What Are the Different Types of Probate in Colorado?
In the State of Colorado, there are three categories of probate:
Informal probate
Informal probate includes approximately 90% of probates in the state. In general, they are for an estate where no party contests the distribution of assets, a clear and valid will is in place, and a personal representative was clearly identified.
An individual referred to as a registrar, instead of a judge, handles this category of probate. The personal representative, or individual seeking distribution, does not have to retain an attorney to begin the process.
Although the court will verify who the personal representative is, the decedent’s assets are typically distributed without court supervision. Typically, an estate that is larger than a small estate will go through informal probate proceedings.
Formal probate
If an estate is very complex, the validity of the will is questioned, or other incidental accusations arise, the case will enter formal probate proceedings. These are court proceedings that oversee actions taken by the personal representative, or estate executor, such as distributing assets or selling real estate.
These proceedings are most commonly necessary when there are disputes over the will. For example, if a third party obtained a will using undue influence, or the pressure one individual puts on another in a context that holds legal significance, or coercion.
In a case where a genuine legal complaint is made, these formal procedures must be followed in order to provide all parties with a fair and impartial adjudication.
Supervised Probate
With supervised probate, a court will supervise the whole probate process if a beneficiary brings charges of negligence, fraudulent, or inaccurate distribution of assets by the personal representative of the estate. In these cases, the court has to approve all distribution of property.
Colorado laws presume that personal representatives will act prudently, responsibly, and in good faith. Because of this, less than 1% of informal probate cases are supervised.
In a supervised probate proceeding, the personal representative has to submit timely, detailed, and accurate accountings of assets distributions. In some cases, a personal representative will request that the court supervise the distribution process to preclude any future claims of dishonest or negligent conduct on the part of the personal representative.
What Is the Probate Process in Colorado?
In Colorado, the probate process has several steps. The overall goal is to complete an accounting of the decedent’s assets, including personal and real property, which is referred to as the decedent’s estate, and any debts the decedent may owe.
It is important to note that there are different types of probate in Colorado that each work slightly differently. A small estate in Colorado is a collection of personal property valued at less than $70,000, as of 2020, that does not include any real property, such as a house.
With a small estate, a small estate affidavit is filed with the probate court. After court approval, the heirs may collect the assets and the court process is minimal.
Informal probate requires filing the proper forms with the probate court in the county where the decedent resided at the time of their death. It is different from formal probate, because the court is not as involved, which makes it less expensive and less time-consuming.
If the individual who passed away was only married once and only had children from that marriage, their spouse would inherit everything. If the individual had children with someone other than their spouse, their spouse would inherit the first $225,000 of the intestate property in addition to half the balance and the children would inherit everything that remained.
Formal probate procedures include the most involvement from the probate court. This process may be required when an estate is complex or if there will be probate litigation, such as an individual contesting the will or the identity of an heir.
What Else Should I Consider?
In addition, if an estate does not have clear succession, formal probate may be required. Even in cases where there is a will, a determination of heirship hearing will be held allowing all potential heirs to express their interest in the real property of the decedent.
In Colorado, both the informal and formal probate processes take six months minimum to complete. All interested parties, which includes, but is not limited to, heirs and creditors, must be notified of the decedent’s death as well as the commencement of the probate action.
The notification process requires the use of a specific form and following a specific process. The personal representative must then collect all of the decedent’s property, review creditor’s claims, collect payments owed, and complete any tax requirements.
The personal representative then submits a final accounting of the administration of the estate to the court after the assets are distributed to the heirs and beneficiaries. Heirs and beneficiaries are not permitted to access any assets until all of their taxes and debts have been paid.
In order to probate a will in Colorado, it must be determined whether it qualifies as an informal or formal estate, as the required forms and filing fees are different. Once the forms are filed and fees are paid, a hearing date will be assigned.
The court will review the will, if there is one, and determine whether it meets the requirements of the state probate laws to be valid. Named beneficiaries and heirs have a legal right to contest the will.
If an individual has any issues, questions, or concerns related to probate issues in Colorado, they should consult with a Colorado estate lawyer.
How Much Does Probate in Colorado Cost?
Currently, the cost of a small estate probate in Colorado is $83.00. The filing fees for informal and formal probate are currently $199.
If the probate will be supervised, there is an additional $198.00 fee. If a claim is contested, there is also a $198.00 fee.
There may also be other fees and costs associated with a probate case. An individual should consult with a Colorado attorney to determine the current and exact costs.
Additional Information About Colorado Probate
There are numerous important things an individual should be aware of before a probate case in Colorado, including:
- All wills and intestate estates, or estates for which there is no will, have to be probated to some degree in the State of Colorado;
- In Colorado, even if an individual had a will, their estate will be subject to probate if they own real estate titled only in their name or if the combined value of their assets is over a certain amount;
- Probating an estate in Colorado does not have to take a long time;
- Colorado has laws that have streamlined the probate process meaning, the majority of estates are finished with the probate process within a year;
- Probate cases can drag on for years, however, this often due to family infighting, very large estates owing federal or state estate taxes, or estates that continue to earn income, such as estates belonging to celebrities; and
- Common costs associated with probate include court fees, appraisal costs, personal representative’s fees, and others;
- These costs are affected by disputes, a complex estate, the size of the estate, and whether or not there was a will.
Do I Need an Attorney for Probate in Colorado?
If you have any issues, questions, or concerns related to the probate process in Colorado, a Colorado probate lawyer can help. Even if the estate is a simple one, an attorney can help with the process by filing the complex paperwork, ensuring common mistakes are avoided, and helping with litigation in the event of a dispute.
