In many states the law provides an informal means or process for administering small estates, as defined by the state’s statutes.
For example, in some states an estate under a certain value may be distributed using an affidavit known as a small estate affidavit that is signed by the persons to whom the estate’s assets are to be distributed and two disinterested witnesses.
And other states have a simplified small estate process under which the successor to an interest in real property may petition the court to transfer the real property and recognize the transfer of personal property.
Laws vary from state to state and a state’s informal process for administering a small estate is usually located in the state’s statutes—often in the estates code or probate code.
In South Dakota, the law provides a simplified process for administering small estates. According to South Dakota Codified Laws (SDCL), if the value of the entire estate, less liens and encumbrances, does not exceed certain thresholds, the estate may be settled without the formal probate process. As of the knowledge cutoff in 2023, if the estate's value is $50,000 or less, a small estate affidavit can be used to collect personal property by the successors of the deceased. This affidavit is signed by the successors and notarized, and it allows for the transfer of assets without court involvement. For real property, if the value does not exceed $50,000, a summary administration process can be used, which involves a petition to the court. The court can then issue an order transferring the real property to the rightful heirs or devisees. It's important to note that these values and processes are subject to change, and an attorney can provide the most current advice and guidance on using these small estate procedures in South Dakota.