Do I have to pay probate attorney fees upfront in North Carolina and can I get reimbursed from the estate?

1. Detailed Answer

When you open a probate estate in North Carolina, you appoint a personal representative to handle the deceased person’s assets. One of the representative’s duties is hiring an attorney to guide the estate through court. You may ask whether you must pay attorney fees out of pocket before the estate has liquid assets.

North Carolina law allows the personal representative to pay reasonable attorney fees as a necessary expense of administration. The clerk of court must review and approve any payment from estate funds. This authority comes from N.C. General Statutes § 28A-16-4(c), which states that the estate may cover “necessary expenses of administration.” You can read the full statute here: N.C.G.S. § 28A-16-4(c).

Most probate attorneys ask for a retainer or deposit when they begin work. The attorney holds these funds in a trust account and bills against them as tasks—such as filing the petition, gathering assets, and preparing accounts—get done. Once the estate has enough cash or marketable assets, the personal representative petitions the clerk to allow payment of all fees from estate funds. Any unused portion of the retainer then returns to the estate principal.

In situations where the estate initially lacks cash, attorneys sometimes advance their fees and filing costs. After the court approves the expense as necessary, those advances become reimbursable. If the estate has noncash assets but no liquidity, the personal representative may sell an asset or arrange a short‐term loan to fund these expenses, subject to clerk approval.

In short, you rarely cover all probate attorney fees indefinitely out of pocket. You typically provide a retainer or rely on the attorney’s advance. After the clerk’s review under N.C.G.S. § 28A-16-4(c), you reimburse the attorney from estate assets rather than personal funds.

2. Key Points to Remember

• N.C.G.S. § 28A-16-4(c) permits the payment of necessary administration expenses, including attorney fees.
• Attorneys often require an initial retainer or deposit before beginning probate work.
• The personal representative must obtain clerk approval to pay fees from estate assets.
• Unused retainer funds normally return to the estate’s principal.
• If the estate lacks cash, the representative can sell assets or use a loan to cover approved fees.

Handling probate attorney fees can feel overwhelming. Pierce Law Group has guided many personal representatives through this process. We can help you manage the estate’s expenses and ensure court approval for attorney fees. Contact us today by calling (919) 341-7055 or emailing intake@piercelaw.com to schedule a consultation.