Families in Bloomfield Hills often spend decades building a legacy, only to see it stalled in the Oakland County Probate Court for months or even years. While the probate process serves a legal purpose, many Michigan residents prefer to keep their private affairs out of a public courtroom. Avoiding probate can save your family time, reduce legal costs, and ensure that your assets reach your loved ones according to your exact wishes.

The Michigan Estates and Protected Individuals Code (EPIC) governs how property transfers after death. Understanding these statutes allows our probate and estate planning attorneys to implement tools that automatically transfer property, bypassing the need for a judge’s signature. If you want to ensure your estate plan is handled comprehensively, it is vital to understand how specific Michigan laws apply to your unique business and personal assets.

What Is A Revocable Living Trust?

A revocable living trust is one of the most versatile probate avoidance strategies in Michigan. Under MCL 700.7401, individuals can create a trust to hold title to their property while they are still alive. You serve as the trustee, maintaining full control over your bank accounts, real estate, and business interests.

Upon your passing, the assets held in the trust do not belong to your probate estate. Instead, a successor trustee you have named takes over and distributes the property according to the trust’s instructions. The distribution of assets by a successor is private and typically much faster than a court-supervised process. For business owners in the Bloomfield Hills area, a trust is particularly useful for ensuring that commercial transactions and operations continue without the interruption of a probate stay.

What Are Michigan Lady Bird Deeds?

Real estate is often the most valuable asset in a Michigan estate. To keep a home or commercial property out of probate without losing control during your lifetime, our legal professionals often look to the Lady Bird Deed, also known as an Enhanced Life Estate Deed.

While not found in a single specific statute, the validity of these deeds is supported by Michigan Land Title Standard 9.3 and Michigan Supreme Court case law. A Lady Bird Deed allows you to retain the right to sell, lease, or mortgage the property while you are alive. If you still own the property at the time of your death, it transfers automatically to your named beneficiaries. This tool is particularly effective because it avoids probate while preserving the stepped-up basis for capital gains tax purposes for your heirs.

Joint Ownership and Survivorship Rights

Another common way to avoid probate is through joint ownership. In Michigan, when two or more people own property as joint tenants with full rights of survivorship, the property automatically passes to the surviving owner upon the death of the other.

For married couples, Michigan recognizes tenancy by the entireties under MCL 557.71. This form of ownership is specific to spouses and provides both probate avoidance and a layer of creditor protection. If one spouse passes away, the survivor becomes the sole owner of the property by operation of law, requiring only the filing of a death certificate with the Register of Deeds to update the chain of title.

Beneficiary Designations and POD Accounts

Many financial assets can bypass probate through simple contractual designations. Michigan law, specifically MCL 700.6306, allows for the registration of securities in beneficiary form, meaning you can add a Transfer on Death (TOD) or Payable on Death (POD) designation to your:

  • Checking and savings accounts
  • Investment accounts and stocks
  • Life insurance policies
  • Retirement accounts like IRAs or 401(k)s

These designations take precedence over a will. Even if your will states otherwise, the beneficiary listed on the account document will generally receive the funds. It is a simple but powerful way to ensure liquidity for your family immediately following a loss.

Small Estate Options in Michigan

Sometimes, despite our best efforts, some assets may still end up in probate. But Michigan offers simplified procedures for smaller estates that may not require a full, formal probate proceeding.

According to MCL 700.3982, if the total value of the decedent’s property (after funeral and burial expenses) is below a certain threshold, the court can issue an order to turn the property over to the surviving spouse or heirs. For 2026, this threshold is $51,000, as adjusted for inflation by the Michigan Department of Treasury. For very small amounts of personal property, an Affidavit of Decedent’s Successor (MCL 700.3983) can sometimes be used to collect assets without any court involvement at all, provided the estate value is under the inflation-adjusted limit and contains no real property.

Comprehensive Planning for Business and Estate Needs

Probate avoidance is not just about moving houses and bank accounts. For the professionals and business owners around Bloomfield Hills, comprehensive planning involves protecting intellectual property, trademarks, and commercial interests. A complete estate plan should account for the transition of business authority and the protection of commercial transactions.

Our dedicated legal team focuses on delivering personal service that looks at the whole picture. Our goal is to resolve legal issues and achieve your objectives promptly. By utilizing flat-fee programs for estate planning, we help you legally secure your family’s future and ensure your hard-earned assets are distributed exactly as you wish.

At Kendal Law Group PC, we provide the counsel and action necessary for both your business needs and your personal legacy. Our background in E-law, litigation, and commercial transactions allows us to build a plan that stands up to scrutiny.

If you are ready to secure your estate and protect your business interests, contact us at 248-609-1718 to discuss your path forward.