Brother was administrator with full authority. then transferred title from "estate of" to his name (illegal?).Then obtained

loan using estates house as collateral to buy a "kareoke" company (illegal?). Brother is now under investigation of embezzlement by the probate court. He is now filing chapter 11. He is letting estate house go into foreclosure. Can I sue his attorney of record,( who is also the estate's attorney of record), to pay off this loan. I am an heir and interested party What kind of petition can I file with the Probate Court to make this situation right? - Is this your question? Add additional information
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Answers (3)

Rosemary Jane Meagher-Leonard

Rosemary Jane Meagher-Leonard

Contributor Level 4
Based upon the facts you have provided here, I am presuming that this case involves an intestate (without a Will) estate currently in Probate. But, whether its an intestate Probate, one based upon a Will or on a Trust, the answer would be the same. Also based on your facts, your brothers actions as estate administrator, appears to be not only illegal, but also a heinous breach of his fiduciary duties owed to the estate beneficiaries and the estate itself. It is your brother, not the estate attorney, who owes this fiduciary to you and any other beneficiaries. It is your brother who had the authority to act on behalf of the estate. Your brother is the one who unlawfully transferred the property to his name and obtained a loan under false pretenses. There is nothing in your facts here to indicate any wrongdoing on the attorney's part. Simply because the attorney is the attorney of record in the Probate is an insufficient basis by which to bring a lawsuit against him or her.

If the Probate Court has not already ordered your brother's removal as administrator, a Petition to remove your brother should be filed immediately. You may not be able to resolve this completely in Probate Court. I would strongly advise you to speak with an attorney versed in representing creditors in bankruptcy. Since your brother's wrongful acts resulted in loss to the estate, the estate could be a creditor in your brother's bankruptcy. Your brother's actions with respect to the estate's real property and the obtaining of his loan were an illegal conversion. Because of this and because his actions appear to be intentional, he may be prevented from discharging the home loan in bankruptcy. A bankruptcy attorney should be able to advise on this foreclosure issue, as well.
I hope this helps you.
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Bert Z. Tigerman

Bert Z. Tigerman

Contributor Level 4
Ms. Meagher-Leonard's advice is correct and you should act ASAP in regard to her recommendation. However, you did not say whether the fiduciary bond was waived (either in the will or by the beneficiaries in the probates proceeding). If it was not waived, the court would have required the administrator/executor to post a bond which now would be available to the injured beneficiaries.

Disclaimer: Please note that this answer does not constitute legal advice, and should not be relied on, since each state has different laws, each situation is fact specific, and it is impossible to evaluate a legal problem without a comprehensive consultation and review of all the facts and documents at issue. This answer does not create an attorney-client relationship
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Henry Daniel Lively

Henry Daniel Lively

Contributor Level 7
I agree with both of my fellow attorneys. I just hope there are assets left for you to recover. You need to hire counsel immediately to determine what can be done in this messy situation. Best of luck to you.

Disclaimer - This response does not constitute legal, accounting or other professional advice. Only through a personal, confidential consultation with qualified legal counsel can anyone properly evaluate their own unique legal challenges and determine what, if any, appropriate legal strategies and tactics should be implemented to meet those challenges.

Circular 230 Disclaimer - “Nothing in this response is intended or written to be used, and cannot be used by any person for the purpose of avoiding tax penalties regarding any transactions or matters addressed herein. You should always seek advice from independent tax advisers regarding the same.
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