CA Prob Code Section 9804


(a)

Subject to subdivision (c), if the court is satisfied that it will be to the advantage of the estate, the court shall make an order that authorizes or requires that the personal representative do any one or more of the following:

(1)

Borrow money and execute a note.

(2)

Execute a mortgage or deed of trust or give other security by security interest or other lien.

(3)

Pay, reduce, extend, or renew a security interest or lien or mortgage or deed of trust already existing upon property of the estate.

(b)

The court in its order may do any one or more of the following:

(1)

Order that the amount specified in the petition, or a lesser amount, be borrowed.

(2)

Prescribe the maximum rate of interest and the period of the loan.

(3)

Require that the interest and the whole or any part of the principal be paid from time to time out of the whole estate or any part thereof.

(4)

Require that the personal property used as security, or any buildings on real property to be mortgaged or subjected to the deed of trust, be insured for the further security of the lender and that the premiums be paid out of the estate.

(5)

Specify the purpose for which the money to be borrowed is to be applied.

(6)

Specify the terms and conditions of any extension or renewal agreement.

(7)

Prescribe such other terms and conditions concerning the transaction as the court determines to be to the advantage of the estate.

(c)

Where the surviving spouse has elected to have his or her share of the community real property administered in the decedent’s estate, an order authorizing or requiring the personal representative to borrow money to be secured by a mortgage or deed of trust upon the community real property of the estate, or any part thereof, may be made only if the written consent of the surviving spouse has been filed with the court.
Last Updated

Aug. 19, 2023

§ 9804’s source at ca​.gov