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SF 93

2nd Engrossment - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - 2nd Engrossment

  1.1                          A bill for an act
  1.2             relating to human services; changing provisions for 
  1.3             state liens for cost of care; amending Minnesota 
  1.4             Statutes 1996, sections 55.10, subdivision 4; 256.015, 
  1.5             subdivisions 1, 2, and 4; 256B.042, subdivisions 1, 2, 
  1.6             and 4; 256B.37, subdivision 1; 514.71; 514.980, 
  1.7             subdivision 2; 514.981, subdivision 2; 514.982, 
  1.8             subdivisions 1 and 2; 514.985; 524.1-201; 524.3-801; 
  1.9             524.3-1004; and 524.3-1201. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  Minnesota Statutes 1996, section 55.10, 
  1.12  subdivision 4, is amended to read: 
  1.13     Subd. 4.  [WILL SEARCHES, BURIAL DOCUMENTS PROCUREMENT, AND 
  1.14  INVENTORY OF CONTENTS.] (a) Upon being furnished with 
  1.15  satisfactory proof of death of a sole lessee or the last 
  1.16  surviving co-lessee of a safe deposit box, an employee of the 
  1.17  safe deposit company shall open the box and examine the contents 
  1.18  in the presence of an individual who appears in person and 
  1.19  furnishes an affidavit stating that the individual believes: 
  1.20     (1) the box may contain the will or deed to a burial lot or 
  1.21  a document containing instructions for the burial of the lessee 
  1.22  or that the box may contain property belonging to the estate of 
  1.23  the lessee; and 
  1.24     (2) the individual is an interested person as defined in 
  1.25  this section and wishes to open the box for any one or more of 
  1.26  the following purposes: 
  1.27     (i) to conduct a will search; 
  2.1      (ii) to obtain a document required to facilitate the 
  2.2   lessee's wishes regarding body, funeral, or burial arrangements; 
  2.3   or 
  2.4      (iii) to obtain an inventory of the contents of the box. 
  2.5      (b) The safe deposit company may not open the box under 
  2.6   this section if it has received a copy of letters of office of 
  2.7   the representative of the deceased lessee's estate or other 
  2.8   applicable court order.  
  2.9      (c) The safe deposit company need not open the box if: 
  2.10     (1) the box has previously been opened under this section 
  2.11  for the same purpose; 
  2.12     (2) the safe deposit company has received notice of a 
  2.13  written or oral objection from any person or has reason to 
  2.14  believe that there would be an objection; or 
  2.15     (3) the lessee's key or combination is not available. 
  2.16     (d) For purposes of this section, the term "interested 
  2.17  person" means any of the following: 
  2.18     (1) a person named as personal representative in a 
  2.19  purported will of the lessee; 
  2.20     (2) a person who immediately prior to the death of the 
  2.21  lessee had the right of access to the box as a deputy; 
  2.22     (3) the surviving spouse of the lessee; 
  2.23     (4) a devisee of the lessee; 
  2.24     (5) an heir of the lessee; or 
  2.25     (6) a person designated by the lessee in a writing 
  2.26  acceptable to the safe deposit company which is filed with the 
  2.27  safe deposit company before death; or 
  2.28     (7) a state or county agency with a claim authorized by 
  2.29  section 256B.15. 
  2.30     (e) For purposes of this section, the term "will" includes 
  2.31  a will or a codicil. 
  2.32     (f) If the box is opened for the purpose of conducting a 
  2.33  will search, the safe deposit company shall remove any document 
  2.34  that appears to be a will and make a true and correct machine 
  2.35  copy thereof, replace the copy in the box, and then deliver the 
  2.36  original thereof to the clerk of court for the county in which 
  3.1   the lessee resided immediately before the lessee's death, if 
  3.2   known to the safe deposit company, otherwise to the clerk of the 
  3.3   court for the county in which the safe deposit box is located.  
  3.4   The will must be personally delivered or sent by registered 
  3.5   mail.  If the interested person so requests, any deed to burial 
  3.6   lot or document containing instructions for the burial of the 
  3.7   lessee may be copied by the safe deposit box company and the 
  3.8   copy or copies thereof delivered to the interested person.  
  3.9      (g) If the box is opened for the purpose of obtaining a 
  3.10  document required to facilitate the lessee's wishes regarding 
  3.11  the body, funeral, or burial arrangements, any such document may 
  3.12  be removed from the box and delivered to the interested person 
  3.13  with a true and correct machine copy retained in the box.  If 
  3.14  the safe deposit box company discovers a document that appears 
  3.15  to be a will, the safe deposit company shall act in accordance 
  3.16  with paragraph (f). 
