When Heirs Want to Divide Things Differently
A will might leave everything in equal distribution to three children. But those children may have their own preferences based on family relationships and needs. One wants the house. Another wants the investment accounts. The third prefers cash. This statute gives them the flexibility to work it out on their own terms.
Subject to the rights of creditors and taxing authorities, competent successors may agree among themselves to alter the interests, shares, or amounts to which they are entitled under the will of the decedent or under the laws of intestacy, in any way that they provide in a written contract executed by all who are affected by its provisions.
A.R.S. § 14-3912The agreement must be in writing. Every person whose share is affected must sign it. Once that is in place, the personal representative is bound to follow the agreement when distributing estate assets. This gives families the power to tailor distributions to their actual needs. It applies whether the estate follows a will or the rules of intestate succession.
Important Limits on These Agreements
The flexibility is not unlimited. Creditors and taxing authorities come first. No private agreement among heirs can reduce what creditors are owed or avoid estate taxes. The personal representative still has a duty to pay all debts, taxes, and administrative expenses before honoring the agreement.
The agreement also cannot affect successors who are not parties to it. If a trust is created under the will, the trustee is treated as a successor for purposes of this statute. However, the trustee still owes fiduciary duties to trust beneficiaries. A private agreement cannot override those duties.
How Families Can Use This Tool
When family members are on good terms and willing to communicate openly, this statute provides a practical path. It avoids the cost and delay of formal court proceedings. Whether the goal is to correct unequal distributions, accommodate different preferences, or simply keep the probate process moving, a written agreement among all affected parties can solve the problem.
Under state law, these agreements are enforceable. However, they should be drafted carefully. An attorney can help make sure the agreement satisfies legal requirements and protects everyone involved. Poorly worded agreements can create disputes later, especially if family relationships change over time.
For families dealing with both a will and intestate succession rules (when the will does not cover all assets), this flexibility is especially valuable. It allows a coordinated approach to dividing everything, not just what the will addresses.