New Jersey Statutes - Title 3B Administration of Estates--decedents and Others - 3B:22-2 Order of priority of claims when assets insufficient.

3B:22-2. Order of priority of claims when assets insufficient.

     3B:22-2. If the applicable assets of the estate are insufficient to pay all claims in full, the personal representative shall make payment in the following order:

     a.     Reasonable funeral expenses;

     b.     Costs and expenses of administration;

     c.     Debts for the reasonable value of services rendered to the decedent by the Office of the Public Guardian for Elderly Adults;

     d.     Debts and taxes with preference under federal law or the laws of this State;

     e.     Reasonable medical and hospital expenses of the last illness of the decedent, including compensation of persons attending him;

     f.     Judgments entered against the decedent according to the priorities of their entries respectively;

     g.     All other claims.

     No preference shall be given in the payment of any claim over any other claim of the same class, and a claim due and payable shall not be entitled to a preference over claims not due. The commencement of an action against the personal representative for the recovery of a debt or claim or the entry of a judgment thereon against the personal representative shall not entitle such debt or claim to preference over others of the same class.

     Amended 1989, c.248, s.8; 2004, c.132, s.82; 2005, c.304, s.47.

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Last modified: January 29, 2015