Short Answer

In North Carolina, start with the most recent court‑filed Inventory and the latest approved Account to see what business interests and proceeds are still in the estate. A partial settlement typically allocates who gets paid and how much, but it does not remove an asset from the estate unless title or control was transferred. If something was missed or has changed, the personal representative should file a supplemental inventory or updated account so everyone has a current, official record.

Understanding the Problem

In North Carolina probate, how do you confirm whether parts of a decedent’s business are still estate property after a partial settlement? Here, a prior settlement assigned one heir’s interest in a tree‑service business, but only part of its value was distributed. You want to know what remains in the estate so you can evaluate leverage and options for mediation before the Clerk of Superior Court.

Apply the Law

North Carolina requires the personal representative to list estate assets and their date‑of‑death values on an Inventory and to keep the court file updated through Accounts (annual or final). Unsold or undistributed property—like a closely held business interest or tangible personal items—remains estate property until sold or distributed. A settlement can assign who ultimately receives value, but until the asset is actually transferred or liquidated, it remains part of the estate and should appear on the Inventory or in the Accounts. If the Inventory is incomplete or circumstances change (for example, a new valuation, sale, or receipt of proceeds), a supplemental inventory or updated account should be filed. The Clerk audits these filings and ensures assets shown on prior filings are accounted for by sale, distribution, or continued holding.

Key Requirements

• Identify current estate property: Check the last approved Inventory and latest Account to see what business interests and proceeds are still held by the estate.
• Update the record if facts changed: Use a supplemental inventory or the next Account to report newly discovered assets, sales, updated valuations, or distributions.
• Distinguish ownership from allocation: A partial settlement may allocate who should be paid, but the business interest remains an estate asset until title or proceeds are actually transferred.
• Account for expenses and liens: Storage fees, bond premiums, and other administration expenses reduce the estate and should appear as disbursements with vouchers.
• Business continuity vs. liquidation: The personal representative may continue the business when necessary to preserve value, but any operations, sales, or proceeds must be reported in the Accounts.

What the Statutes Say

• North Carolina Gen. Stat. § 28A-20-1 (Inventory due in 3 months) – Requires a sworn inventory of estate property.
• North Carolina Gen. Stat. § 28A-20-3 (Supplemental inventory) – Allows updates when assets or values change or were omitted.
• North Carolina Gen. Stat. § 28A-21-1 (Annual accounts) – Requires accounting each year until final closing if the estate remains open.
• North Carolina Gen. Stat. § 28A-13-3 (Personal representative powers) – Describes authority to manage, continue, or sell estate property, including a business.

Analysis

Apply the Rule to the Facts: Because the settlement only partially distributed value and did not transfer title to the tree‑service business or its remaining proceeds, the business interest (or its unsold assets/cash) should still appear as estate property on the latest Inventory or Account. The unsold memorabilia and any storage‑held items remain estate assets until sold or distributed, and storage fees and bond premiums should show as administration expenses in the Accounts.

Process & Timing

1. Who files: Personal representative. Where: Clerk of Superior Court (estate file). What: INVENTORY FOR DECEDENT’S ESTATE (AOC‑E‑505) and ACCOUNT (AOC‑E‑506); file a supplemental inventory if needed. When: Inventory due within 3 months of qualification; annual accounts each year until closing.
2. Review the court file: obtain the most recent approved Inventory and the latest Annual/Final Account. If the business interest, proceeds, or stored items are missing or outdated, request that the personal representative file a supplemental inventory or an updated account; if a dispute exists, ask the Clerk to set mediation in the estate proceeding.
3. Resolution: the Clerk audits and may approve the updated filings or an agreement reached in mediation, clarifying what remains in the estate and what has been distributed; the approved Account becomes the official record.

Exceptions & Pitfalls

• Settlement vs. title transfer: assigning an heir’s “interest” does not remove a business asset from the estate unless title or proceeds are actually conveyed per the settlement or order.
• Business form matters: confirm whether the interest is a sole proprietorship asset, LLC membership interest, or corporate stock—reporting and transfer steps differ.
• Incomplete records: if assets are not listed or values are stale, press for a supplemental inventory and a current account with vouchers; otherwise you lack reliable leverage in mediation.
• Administration expenses: unpaid storage fees and bond premiums reduce the estate and should be shown; missed expenses can skew settlement positions.
• Clerk review: the Clerk may require corrections before approving an account; plan time for review, county‑specific practices, and possible hearings.

Conclusion

To confirm what business interests remain in a North Carolina estate after a partial settlement, rely on the court‑filed Inventory and the latest approved Account. A settlement that only allocates value does not remove assets until they are transferred or sold and reported. The next step is to obtain the estate file, then request a supplemental inventory or updated accounting from the personal representative so the Clerk’s record accurately shows what remains.

Talk to a Probate Attorney

If you’re dealing with a partially settled estate and need to confirm what business interests and personal property still remain, 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.