Personal Property – Art and More

Bequeathing Art, Cullections, Antiques and other “Personal
Property”

What is personal property?

i. It’s a coin cullection, oil paintings, grandpa’s uld
pocket watch.

ii. Personal property means pretty much anything other
than land and buildings, or intangibles like contract rights.

Why its so important to deal with.

i. Emotions, emotions, emotions.

ii. Personal property can often evoke more emotional
impact than any other estate asset, often way out of proportion to its
value.

iii. Easy to get “lost”. If you’re the executor you have
to get a handle on what is present or heirs may sue.

iv. Audits – too many executors treat personal property
loosely. How can you prove what it was worth to the IRS? Get an independent
company to do an inventory and valuation. Video tape and shoot pictures of
everything.

v. Get it insured for what it is worth. Don’t rely on what
the decedent had for insurance.

How distribute?

i. You can include in your will a reference to a separate
written document to distribute personal property. In many states such a list
has official clout for disposing of the documents if the state requirements are
met (e.g., in your handwriting, signed by you, etc.).

ii. Leave it up to the executor.

iii. List in the will where each item goes.