(a) (1) Contingent claims which cannot be allowed as absolute debts may, nevertheless, be filed in the court and proved.
(2) If allowed as a contingent claim, the order of allowance shall state the nature of the contingency.
(3) If the claim becomes absolute before distribution of the estate, it shall be paid in the same manner as absolute claims of the same class.
(4) In all other cases, the court may order the personal representative to make distribution of the estate, but to retain in his or her hands sufficient funds to pay the claim if and when the claim becomes absolute. However, for this purpose, the estate shall not be kept open longer than two (2) years after distribution of the remainder of the estate has been made. Prior to or at the expiration of the two-year period, if the claim has not become absolute, the court may order distribution of the funds so retained, after paying any costs and expenses accruing during the period, and the distributees shall be liable to the creditor to the extent of the estate received by them, if the contingent claim thereafter becomes absolute. When distribution is so made, the court may require the distributees to give bond with security for the satisfaction of their liability to the contingent creditor.
(b) A contingent claim which becomes absolute six (6) months or more prior to the order of final distribution shall be presented for allowance within six (6) months after becoming absolute. When allowed, the claim shall be deemed an absolute claim as against assets which have not been distributed or distribution of which has not been approved and shall be entitled to the benefit of the provisions of subsection (c) of this section as to assets which do not remain in the hands or subject to the control of the personal representative.
(c) Contingent claims not presented within the time prescribed by ยง 28-50-101 or subsection (b) of this section shall be barred as against the estate, but, within the time permitted by law for bringing actions thereon, may be enforced against distributees of the estate to the extent of the assets of the estate or the proceeds thereof remaining in the hands of the distributees.
Section: Previous 28-50-102 28-50-103 28-50-104 28-50-105 28-50-106 28-50-107 28-50-108 28-50-109 28-50-110 28-50-111 28-50-112 28-50-113 28-50-114 NextLast modified: November 15, 2016