How to Avoid Probate in Alabama

Non-probate options in Alabama include: payable-on-death (POD) and joint accounts with survivorship, which pass to the surviving party or beneficiary and are not subject to estate administration (Ala. Code §§ 5-24-12, 5-24-14); transfer-on-death registration of securities and brokerage accounts under the Uniform TOD Security Registration Act (Ala. Code § 8-6-140 and following); vehicles titled to co-owners joined by "or," where the survivor becomes sole owner; property held in a funded revocable trust (Ala. Code § 19-3B-602); and summary distribution for small estates (Ala. Code § 43-2-692). Alabama has no transfer-on-death deed for real estate.

Alabama uses a short court process rather than a simple affidavit. Under the Revised Alabama Small Estates Act, if the decedent owned no real estate (other than property passing automatically, such as by survivorship), was not survived by a minor child who is not the surviving spouse's child, and the personal property is worth no more than the small estate amount, a person entitled to the estate can file a verified petition for summary distribution in the probate court of the county where the decedent lived. No bond is required. Notice is published once in a local newspaper and sent to the Alabama Medicaid Agency, and the judge cannot order distribution until at least 30 days after each notice. Funeral expenses and claims must be paid or arranged.

Alabama has not adopted a transfer-on-death (beneficiary) deed for real estate; the Code of Alabama contains no such statute. Real estate generally passes by will, intestacy, survivorship ownership or a trust.