What Happens If a Standstill Order is Violated in an Elective Share Case in North Carolina
Detailed Answer
When a surviving spouse files for an elective share under N.C.G.S. § 30-3, the court often enters a standstill order. This order freezes certain estate assets. It prevents transfers, sales, or encumbrances until the court resolves the elective share claim. The goal is to preserve the estate’s value and protect the spouse’s rights.
If a party violates the standstill order, the surviving spouse can ask the court to hold the violator in contempt. Under Rule 37 of the North Carolina Rules of Civil Procedure, courts can impose fines or order imprisonment until the party complies. The court may also require the violator to pay the surviving spouse’s attorneys’ fees and recovery costs.
Next, the court can unwind any transactions made in breach of the standstill order. Using its equitable powers, the court treats those transfers as void. Restoring assets to the probate estate increases the pool from which the elective share is calculated.
In addition, the court can impose monetary sanctions or enter an adverse judgment against the violator. This can include limiting or barring further objections to the elective share claim.
Willful or repeated violations carry especially severe penalties. North Carolina courts maintain broad authority to enforce compliance and ensure fair distribution. For these reasons, parties must follow the terms of any standstill order precisely.
Key Points to Remember
- Standstill Order Defined: A court directive that freezes specified estate assets pending resolution of an elective share claim.
- Contempt Proceedings: Violators face fines, imprisonment, and attorneys’ fees under NC Rules Civ. Proc. Rule 37.
- Asset Restoration: Courts may void transfers to return assets to the probate estate for elective share calculations.
- Monetary Sanctions: Judges can impose financial penalties or adverse findings to enforce compliance.
- Equitable Authority: North Carolina courts protect spouses’ rights under N.C.G.S. § 30-3.
If you must enforce or respond to a standstill order in an elective share case, timely legal guidance makes all the difference. Contact Pierce Law Group’s experienced attorneys today. Email us at intake@piercelaw.com or call us at (919) 341-7055 for a consultation.
