Estate Planning

Guardianship Personal Property Sale Limit Increased to $5,000

By Gregory Herman-Giddens

Here's a change to North Carolina Guardianship law which took place October 1, 2008 that I didn't report earlier.  North Carolina General Statute Section 35A-1251 was modified to allow a guardian of the estate to sell personal property up to $5,000 in value without a court order.  The previous limit was $1,500.  The limit applies in the aggregate to all personal property sold within an accounting period (generally one year).

Guardians must also get a court order before selling real property or spending principal belong to a ward.  Income may be spent without court order, but all transactions must be reported in the accounting due each year.

While guardianship is unavoidable in some cases, the prior establishment of trusts and durable powers of attorney can avoid the time, expense and trouble of guardianship for most minors and incapacitated persons.

Full post as published by North Carolina Estate Planning Blog on April 30, 2009 (boomark / email).