Guam § 2741 - Liability of Estate and Surviving Spouse; Allocation;

§ 2741. Liability of Estate and Surviving Spouse; Allocation;

Petition; Contents; Determination; Order.

(a) Whenever it appears that debts payable by the estate are also

payable, in whole or in part, by the surviving spouse, the personal repre-

sentative or any person interested in the estate may file a petition with

the Clerk of the Superior Court for an order to allocate the responsibility

for such debts. Such petition may be filed at any time prior to the filing

of a petition for final distribution. If any interest in the community

property is administered in the estate of a deceased spouse which, under

the laws of the territory of Guam, was liable for a debt of the surviving

spouse which was not also the debt of the deceased spouse, the owner of

the debts shall be deemed to be a person interested in the estate for the

purposes of this Section.

(b) The petition referred to in subsection (a) of this Section shall (1)

identify all of the debts known to the petitioner that are asserted to be

subject to allocation, (2) state the reason why such debts should be

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allocated, and (3) set forth the allocation and the basis for allocation

asserted by the petitioner.

(c) If it appears from the petition referred to in subsection (a) of this

Section that (1) allocation would be affected by the value of the separate

property of the surviving spouse and any community property not

administered in the estate and (2) an inventory of the property and the

value of the property has not been furnished by the surviving spouse, the

Superior Court shall issue an order to show cause why the information

should not be furnished.

(d) Notice of the hearing of the petition referred to in subsection (a)

of this Section and the order to show cause referred to in subsection (c)

of this Section shall be given in the manner provided in Section 3401 of

this Title and a copy of such petition and such order shall be served not

less than ten (10) calendar days prior to the time set for the hearing upon

the surviving spouse and, if the petitioner is not the personal

representative, upon the personal representative.

(e) The personal representative and the surviving spouse may

provide for allocation by agreement, and, upon a determination by the

Superior Court that the agreement substantially protects the rights of

persons interested in the estate, the allocation provided for in the agree-

ment shall be ordered by the Superior Court. In the absence of such

agreement, each debt shall be apportioned to all of the property of the

spouses liable for the debt, as determined by the laws of the territory of

Guam, in the proportion determined by the value of the property less any

liens and encumbrances at the date of death, and the responsibility to pay

the debt shall be allocated accordingly.

(f) Upon making the determination as provided in this Section, the

Superior Court shall make an order (1) directing the personal repre-

sentative to charge the amounts allocated to the surviving spouse against

any property or interests of the surviving spouse which are in the posses-

sion of the personal representative, (2) summarily directing the surviving

spouse to make payment of the allocation to the personal representative

to the extent that property or interests of the surviving spouse which are

in the possession of the personal representative are insufficient to satisfy

the allocation, and (3) directing the personal representative to make

payment of the amounts allocated to the estate.