What is Premature Asset Division in Probate?

An executor or personal representative is responsible for handling many aspects of probate, including the distribution of assets once other administration issues have been managed. However, prematurely passing on these assets to beneficiaries can come with consequences.

It might seem easier or even a good way to make beneficiaries happy by making those distributions right away, this can be illegal and can expose you to personal liability. It’s much better to make a comprehensive list of all the assets and then hold them until probate can be completed.

At the early stages of probate, you don’t know about all the possible legal creditors, either. This means someone could come forward with a legitimate claim once you’ve already liquidated or given an asset to someone else. This does not delete the creditor’s right to recover, which can create a very complex situation.  You don’t want to have to go back to that family member and ask for the item back.