Short Answer

In North Carolina, the person whose name is on the utility account owes the utility company. Whether the estate must reimburse those charges depends on if the expenses were necessary to preserve the property and authorized or ratified by the personal representative (PR) or the Clerk. The PR can and should secure estate real property, address unauthorized occupants, and account for expenses. If you paid utilities, promptly file a written creditor claim with the estate and, if needed, ask the Clerk to compel the PR to account and produce documents.

Understanding the Problem

In North Carolina probate, can a property manager determine who must pay past-due utilities tied to a decedent’s home? Here, the home was “sold” by a handshake but no deed was recorded. You want to know whether the estate, the current occupants, or you (as the account holder) are responsible, and what you can do to document, claim, and recover what you paid.

Apply the Law

Under North Carolina law, utility liability follows the contract: whoever opened or kept the account is liable to the utility. An estate can reimburse charges if they qualify as “expenses of administration” or valid creditor claims. The PR has a duty to preserve estate assets and the power to take possession of real property and eject occupants when needed. A handshake real estate sale with no recorded deed does not transfer title; real property generally remains with the heirs or devisees unless the PR is given title or sells through proper procedure. To seek reimbursement, a creditor must timely present a written claim to the PR or the Clerk; if rejected, suit must be filed within a short window. The Clerk of Superior Court (Estates Division) is the main forum for compelling a PR to account or to examine persons believed to hold estate property.

Key Requirements

• Identify title and authority: Confirm whether an estate is open, who the PR is, and whether a deed recorded any transfer. A handshake sale alone does not move title.
• Show necessity/authorization: Utilities may be reimbursable if reasonably necessary to preserve the property and authorized or later approved by the PR or Clerk.
• Present a written claim: Deliver a written, itemized claim with supporting bills to the PR or file it with the Clerk within the claims period stated in the estate’s notice to creditors.
• Use Clerk remedies if stonewalled: Ask the Clerk to compel a PR accounting and to order production of estate documents; seek examination of persons believed to hold estate property.
• Keep occupant liability separate: Occupants who used utilities may owe you under contract or unjust enrichment, but estate reimbursement follows probate claim rules.

What the Statutes Say

• N.C. Gen. Stat. § 28A-13-3 (Powers of personal representative) – PR can take possession of real property, eject occupants, employ agents, and pay claims in lawful order.
• N.C. Gen. Stat. § 28A-19-1 (Presentation of claims) – Creditor claims must be in writing and delivered to the PR or filed with the Clerk.
• N.C. Gen. Stat. § 28A-21-4 (Motion to compel accounting) – The Clerk may order a PR to file a full account within 20 days.
• N.C. Gen. Stat. § 28A-15-12 (Actions/examinations to recover estate property) – Allows actions to recover estate property and examination of persons believed to have it.

Analysis

Apply the Rule to the Facts: Because the utilities are in the manager’s name, the utility company can pursue the manager for payment. With no recorded deed, title likely never left the decedent’s estate/heirs, so the PR should secure the home and address unauthorized occupants. If the utilities were necessary to preserve the property, the manager can file a creditor claim seeking reimbursement; whether the estate treats them as administrative expenses or as a general claim depends on PR authorization and Clerk oversight. If the PR will not cooperate or produce the supposed sale documents, the manager can ask the Clerk to compel an accounting and to order document production/examination.

Process & Timing

1. Who files: Property manager (as a creditor). Where: Clerk of Superior Court, Estates Division, in the North Carolina county where the estate is administered. What: A written creditor claim stating the amount, basis, and your address, with copies of bills; deliver to the PR or file with the Clerk. When: By the claim deadline stated in the estate’s published notice (at least three months after first publication); if you receive a mailed notice, you have 90 days from mailing or the published deadline, whichever is later.
2. If the PR is unresponsive, file a petition with the Clerk to compel an accounting and produce documents; the Clerk can require a full account within 20 days of service and can conduct a hearing.
3. If the claim is rejected, start a civil action within three months after written rejection to preserve the claim. In parallel, request PR action to take possession/eject unauthorized occupants and to recover estate property through appropriate proceedings.

Exceptions & Pitfalls

• Oral “sales” of real estate are generally unenforceable; no recorded deed usually means the estate/heirs still own the home—do not assume a buyer is responsible.
• Utilities paid without PR authorization may be treated as lower-priority claims unless shown necessary to preserve the property; keep detailed invoices and proof of payment.
• Missing the post-rejection lawsuit deadline can bar recovery; track dates from any written rejection.
• Service and notice mistakes can delay relief; use proper service when petitioning the Clerk.

Talk to a Probate Attorney

If you’re dealing with past-due utilities on an estate home and an unresponsive personal representative, 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.