Limited Authority

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What is Limited Authority?

When a personal representative is granted “limited authority” to administer an estate, this means that they are granted all powers to administer the estate, but they do require court confirmation to do certain things like selling real property and may be required to keep funds in a blocked bank account that precludes executor or administrator access to the funds without court order. This is often the authority that is granted when either a personal representative is unable to afford a bond, is unable to obtain waivers of the bond requirement from heirs and beneficiaries or a court declines to waive bond.

A designation that restricts a personal representative’s powers to specific actions or decisions, requiring court approval for many transactions. Executors with limited authority must seek permission from the probate court before selling assets, making distributions, or incurring expenses, adding complexity to the estate administration process. Understanding the differences between limited and full authority is crucial for ensuring compliance with legal requirements and protecting the interests of beneficiaries.

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