  3.17     (h) If the box is opened for the purpose of obtaining an 
  3.18  inventory of the contents of the box, the employee of the safe 
  3.19  deposit company shall make, or cause to be made, an inventory of 
  3.20  the contents of the box, to which the employee and the 
  3.21  interested person shall attest under penalty of perjury to be 
  3.22  correct and complete.  Within ten days of opening the box 
  3.23  pursuant to this subdivision, the safe deposit company shall 
  3.24  deliver the original inventory of the contents to the court 
  3.25  administrator for the county in which the lessee resided 
  3.26  immediately before the lessee's death, if known to the safe 
  3.27  deposit company, otherwise to the court administrator for the 
  3.28  county in which the safe deposit box is located.  The inventory 
  3.29  must be personally delivered or sent by registered mail.  If the 
  3.30  interested person so requests, the safe deposit company shall 
  3.31  make a true and correct copy of any document in the box and 
  3.32  deliver that copy to the interested person.  If the contents of 
  3.33  the box include a document that appears to be a will, the safe 
  3.34  deposit company shall act in accordance with paragraph (f). 
  3.35     (i) The safe deposit company need not ascertain the truth 
  3.36  of any statement in the affidavit required to be furnished under 
  4.1   this subdivision and when acting in reliance upon an affidavit, 
  4.2   it is discharged as if it dealt with the personal representative 
  4.3   of the lessee.  The safe deposit company is not responsible for 
  4.4   the adequacy of the description of any property included in an 
  4.5   inventory of the contents of a safe deposit box, nor for 
  4.6   conversion of the property in connection with actions performed 
  4.7   under this subdivision, except for conversion by intentional 
  4.8   acts of the company or its employees, directors, officers, or 
  4.9   agents.  If the safe deposit company is not satisfied that the 
  4.10  requirements of this subdivision have been met, it may decline 
  4.11  to open the box.  
  4.12     (j) No contents of a box other than a will and a document 
  4.13  required to facilitate the lessee's wishes regarding body, 
  4.14  funeral, or burial arrangements may be removed pursuant to this 
  4.15  subdivision.  The entire contents of the box, however, may be 
  4.16  removed pursuant to section 524.3-1201. 
  4.17     Sec. 2.  Minnesota Statutes 1996, section 256.015, 
  4.18  subdivision 1, is amended to read: 
  4.19     Subdivision 1.  [STATE AGENCY HAS LIEN.] When the state 
  4.20  agency provides, pays for, or becomes liable for medical care or 
  4.21  furnishes subsistence or other payments to a person, the agency 
  4.22  has shall have a lien for the cost of the care and payments 
  4.23  on any and all causes of action that or recovery rights under 
  4.24  any policy, plan, or contract providing benefits for health care 
  4.25  or injury which accrue to the person to whom the care or 
  4.26  payments were furnished, or to the person's legal 
  4.27  representatives, as a result of the occurrence that necessitated 
  4.28  the medical care, subsistence, or other payments.  For purposes 
  4.29  of this section, "state agency" includes authorized agents of 
  4.30  the state agency. 
  4.31     Sec. 3.  Minnesota Statutes 1996, section 256.015, 
  4.32  subdivision 2, is amended to read: 
  4.33     Subd. 2.  [PERFECTION; ENFORCEMENT.] (a) The state agency 
  4.34  may perfect and enforce its lien under sections 514.69, 514.70, 
  4.35  and 514.71, and must file the verified lien statement with the 
  4.36  appropriate court administrator in the county of financial 
  5.1   responsibility.  The verified lien statement must contain the 
  5.2   following:  the name and address of the person to whom medical 
  5.3   care, subsistence, or other payment was furnished; the date of 
  5.4   injury; the name and address of vendors furnishing medical care; 
  5.5   the dates of the service or payment; the amount claimed to be 
  5.6   due for the care or payment; and to the best of the state 
  5.7   agency's knowledge, the names and addresses of all persons, 
  5.8   firms, or corporations claimed to be liable for damages arising 
  5.9   from the injuries.  
  5.10     (b) This section does not affect the priority of any 
  5.11  attorney's lien.  The state agency is not subject to any 
  5.12  limitations period referred to in section 514.69 or 514.71 and 
  5.13  has one year from the date notice is first received by it under 
  5.14  subdivision 4, paragraph (c), even if the notice is untimely, or 
  5.15  one year from the date medical bills are first paid by the state 
  5.16  agency, whichever is later, to file its verified lien 
  5.17  statement.  The state agency may commence an action to enforce 
  5.18  the lien within one year of (1) the date the notice required by 
  5.19  subdivision 4, paragraph (c), is received, or (2) the date the 
  5.20  person's cause of action is concluded by judgment, award, 
  5.21  settlement, or otherwise, whichever is later. 
  5.22     (c) If the notice required in subdivision 4 is not provided 
  5.23  by any of the parties to the claim at any stage of the claim, 
  5.24  the state agency will have one year from the date the state 
  5.25  agency learns of the lack of notice to commence an action.  If 
  5.26  amounts on the claim or cause of action are paid and the amount 
  5.27  required to be paid to the state agency under subdivision 5 is 
  5.28  not paid to the state agency, the state agency may commence an 
  5.29  action to recover on the lien against any or all of the parties 
  5.30  or entities which have either paid or received the payments. 
