A letter of testamentary—also known as letters testamentary—is a written order from a probate court approving the appointment of an executor under a will and authorizing the executor to administer the will and the decedent’s estate—including collecting amounts due to the estate, paying any outstanding debts of the estate, and distributing the assets of the estate in accordance with the provisions of the will.

Banks, brokerages, and mortgage and title companies rely on the court-ordered authority of the executor—as demonstrated by a letter of testamentary—when transferring ownership and control of assets in the testator’s estate.

When a deceased person (decedent) dies without a will (intestate) or the decedent’s will is found to be invalid by the probate court, the court may appoint an administrator to manage the estate, assets, and liabilities of the decedent. The administrator must be qualified or approved by the court and in some instances may be required to post a bond to secure the assets of the estate.

Upon appointment of an administrator by the probate court the court may issue letters of administration that authorize the administrator to administer the decedent’s estate by collecting amounts due to the estate, paying any outstanding debts of the estate, and distributing the assets of the estate in accordance with the state’s intestate succession laws.

Laws and procedures vary from state to state but an administrator—and the administrator’s administration of the estate—may be supervised or unsupervised by the probate court and may be with or without a bond required from the administrator.

In South Dakota, a letter of testamentary is a legal document issued by a probate court that authorizes an executor to manage and distribute a deceased person's estate according to the terms of the will. When a person dies without a will (intestate) or the will is deemed invalid, the court may appoint an administrator for the estate. This administrator is tasked with managing the estate's affairs, such as settling debts and distributing assets according to South Dakota's intestate succession laws. The court may require the administrator to be bonded, which serves as a financial guarantee for the proper performance of their duties. The administration of the estate can be either supervised or unsupervised by the probate court, depending on the circumstances and the court's discretion. The process for obtaining letters testamentary or letters of administration involves filing the appropriate petitions with the probate court and may require a hearing. It is important for executors and administrators to understand their responsibilities and comply with South Dakota's probate laws and procedures.