Monday, February 22, 2021
If you are beneficiary of an Estate, at some point you will be asked to sign a Refunding Bond and Release prior to receiving your bequest from an Estate. The logical question that will arise is what exactly you are being asked to sign. The purpose of this blog is discuss generally what a Refunding Bond and Release is and how it relates to your distribution from the Estate.
During the administration of an Estate, the executor is charged with marshaling the assets of the Estate so that they can be distributed to the beneficiaries of the Estate. During this process, the executor keeps detailed records of the Estate’s assets and maintains an accounting of all assets and liabilities of the Estate. The executor is also responsible for filing and paying any relevant Estate taxes on behalf of the Estate, and remains principally liable should he/she not properly perform this function. Once the appropriate taxes are filed, or are close to being finalized