Probate Q&A Series

Do I have to pay North Carolina probate attorney fees upfront and can I seek reimbursement from the estate?

Understanding Probate Attorney Fees in North Carolina

When you start a probate case in North Carolina, you often wonder whether you must cover attorney fees out of your pocket before the estate has any funds. You also ask if the estate can later reimburse you for those payments. Under North Carolina law, the estate generally bears reasonable legal costs, including attorney fees. However, attorneys typically require a retainer or advance deposit to ensure prompt payment for their work.

Here is how it works in practice:

  1. Retainer Agreement: Your probate attorney will provide a written fee agreement. It outlines the hourly rate or flat fee structure and any expected retainer amount. You sign this before work begins.
  2. Advances for Costs: The attorney may ask you to advance certain court costs or filing fees. You pay these from your funds or estate assets held temporarily by you as personal representative.
  3. Billing and Draws: Your attorney bills periodically. They deduct fees and costs from the retainer. If the estate has assets, they may request payment directly from the estate account you control.

North Carolina General Statutes allow the court to approve reasonable attorney fees paid from estate assets. Under G.S. § 28A-15-1(b), the personal representative can seek the court’s approval for attorney fees and other professional services. The court evaluates the fees for reasonableness and necessity.

In many cases, you cover initial fees and costs personally. As you settle estate affairs—collect assets, liquidate property and pay bills—the estate generates funds. You then ask the clerk of superior court to allow attorney fees as an estate expense. Once approved, the clerk orders payment from the estate. You receive reimbursement from estate assets rather than pay out of pocket for the entire administration.

Key Steps to Seek Reimbursement

  • Review Your Fee Agreement: Confirm how the attorney bills and what retainer amount they require.
  • Track All Payments: Keep detailed records of your personal payments and invoices received.
  • Maintain an Estate Account: Deposit estate funds into a dedicated bank account to keep personal and estate funds separate.
  • Submit a Request for Allowance: At the appropriate time, file a request with the clerk of superior court to allow attorney fees under G.S. § 28A-15-1(b) as an estate expense.
  • Obtain Court Approval: The clerk reviews your request and supporting documents. Once approved, the court orders payment from the estate account.
  • Reimburse Yourself: After court approval, transfer the allowed fees from the estate account to your personal account to cover what you advanced.

Why Work with Pierce Law Group?

Probate administration involves strict deadlines, detailed paperwork and compliance with state law. At Pierce Law Group, our attorneys guide personal representatives through each step. We explain your retainer and billing process, track costs and file all required requests for allowances before the court.

Contact us today to discuss your probate needs. Email us at intake@piercelaw.com or call (919) 341-7055. Let us help you navigate probate efficiently and confidently.