HOUSE BILL No. 5704

May 26, 2016, Introduced by Rep. Hughes and referred to the Committee on Judiciary.

 

     A bill to amend 1998 PA 386, entitled

 

"Estates and protected individuals code,"

 

by amending section 2404 (MCL 700.2404), as amended by 2000 PA 177.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 2404. (1) The decedent's surviving spouse is also

 

entitled to household furniture, automobiles, furnishings,

 

appliances, and personal effects from the estate up to a value not

 

to exceed $10,000.00 more than the amount of any security interests

 

to which the property is subject. If there is no surviving spouse,

 

the decedent's children are entitled jointly to the same value

 

unless the decedent disinherits 1 or more children in his or her

 

will, in which case only those children not disinherited are

 

entitled. As used in this subsection, "disinherit" means a decedent

 

by will expressly stating that a child takes nothing or an amount

 

less than $10.00 from the estate.


     (2) If encumbered assets are selected and the value in excess

 

of security interests, plus that of other exempt property, is less

 

than $10,000.00, or if there is not $10,000.00 worth of exempt

 

property in the estate, the spouse or children are entitled to

 

other assets of the estate, if any, to the extent necessary to make

 

up the $10,000.00 value. Rights to exempt property and assets

 

needed to make up a deficiency of exempt property have priority

 

over all claims against the estate, except that the right to assets

 

to make up a deficiency of exempt property abates as necessary to

 

permit payment of all of the following in the following order:

 

     (a) Administration costs and expenses.

 

     (b) Reasonable funeral and burial expenses.

 

     (c) Homestead allowance.

 

     (d) Family allowance.

 

     (3) The rights under this section are in addition to a benefit

 

or share passing to the surviving spouse or children by the

 

decedent's will, unless otherwise provided, by intestate

 

succession, or by elective share. The $10,000.00 amount expressed

 

in this section shall must be adjusted as provided in section 1210.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.