SB106 Alabama 2025 Session

Summary

Primary Sponsor

Rodger SmithermanSenator

Democrat

Session

2025 Regular Session

Title

Small Estates; summary distribution for small estates; amount increased; Probate Court authorized to manage process

Summary

SB106 raises the eligible size of a small estate for summary distribution and expands the probate court’s role to handle these estates more efficiently.

What This Bill Does

It raises the small estate threshold to the combined maximum of the homestead allowance, exempt property, and family allowance (currently $47,000) and allows this amount to be adjusted over time by CPI. It adds a streamlined, court-administered process for summary distributions, including the ability to disburse exemptions and allowances during the process. It clarifies who is considered a surviving spouse in certain divorce or separation situations and confirms that summary distributions can be used under the Probate code. It requires notices and conditions to be met before distribution and gives the probate court power to manage these estates under the new system.

Who It Affects

• Surviving spouses and other distributees of a decedent’s estate who may qualify for summary distribution and may receive exemptions/allowances during the process.
• Probate courts and county judges who will oversee the modified, streamlined small estate distribution process and issue the necessary orders.

Key Provisions

• The small estate amount is the combined maximum of the homestead allowance (43-8-110), exempt property (43-8-111), and family allowance (43-8-112/113), as adjusted by CPI (43-8-116), currently $47,000.
• New sections added: 43-2-691.1 (exemptions/allowances during summary distribution), 43-2-697 (fraud remedies), 43-2-698 (definition of small estate amount), and 43-8-23 (summary distribution applicability).
• The probate court may manage a modified, streamlined summary distribution process and issue orders for distributing exemptions and allowances during the summary distribution process.
• Expanded petition process allows surviving spouses or distributees to seek summary distribution without appointing a personal representative, given specified conditions and proper notice, including Medicaid notice.
• Distribution priorities and procedures are outlined (funeral expenses, taxes, creditors, and the remaining estate to eligible distributees) with court orders final and subject to normal appeal rules.
• The act provides clarification on who counts as a surviving spouse in cases of divorce, annulment, or separation, for purposes of the small estate distribution.
• Effective date: October 1, 2025.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Property & Estates