Short Answer

Yes, but only if the claim is properly presented and fits North Carolina’s rules. A replacement key fob may be paid as an estate administration expense if the personal representative authorized it (or later ratified it) because it was reasonably necessary to preserve or sell an estate asset. If it was not authorized, it is treated like a regular creditor claim and must meet strict filing deadlines; if the personal representative rejects it, the claimant must sue within three months.

Understanding the Problem

You are administering a North Carolina estate and a relative asks to be reimbursed for buying a replacement key fob, saying it helped sell a vehicle that belonged to the estate. You need to know whether you must pay that claim now, treat it as a regular creditor claim, or reject it—especially where a separate “loan” claim lacks documentation.

Apply the Law

North Carolina law requires all claims against an estate to be presented in writing and on time. Expenses necessary to administer the estate—such as reasonable costs to preserve or sell estate assets—are paid ahead of other claims, but they typically must be incurred or approved by the personal representative. If a third party (like a relative) paid an expense without authorization, the claim is handled under the creditor-claim process and timing rules. The estate is administered before the Clerk of Superior Court; disputes over rejected claims are brought as civil actions.

Key Requirements

• Proper presentment: The claim must be in writing, state the amount and basis, and include the claimant’s name and address. It must be delivered to the personal representative or filed with the Clerk of Superior Court.
• Timeliness: Post-death claims must be presented within six months after the claim arises; pre-death claims must be presented by the deadline in the published notice (or within 90 days of personal notice if later).
• Classification: Authorized, necessary costs to preserve or sell estate property may be administration expenses (paid first). Unauthorized third-party outlays are generally low-priority claims unless ratified.
• Rejection and suit: If the personal representative gives written rejection, the claimant has three months to start a civil action or the claim is barred.
• Payment order: Administration expenses and family allowances are paid before lienholders and other classes of creditors; general unsecured claims are last and may be prorated if funds are short.

What the Statutes Say

• North Carolina Gen. Stat. § 28A-19-1 (Presentation of claims) – Written, properly delivered claims are required.
• North Carolina Gen. Stat. § 28A-19-3 (Nonclaim statute time limits) – Deadlines for pre- and post-death claims.
• North Carolina Gen. Stat. § 28A-19-6 (Order of payment) – How claims are prioritized for payment.
• North Carolina Gen. Stat. § 28A-19-16 (Action on rejected claim) – Three-month window to sue after written rejection.

Analysis

Apply the Rule to the Facts: If the relative bought the key fob after death with the personal representative’s approval to enable the vehicle’s sale, that cost aligns with a necessary administration expense and may be paid ahead of other claims. If the relative acted without authorization, the request is a post-death claim; it must be timely presented and supported by proof (e.g., receipt). Without approval or ratification, it will be treated as a general unsecured claim and may be denied. The undocumented “loan” is a separate claim that requires timely presentment and credible evidence of the debt.

Process & Timing

1. Who files: The claimant. Where: Deliver the written claim to the personal representative or file it with the Clerk of Superior Court in the county where the estate is pending. What: A written claim stating the amount and basis, with supporting documentation. The personal representative may require an affidavit verifying the claim. When: For a post-death outlay (like a key fob purchased after death), present within six months after the expense arose; pre-death debts must meet the published notice deadline.
2. The personal representative reviews and either pays, negotiates, refers, or issues a written rejection. County practices vary on timing, but most reviews occur after the creditor-claim window closes.
3. If rejected, the claimant must commence a civil action within three months of written rejection. If not filed in time, the claim is barred. If allowed and paid, the estate records the payment in an accounting.

Exceptions & Pitfalls

• Unauthorized “volunteer” payments risk denial; seek approval from the personal representative before incurring costs.
• Late claims are barred by statute; track the published notice deadline and the six-month post-death window.
• If funds are limited, low-priority claims may only be partially paid or not paid at all based on statutory order and pro rata rules.
• Insufficient documentation (no receipt or clear basis) commonly leads to rejection; provide proof the expense was necessary to market or sell the asset.
• After written rejection, missing the three-month lawsuit deadline bars recovery.

Talk to a Probate Attorney

If you’re dealing with whether to approve or challenge a reimbursement claim tied to selling an estate asset, our firm has experienced attorneys who can help you understand your options and timelines. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.