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As a fiduciary, you are now responsible for the management of someone else’s property, known as the Estate. Failure to adequately manage and protect the Estate may result in personal liability to you. If you are unable or unwilling to perform your duties diligently, you should seek assistance from your attorney or you may ask the Court to release you from your fiduciary responsibilities. The following guidelines will help you better perform your fiduciary duties. This guide is not substitute for professional advice from your attorney or the court.

Court appointed fiduciaries may include executors, administrators, personal representatives, guardians, conservators, receivers or other similar titles.

Tips to Protect Fiduciaries:

  • Open a checking account in the name of the Estate using the Estate’s tax ID number, but not your own.
  • Keep a detailed record of all money paid out and all money received. You must have receipts for all expenses.
  • Talk to your attorney before you pay any creditors of the Estate. You may need court approval.
  • You may be personally liable for any payments made in error.
  • Always consult your attorney before making any investments.
  • In many states, investments in anything other than FDIC insured bank accounts or U.S. Government backed obligations is prohibited by law without specific approval from the Court.
  • Plan ahead; be aware of deadlines and due dates.
  • Never commingle funds. Keep the Estate’s property separate from yours. Failure to do so could be a criminal offense.
  • Never spend any money from the Estate without consulting your attorney.
  • Never make any investments or take any other financial action regarding the Estate if you are unsure if it is legal and proper.
  • Never delay in reporting to the Court. You may be personally liable for losses to the Estate.

Remember: Your role as a fiduciary is an important responsibility. It requires personal commitment, attention to detail and good record keeping. You may be personally liable if you cause damage or loss to the estate. When in doubt on any issue, consult your attorney.

The Bar Plan specializes in court fiduciary and court judicial guarantee bonds. Our underwriters understand the urgency and special requirements associated with legal proceedings and will work with you to meet your unique needs. We offer competitive rates and commissions, attorney-managed underwriting, and a 24-hour turnaround. To apply online, click here or call 1-877-553-6376