NORTH CAROLINA GENERAL ASSEMBLY

1963 SESSION

 

 

CHAPTER 449

SENATE BILL 175

 

 

AN ACT TO PROVIDE THAT SALES OF REAL PROPERTY BY THE HEIRS WITH THE JOINDER OF THE PERSONAL REPRESENTATIVE WITHIN TWO YEARS OF DEATH OF DECEDENT SHALL NOT BE VOIDABLE UNDER STATED CONDITIONS.

 

The General Assembly of North Carolina do enact:

 

Section 1.  G.S. 28-83 is amended by adding a new paragraph immediately following the first paragraph of the said Section, to read as follows:

"In the absence of fraud participated in by the grantee conveyances of real property by warranty deed executed by the heirs-at-law or devises of resident or nonresident decedents, with the joinder of the personal representative, if made within two (2) years after the death of the decedent and at least six (6) months after first publication of notice as provided by G. S. 28-47, shall not be voidable as to the creditors of such decedents if all of the following conditions are complied with:

"(1)      The personal representative shall have given increased bond in an amount equal to the net proceeds realized from the sale of the property;

"(2)      All the proceeds from the sale of such real property are paid directly to the personal representative of the decedent;

"(3)      All proceeds from the sale of such property are placed by the personal representative in a separate escrow account, or, under proper court order, are invested in approved securities pending final closing of the estate;

"(4)      The instrument of conveyance carries a certification of the personal representative that he has received from the grantee, the full purchase price from the sale;

"(5)      The sale is approved by an order of the Clerk of the Superior Court of the county in which the administration of the estate is pending, pursuant to a determination by said clerk, supported by affidavits of at least two freeholders of the county in which said real property is located, that the sales price represents the fair market value of said real property.

"Funds or other assets held by the personal representative under the provisions of subsection (3) hereof after the payment of all debts and charges of administration of the estate shall be distributed by the personal representative to the persons entitled, simultaneously with the filing and approval of the final account by such personal representative. Personal representatives shall be allowed commissions on only so much of said proceeds of sale, so coming into their hands, as may be necessary to discharge the claims of creditors."

Sec. 2.  All laws and clauses of laws in conflict with this Act are hereby repealed.

Sec. 3.  This Act shall be in full force and effect from and after its ratification.

In the General Assembly read three times and ratified, this the 17th day of May, 1963.