Who Takes Creditor Priority To A Deceased Father’s Estate, A N.J. Medicaid Lien or Estate Expenses?

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Probate Estate Administration & Medicaid Lien Attorney

Here’s an interesting inquiry which I’d like to share with you. My response shows that with an advocate on your side you can appeal and defeat (or compromise) NJ Estate recovery and be rewarded for your efforts.

A client’s father passed away last August without a will. The son took on the job as administrator of his estate. He followed all the proper channels, was bonded, obtained an Estate tax ID number, etc., and contacted DMAHS (that’s a department within the Department of Human Services) and they responded with a proof of lien claim against the father’s home which was more than double what the house is worth.

The Estate was ready to sell the house. The family’s question was “once sold and the funds placed in the estate account are the executor’s expenses such as multiple flights, rentals, funeral expenses reimbursable to him first? The Estate has been ongoing for one year since death.”

I’m pleased to report that the priority of claims for estates makes clear estate admin expenses and executor commissions, along with funeral expenses, come before a Medicaid lien. Our client should realize a substantial award following our negotiation with the state.

To discuss your NJ Medicaid Lien matter, please contact Fredrick P. Niemann, Esq. toll-free at (855) 376-5291 or email him at fniemann@hnlawfirm.com.  Please ask us about our video conferencing consultations if you are unable to come to our office.