Short Answer

In North Carolina, a vehicle can be assigned to the surviving spouse (or to an eligible child) as part of a year’s allowance by filing an Application and Assignment of Year’s Allowance (AOC‑E‑100) with the Clerk of Superior Court where the decedent lived. The Clerk may assign the car toward the allowance and issue certified copies you can use to retitle the vehicle at the DMV. The allowance takes priority over most debts, but the vehicle remains subject to any recorded lien. If a personal representative has been appointed, the application must be filed within six months after letters are issued.

Understanding the Problem

The narrow question is: Can the family transfer a decedent’s car without opening a full estate by using a year’s allowance in North Carolina when the estate appears insolvent? Here, the decedent died less than a year ago and the only significant asset is a vehicle with a loan.

Apply the Law

North Carolina provides a year’s allowance for a surviving spouse and for certain children. The allowance is satisfied from the decedent’s personal property and can include assigning a motor vehicle. The Clerk of Superior Court handles the application in the county where the decedent resided. For recent decedents, if a personal representative (PR) has been appointed, the spouse’s or child’s application must be filed within six months after letters issue. The allowance is generally insulated from most creditor claims, but property taken by allowance passes subject to any specific lien on that item (for example, an auto loan).

Key Requirements

• Eligible applicant: Only the surviving spouse or an eligible child (generally a child under 21 or otherwise qualifying by statute) may claim a year’s allowance; a parent of the decedent cannot.
• Forum and form: File AOC‑E‑100 with the Clerk of Superior Court in the decedent’s county of residence; the Clerk assigns property and issues certified copies.
• Timing: Apply promptly; if a PR has been appointed, the application must be filed within six months after letters are issued.
• Effect of liens: The allowance is protected from general creditors, but the assigned vehicle remains subject to any recorded security interest; the recipient must address the loan to clear title.
• DMV transfer: Use a certified copy of the Clerk’s assignment to retitle at the DMV; if no allowance and no PR, an heirship affidavit process under motor vehicle law may be available.

What the Statutes Say

• North Carolina Gen. Stat. § 30-15 (Spousal year’s allowance) – Authorizes a $60,000 spousal allowance from personal property.
• North Carolina Gen. Stat. § 30-17 (Child’s year’s allowance) – Provides an allowance for qualifying children from personal property.
• North Carolina Gen. Stat. § 30-20 (Procedure and clerk’s role) – Clerk determines entitlement and assigns property to satisfy the allowance.
• North Carolina Gen. Stat. § 20-77(b) (DMV title transfer on death) – Allows DMV title transfer by affidavit in limited situations when no PR/assignment exists; liens are not prejudiced.

Analysis

Apply the Rule to the Facts: Because only a surviving spouse or eligible child may receive a year’s allowance, the decedent’s parent cannot apply for the allowance directly. If the spouse wants the car, the spouse can file AOC‑E‑100; the Clerk can assign the vehicle toward the allowance, which is useful in an insolvent estate because the allowance is protected from most creditor claims. However, the auto loan remains a lien, so the spouse would need to pay it off or otherwise resolve it to obtain a clear title. If no spouse or eligible child seeks an allowance, a DMV affidavit process may be available, but it does not eliminate the lender’s lien.

Process & Timing

1. Who files: Surviving spouse (or eligible child by guardian/parent). Where: Clerk of Superior Court in the county of the decedent’s domicile in North Carolina. What: File AOC‑E‑100 (Application and Assignment of Year’s Allowance) with supporting information (death certificate, vehicle title details, lien statement). When: File promptly; if a personal representative has been appointed, file within six months after letters issue.
2. Assignment: The Clerk determines eligibility and may assign the vehicle (valued at its equity if encumbered) toward the allowance, then issues certified copies of the assignment. Timeframes vary by county but are often completed the same day or within days of filing.
3. Retitle: Take a certified copy of the assignment to the DMV with required title paperwork and fees to transfer title. Coordinate with the lender for a payoff and lien release; the lien must be satisfied or otherwise addressed before DMV will clear the lien. If no allowance is used and no PR is appointed, consider the DMV affidavit option under G.S. 20‑77(b) (Form MVR‑317, signed by all heirs and certified by the Clerk).

Exceptions & Pitfalls

• A decedent’s parent cannot receive a year’s allowance; only the surviving spouse or eligible child can.
• An assigned vehicle passes subject to any recorded lien; get a written payoff and lien release commitment before sending funds.
• Using the DMV affidavit (G.S. 20‑77(b)) requires signatures from all heirs and does not impair any creditor’s lien; expect scrutiny in insolvent estates.
• If a PR is appointed after you file, serve the PR and ensure the six‑month window from issuance of letters is met.
• County practices vary; bring extra certified copies of the Clerk’s assignment for DMV and any lienholder.

Conclusion

To request a year’s allowance for a vehicle in North Carolina, the surviving spouse (or eligible child) files AOC‑E‑100 with the Clerk of Superior Court in the decedent’s county. The Clerk may assign the vehicle toward the allowance, which is insulated from most creditors, but any auto lien still follows the car. Next step: file AOC‑E‑100 with the Clerk and, if a personal representative has been appointed, do so within six months of the issuance of letters; then use the certified assignment to retitle the vehicle at the DMV.

Talk to a Probate Attorney

If you’re dealing with an insolvent estate and need to transfer a vehicle without opening full probate, 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.