Payment of the Deceased’s Debts

The estate trustee is to settle the deceased’s debts and liabilities. If there is not enough money in the estate to satisfy creditors, the deceased’s family is not responsible for those debts. Instead, the estate trustee may offer a partial settlement to creditors which, if not accepted, results in an estate going bankrupt, as would be the case if the deceased were alive. Similar to bankruptcy proceedings if the deceased were alive, there are special preferences accorded to a dependent spouse and children.