What Makes a Proceeding "Formal"
Not every probate matter can be handled through the simplified informal process. When there is a dispute about whether a will is valid, when someone wants to challenge an informal probate that already occurred, or when the situation simply requires judicial oversight, the law provides for formal testacy proceedings.
A formal testacy proceeding is litigation to determine whether a decedent left a valid will. A formal testacy proceeding may be commenced by an interested person filing a petition as described in section 14-3402, subsection A in which he requests that the court, after notice and hearing, enter an order probating a will, or a petition to set aside an informal probate of a will or to prevent informal probate of a will which is the subject of a pending application, or a petition in accordance with section 14-3402, subsection B for an order that the decedent died intestate.
A.R.S. § 14-3401(A)The key distinction is that formal proceedings involve a judge, require notice to interested parties, and include a hearing. This provides a level of scrutiny that informal probate does not.
How Formal Proceedings Affect Existing Appointments
Once a formal testacy proceeding is filed, it puts a hold on certain activities. The registrar cannot process any new informal probate applications or informal appointment requests for that estate. If a personal representative was already appointed informally, they must stop making distributions until the formal proceeding is resolved.
Unless a petition in a formal testacy proceeding also requests confirmation of the previous informal appointment, a previously appointed personal representative, after receipt of notice of the commencement of a formal probate proceeding, must refrain from exercising his power to make any further distribution of the estate during the pendency of the formal proceeding.
A.R.S. § 14-3401(D)The previously appointed personal representative still retains other powers, like maintaining estate property and paying necessary expenses. But distributions to beneficiaries are paused until the court decides whether the will is valid. This protects everyone involved from premature transfers that might need to be reversed.
