Bill
HB 1224
Allows heirs of small estates to collect decedent property without probate via an affidavit after 30 days, if estate meets a threshold; transfer agents re-register securities.
Status (as provided)
- Bill to amend and reenact ND Century Code § 30.1‑23‑01 (small estate affidavit procedure).
- Passed both chambers on unanimous recorded votes in the provided file (House 88–0; Senate 47–0). Final gubernatorial action is not shown in the provided text; verify current official status with the Secretary of State or legislative website.
Purpose / intent
- To modify the statutory small‑estate affidavit procedure so that eligible successors can collect tangible personal property, debts, instruments, stocks, and choses in action of a decedent without formal probate where the estate is sufficiently small. The change also directs transfer agents to re‑register securities on presentation of the affidavit.
Key provisions (text from the provided bill)
- Collection by affidavit: Thirty days after a decedent’s death, any person indebted to the decedent or in possession of the decedent’s tangible personal property (or instruments evidencing debts, obligations, stock, or choses in action) must pay or deliver those items to a person claiming to be a successor upon presentation of an affidavit by or on behalf of that successor.
- Affidavit contents (must state):
- That the value of the entire estate subject to succession under chapters 30.1‑01 through 30.1‑23, less liens and encumbrances, does not exceed “fiftyone hundred thousand dollars” (language in the draft is ambiguous — see note below).
- That thirty days have elapsed since the decedent’s death.
- That no application/petition for appointment of a personal representative is pending or has been granted in any jurisdiction.
- That the claiming successor is entitled to payment or delivery of the property.
- Transfer agent requirement: A transfer agent of any security shall change registered ownership on corporate or LLC books from the decedent to the successor upon presentation of the affidavit.
Who is affected
- Primary: successors/heirs of deceased persons with small estates (who seek to collect property without probate).
- Secondary: persons or institutions holding decedent property or indebtedness (banks, brokers, employers, debtors), and corporate/LLC transfer agents required to change registration.
- Courts: may see fewer small estate probate matters if the affidavit threshold is increased or clarified.
Practical impact
- Speeds distribution of small estates and reduces administrative/probate burden when estates meet the affidavit criteria.
- Places an obligation on holders/transfer agents to honor compliant affidavits; may shift some risk to holders if facts in affidavits are incorrect.
- Creditors’ claims and liens remain relevant (estate value is calculated net of liens/encumbrances).
Notes and recommended verification
- The draft text contains an unclear numeric phrase — “fiftyone hundred thousand dollars.” Based on common legislative practice, the intent appears to be to raise the small‑estate affidavit threshold (for example, from $50,000 to $100,000), but the provided wording is ambiguous. Before relying on the numeric threshold for practice or compliance, consult the enrolled bill or the official codified language at the North Dakota Legislature or Secretary of State to confirm the final dollar amount and the bill’s enacted status.
Compiled from official sources — confirm details with the bill’s official record.
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