Some things to consider doing before ending an estate administration: Check with the Life Policy Locator Service provided by the National Association of Insurance Commissioners to see if there are any policies insuring the decedent that were overlooked or not known…
The Act of June 28, 2018, No. 48 (H.B. 152), requires the Pennsylvania Insurance Department and all insurance companies with life insurance policies or annuity contracts in force in Pennsylvania to participate in the Life Policy Locator Service provided by the National Association of Insurance Commissioners.
The Act also amends the rules requiring that recommendations for the purchase or replacement annuity contracts be suitable to the consumer to expand the scope and substance of those rules.
The administrative office of Pennsylvania Courts has published an updated and revised chart of limits on public access to judicial system case records. “Case Records Public Access Policy of the Unified Judicial System of Pennsylvania,” 48 Pa.B. 3847 (6/30/2018), updating 204 Pa.Code § 213.81.
There are no changes to the limits previously published for the Orphans’ Court, which can be found in “Public Access Policy Compliance for Orphans’ Court Filings” on this site.
The executor of an estate, who had experience as a professional bookkeeper, was liable for the misappropriation of funds by her attorney because she failed to act as a prudent person would, allowing the attorney to have access to bank accounts without oversight and failing to investigate overdrafts and transfers of funds. The executor was also surcharged for acts of self-dealing despite claims that she relied on the advice of her attorney. In re: Estate of Carryl L. Walter, Deceased, 2018 PA Super 179, 844 MDA 2017 (6/22/2018), aff’g 8 Fid.Rep.3d 1 (Cumberland Co. O.C. 2017).
The contestant to a will had probable cause to challenge the validity of the will, based on her personal knowledge of the testator’s health issues and the dramatic change the testator made in her last will, and so the contestant did not forfeit her share of the estate under in terrorem clause in the will even though the will contest had been dismissed by a compulsory nonsuit. It was also not an abuse of discretion or a violation of due process for the court to refuse to allow the proponent of the will to introduce additional evidence on the issue of forfeiture after the trial was concluded and the nonsuit had been granted. Powell Estate, 8 Fid.Rep.3d 147 (Philadelphia Co. O.C. 2018), vacated and remanded, 2019 PA Super 140 (5/1/2019).
A trust for pets is subject to inheritance tax at the rate of 15%. King Estate, 8 Fid.Rep.3d 145 (Chester Co. O.C. 2018). (For a contrary result, see Schrock Estate, 6 Fid.Rep.3d 199 (Westmoreland Co. O.C. 2015).
The Orphans’ Court Procedural Rules Committee has proposed several amendments to Pa. O.C. Rules, including the following substantive changes:
- The explanatory comment to Rule 1.7 will be changed to exclude withdrawals of appearances before the Register of Wills from the scope of Rule 1.7.
- Rule 2.5 will require notice of the filing of accounts to co-fiduciaries who do not join in the account, and allow beneficiaries who are outside of the United States 60 days to file objections, instead of 20 days.
- Rule 10.5 will require notices of estate administration to a beneficiary named in a will without regard to whether the beneficiary is an “outright beneficiary.”
Other proposed amendments are intended to be clarifications.
Comments on the proposed amendments should be submitted by July 16, 2018.
“Proposed Amendment of Pa. O.C. Rules 1.7, 2.5, 2.7, 5.1, and 10.5,” 48 Pa.B. 3571 (6/16/18).
The father of the decedent did not forfeit his intestate share of his deceased son’s estate because the adult son was unable to walk, but was not mentally impaired or unable to care for himself, and so was not a “dependent child” within the meaning of 20 Pa.C.S. § 2106(b). Estate of Charles L. Small, 8 Fid.Rep.3d 229, No. 617 DE of 2017 (O.C. Philadelphia 6/7/2018), aff’d, 744 EDA 2018 (Pa. Super. 1/28/2019), app. granted, 88 EAL 2019 (9/4/2019), aff’d, 26 EAP 2019 (Pa. 7/21/2020).
The Supreme Court has entered an order with attached amendments to Pa.O.C. Rule 1.99 and the notes to various other rules to change all references to the public access policy from “Public Access Policy of the Unified Judicial System of Pennsylvania: Case Records of the Appellate and Trial Courts” to “Case Records Public Access Policy of the Unified Judicial System of Pennsylvania.” (See “Public Access Policy Amendments” for links to the previous orders that changed the title of the policy.)
“In re: Order Amending Rules 1.99, 2.1, 2.4, 2.7, 2.8, 2.10, 3.3-3.6, 3.9-3.11, 3.14, 7.2-7.4, and 8.2 of the Pennsylvania Orphans’ Court Rules,” 48 Pa.B. 3573 (6/16/2018), No. 772 Supreme Court Rules Docket (6/1/2018).
The Supreme Court has entered an order with attached new Pa.O.C. Rules 14.1 through 14.14 and amendments to Rules 1.5 and 5.10 through 5.12, new Orphans’ Court Forms G-01 through G-04, and an explanatory report of the Orphans’ Court Procedural Rules Committee. This order rescinds and replaces all guardianship rules and four guardianship forms. The new rules were previously published for comment at 47 Pa.B. 5930 (September 23, 2017); 47 Pa.B. 4815 (August 19, 2017); and 46 Pa.B. 7934 (December 17, 2016).
The new rules will be effective June 1, 2019.
“In re: Order Rescinding and Replacing Rules 14.1 through 14.5 and Forms G-01 through G-04, and Amending Rules 1.5, 5.10 through 5.12, and Index to Appendix of the Pennsylvania Orphans’ Court Rules,” 48 Pa.B. 3524 (6/16/2018), No. 770 Supreme Court Rules Docket (6/1/2018).
The Supreme Court has also entered an order directing that local guardianship rules be reviewed and that new rules be submitted to the Orphans’ Court Procedural Rules Committee for review in accordance with O.C. Rule 1.5 not later than December 1, 2018. All existing local guardianship rules will be vacated effective June 1, 2019.
“In re: Review and Vacatur of Local Orphans’ Court Rules,” 48 Pa.B. 3582 (6/16/2018), No. 771 Supreme Court Rules Docket (6/1/2018).