate assets by failing to properly maintain property, make timely investments, or manage funds responsibly, beneficiaries may file a claim for breach of fiduciary duty. This could include allegations that the executor has sold estate property below market value or failed to preserve valuable assets.
Self-Dealing
An executor or trustee may be accused of self-dealing if they use their position to benefit personally at the expense of the estate. For example, an executor who sells estate property to themselves or to a family member for less than its fair market value can be subject to claims for breach of fiduciary duty.
Failure to Follow the Terms of the Will
Executors are required to follow the specific instructions laid out in the will. If an executor fails to distribute assets as directed, beneficiaries may challenge their actions in court. This can include accusations of favoritism, failure to communicate properly with beneficiaries, or improperly handling distributions.
The factors outlined above can make probate challenging to manage, but an experienced probate attorney can help simplify the process.
Contact a Probate Attorney Today
Probate in South Texas can be emotionally charged and financially burdensome. Whether it’s the validity of a will, disagreements over the interpretation of estate documents, or disputes with creditors, probate cases often involve a mix of legal, financial, and personal challenges. My law firm serves Corpus Christi, Texas; South Texas; and the Coastal Bend area with experienced probate services. Contact Russell Manning Law PLLC today to get started.