Legal Question in Wills and Trusts in Michigan

Division of Proceeds from Estate

My mother died leaving a savings account, one old car (in her name only) and 5 children. Savings account proceeds were split equally 5 ways. Mom didn't mention the car in her will. The executor said any child could buy the car for $400, have the amount deducted from their share of the savings account proceeds and the $400 would be divided among the other 4 children. Child #1 agreed and had $400 removed from their share in exchange for the vehicle. Each of the remaining 4 were given $100 extra. Child #1 now says the $400 should be split 5 ways, not 4 because it is part of the division of proceeds from the estate. Child #1 bought the car for $400 and now wants $80 back (400/5) making the actual purchase price $320, not the agreed upon price. Should the $400 have been divided 5 ways? Or, did Child #1 actually buy a share of the car from #2,3,4, and 5 entitling them to the extra $100?

Asked on 9/14/07, 5:52 pm

1 Answer from Attorneys

Lisa K. Prowse Prowse Law PLC
0 users found helpful
0 attorneys agreed

Re: Division of Proceeds from Estate

Are you secretly a law school professor? ;)

I would say that Child #1 is correct. Assuming there are no other beneficiaries, the car was owned equally by the children. Thus, Children 1 through 5 each owned 20% of the car, right? The car sold for $400. Each child was entitled to 20% of the $400 (regardless of who purchased it.) Thus, each child was entitled to $80 (20% of $400).

Read more
9/14/07, 7:25 pm

Related Questions & Answers

More Probate, Trusts, Wills & Estates questions and answers in Michigan

Looking for something else?

Get Free Legal Advice

88222 active attorneys ready to answer your legal questions today.

Probate, Trusts, Wills & Estates Legal Forms

Browse and download our attorney-prepared and up-to-date legal forms from $4.99

Find a Legal Form

Featured Attorneys

Anthony RoachLaw Office of Anthony A. RoachChatsworth, CA
Terry A. NelsonNelson & LawlessRiverside, San Bernardino, CA
Phillip D. Wheeler, Esq.Phillip D. Wheeler, Attorney At LawMorro Bay, CA
Find An Attorney

Are you an Attorney?

Earn additional revenue and grow your business. Join LawGuru Now