SECTIONS 10200-10207 - California Statutes

PROBATE CODE

SECTION 10200-10207

10200. (a) As used in this section, "securities" means "security"
as defined in Section 70, land trust certificates, certificates of
beneficial interest in trusts, investment trust certificates,
mortgage participation certificates, or certificates of deposit for
any of the foregoing, but does not include notes secured by a
mortgage or deed of trust unless the note or notes have been
authorized or permitted to be issued by the Commissioner of
Corporations or have been made by a public utility subject to the
Public Utilities Act (Part 1 (commencing with Section 201) of
Division 1 of the Public Utilities Code).
(b) After authorization by order of court, securities may be sold
or may be surrendered for redemption or conversion. Title to the
securities sold or surrendered as authorized by an order obtained
under this section passes without the need for subsequent court
confirmation.
(c) To obtain an order under this section, the personal
representative or any interested person shall file a petition stating
the terms and conditions and the advantage to the estate of the
proposed sale or redemption or conversion. If the court authorizes
the sale, redemption, or conversion, the court's order shall fix the
terms and conditions of sale, redemption, or conversion.
(d) Notice of the hearing on the petition shall be given as
provided in Section 1220 and posted as provided in Section 1230, but
the court may order that the notice be given for a shorter period or
dispensed with.
(e) No notice of sale or of the redemption or conversion need be
given if any of the following conditions are satisfied:
(1) The minimum selling price is fixed by the court.
(2) The securities are to be sold on an established stock or bond
exchange.
(3) The securities to be sold are securities designated as a
national market system security on an interdealer quotation system,
or subsystem thereof, by the National Association of Securities
Dealers, Inc., sold through a broker-dealer registered under the
Securities Exchange Act of 1934 during the regular course of business
of the broker-dealer.
(4) The securities are to be surrendered for redemption or
conversion.

10201. (a) For purposes of this section:
(1) "Federal association" is defined in Section 5102 of the
Financial Code.
(2) "Mutual capital certificate" is defined in Section 5111 of the
Financial Code.
(3) "Savings account" is defined in Section 5116 of the Financial
Code.
(4) "Savings association" is defined in Section 5102 of the
Financial Code.
(5) "Withdrawal value" is defined in Section 5124 of the Financial
Code.
(b) Notwithstanding Section 10200, savings accounts and mutual
capital certificates of a savings association or federal association
may be sold or surrendered for withdrawal by the personal
representative, and title thereto passed, without notice of sale,
prior order of court, or subsequent confirmation by the court, if an
amount of money is obtained upon the sale or withdrawal not less than
the withdrawal value of the savings account or the value of the
mutual capital certificate.
(c) Notwithstanding Section 10200, credit union share accounts and
certificates for funds may be sold or withdrawn by the personal
representative, and title thereto passed, without notice of sale,
prior order of court, or subsequent confirmation by the court, if an
amount of money is obtained upon the sale or withdrawal not less than
the withdrawal value of the share account or the value of the
certificate for funds.

10202. Notwithstanding Section 10200, if an estate by reason of
owning securities, also owns or receives subscription rights for the
purchase of additional securities, the personal representative may
sell all or part of the subscription rights without notice of sale,
prior order of court, or subsequent confirmation by the court.

10203. (a) Except as provided in subdivision (b), where property to
be sold consists of a leasehold interest, the sale shall be made as
in the case of the sale of personal property of the estate.
(b) The sale of a leasehold interest shall be made as in the case
of the sale of real property of the estate if the interest to be sold
consists of any of the following:
(1) A leasehold interest in real property with an unexpired term
of 10 years or longer. For this purpose, the leasehold interest shall
be considered to have an unexpired term of 10 years or longer if the
lessee has the right to extend the term and the term, if extended,
would exceed 10 years.
(2) A leasehold interest in real property together with an option
to purchase the leased property or some part thereof.
(3) A lease for the purpose of production of minerals, oil, gas,
or other hydrocarbon substances, or geothermal energy.

10204. Property of the estate that consists of a partnership
interest or an interest belonging to an estate by virtue of a
partnership formerly existing may be sold in the same manner as other
personal property.

10205. A chose in action belonging to the estate may be sold in the
same manner as other personal property.

10206. (a) Except as otherwise provided in this section, if the
decedent at the time of death was possessed of a contract for the
purchase of real property and the decedent's interest in the property
and under the contract is to be sold, the sale shall be made as in
the case of the sale of real property of the estate.
(b) If the decedent's interest in the property and under the
contract is sold, the sale shall be made subject to all payments
which are due at the time of sale or which may thereafter become due
on the contract. Except as provided in subdivision (d), if there are
any payments due or to become due, the court shall not confirm the
sale until the purchaser executes a bond to the personal
representative that satisfies the requirements of subdivision (c).
(c) The bond shall be for the benefit and indemnity of the
personal representative and the persons entitled to the interest of
the decedent in the real property contracted for. The amount of the
bond shall be equal to the amount of payments then due and thereafter
to become due on the contract, with such sureties as the court may
approve. The bond shall be conditioned that the purchaser will (1)
make all payments for the property which are then due or which become
due after the date of the sale and (2) fully indemnify the personal
representative and the person entitled to the interest of the
decedent against all demands, costs, charges, and expenses, by reason
of any covenant or agreement contained in the contract.
(d) The bond need not be given in either of the following cases:
(1) Where no claim has been made against the estate on the
contract and the time for filing claims has expired.
(2) Where the person entitled to payment under the contract
waives all recourse to the assets of the estate for payment and
releases the estate and the personal representative from liability
for payment.

10207. (a) Real property suitable for a shift-in-land-use loan to
develop grazing or pasture facilities may be sold under this section
by the personal representative to a grazing or pasture association in
conformity with the federal Consolidated Farm and Rural Development
Act (7 U.S.C. Sec. 1921, et seq.) after authorization by order of the
court.
(b) The personal representative or any interested person may file
a petition for an order under this section. Notice of the hearing on
the petition shall be given as provided in Section 1220.
(c) An order for sale of property under this section may be made
only if the court determines both of the following:
(1) Either the sale is made pursuant to the will of the decedent
or all of the following have consented to the sale:
(A) Each known heir whose interest in the estate would be affected
by the sale.
(B) Each known devisee who has an interest in the property under
the decedent's will.
(2) The sale will not jeopardize the rights of creditors of the
estate.
(d) If the court makes an order authorizing sale of the property,
the personal representative may make the sale in accord with the
terms and conditions set out in the order, subject to the following
requirements:
(1) Except as provided in Sections 10002, 10301, 10303, and 10503,
notice of the time and place of the sale shall be published pursuant
to Section 10300.
(2) The price of the sale made shall be not less than the value of
the property as established by an independent and competent
appraiser mutually acceptable to the federal government, the grazing
or pasture association, and the personal representative.
(3) Except as provided in Sections 10002 and 10503, the sale shall
be reported to and confirmed by the court as provided in Article 6
(commencing with Section 10300) before title to the property passes,
but the sale may be made irrespective of whether a higher bid is made
to the court at the hearing on the petition to confirm the sale.