When a Tennessee resident passes away and leaves property in another state, the probate process becomes more complex. Handling out-of-state property in Tennessee probate involves multiple legal steps to ensure the proper transfer of property.
Taking appropriate action ahead of time can lead to a smooth transition for your heirs and beneficiaries.
How Tennessee probate handles out-of-state property
Tennessee probate courts generally handle only the assets located within the state. For property outside Tennessee, a process called ancillary probate is necessary. Ancillary probate is a secondary legal process that takes place in the state containing the out-of-state property. This additional probate proceeding follows the laws of the state where the property is, even though the primary probate occurs in Tennessee.
Understanding ancillary probate
Tennessee’s legal code on the administration upon foreign wills outlines the process of ancillary probate. The first step is for the executor or personal representative to identify and locate all assets, including those in other states. After gathering information on the out-of-state property, the executor must then initiate ancillary probate in the other state.
Ancillary probate may involve filing the original will and other necessary documents with the probate court in the state containing the additional property. The court in that state will then follow its own procedures to distribute the out-of-state property according to the terms of the will or the state’s intestacy laws.
Avoiding the need for ancillary probate
The need for ancillary probate adds time and expense to the probate process. However, there are ways to avoid ancillary probate for out-of-state property. One common method is to place the out-of-state property in a trust, which allows the property to bypass probate entirely. Another option is to hold the property in joint ownership with rights of survivorship. This will automatically transfer the property to the surviving owner upon death.
Understanding how Tennessee probate handles out-of-state property is necessary for effective estate planning. Preparing your family for ancillary probate, or taking steps to avoid it altogether, can lead to an easier probate process.