  5.31     Sec. 4.  Minnesota Statutes 1996, section 256.015, 
  5.32  subdivision 4, is amended to read: 
  5.33     Subd. 4.  [NOTICE.] The state agency must be given notice 
  5.34  of monetary claims against a person, firm, or corporation that 
  5.35  may be liable in damages to the injured person when the state 
  5.36  agency has paid for or become liable for the cost of medical 
  6.1   care or payments related to the injury.  Notice must be given as 
  6.2   follows: 
  6.3      (a) Applicants for public assistance shall notify the state 
  6.4   or county agency of any possible claims they may have against a 
  6.5   person, firm, or corporation when they submit the application 
  6.6   for assistance.  Recipients of public assistance shall notify 
  6.7   the state or county agency of any possible claims when those 
  6.8   claims arise. 
  6.9      (b) A person providing medical care services to a recipient 
  6.10  of public assistance shall notify the state agency when the 
  6.11  person has reason to believe that a third party may be liable 
  6.12  for payment of the cost of medical care. 
  6.13     (c) A person who is a party to a claim upon which the state 
  6.14  agency may be entitled to a lien under this section shall notify 
  6.15  the state agency of its potential lien claim before filing a 
  6.16  claim, commencing an action, or negotiating a settlement. at 
  6.17  each of the following stages of a claim:  (1) when a claim is 
  6.18  filed; (2) when an action is commenced; and (3) when a claim is 
  6.19  concluded by payment, award, judgment, settlement, or 
  6.20  otherwise.  Every party involved in any stage of a claim under 
  6.21  this subdivision is required to provide notice to the state 
  6.22  agency at that stage of the claim.  However, when one of the 
  6.23  parties to the claim provides notice at that stage, every other 
  6.24  party to the claim is deemed to have provided the required 
  6.25  notice at that stage of the claim.  If the required notice under 
  6.26  this paragraph is not provided to the state agency, every party 
  6.27  will be deemed to have failed to provide the required notice.  A 
  6.28  person who is a party to a claim includes the injured person or 
  6.29  the person's legal representative, the plaintiff, the 
  6.30  defendants, or persons alleged to be responsible for 
  6.31  compensating the injured person or plaintiff, and any other 
  6.32  party to the cause of action or claim, regardless of whether the 
  6.33  party knows the state agency has a potential or actual lien 
  6.34  claim.  
  6.35     Notice given to the county agency is not sufficient to meet 
  6.36  the requirements of paragraphs (b) and (c). 
  7.1      Sec. 5.  Minnesota Statutes 1996, section 256B.042, 
  7.2   subdivision 1, is amended to read: 
  7.3      Subdivision 1.  [LIEN FOR COST OF CARE.] When the state 
  7.4   agency provides, pays for, or becomes liable for medical care, 
  7.5   it shall have a lien for the cost of the care upon any and all 
  7.6   causes of action or recovery rights under any policy, plan, or 
  7.7   contract providing benefits for health care or injury, which 
  7.8   accrue to the person to whom the care was furnished, or to the 
  7.9   person's legal representatives, as a result of the illness or 
  7.10  injuries which necessitated the medical care.  
  7.11     Sec. 6.  Minnesota Statutes 1996, section 256B.042, 
  7.12  subdivision 2, is amended to read: 
  7.13     Subd. 2.  [LIEN ENFORCEMENT.] (a) The state agency may 
  7.14  perfect and enforce its lien by following the procedures set 
  7.15  forth in sections 514.69, 514.70 and 514.71, and its verified 
  7.16  lien statement shall be filed with the appropriate court 
  7.17  administrator in the county of financial responsibility.  The 
  7.18  verified lien statement shall contain the following:  the name 
  7.19  and address of the person to whom medical care was furnished, 
  7.20  the date of injury, the name and address of the vendor or 
  7.21  vendors furnishing medical care, the dates of the service, the 
  7.22  amount claimed to be due for the care, and, to the best of the 
  7.23  state agency's knowledge, the names and addresses of all 
  7.24  persons, firms, or corporations claimed to be liable for damages 
  7.25  arising from the injuries.  This section shall not affect the 
  7.26  priority of any attorney's lien.  
  7.27     (b) The state agency is not subject to any limitations 
  7.28  period referred to in section 514.69 or 514.71 and has one year 
  7.29  from the date notice is first received by it under subdivision 
  7.30  4, paragraph (c), even if the notice is untimely, or one year 
  7.31  from the date medical bills are first paid by the state agency, 
  7.32  whichever is later, to file its verified lien statement.  The 
  7.33  state agency may commence an action to enforce the lien within 
  7.34  one year of (1) the date the notice required by subdivision 4, 
  7.35  paragraph (c), is received or (2) the date the recipient's cause 
  7.36  of action is concluded by judgment, award, settlement, or 
  8.1   otherwise, whichever is later.  For purposes of this section, 
  8.2   "state agency" includes authorized agents of the state agency. 
  8.3      (c) If the notice required in subdivision 4 is not provided 
  8.4   by any of the parties to the claim at any stage of the claim, 
  8.5   the state agency will have one year from the date the state 
  8.6   agency learns of the lack of notice to commence an action.  If 
  8.7   amounts on the claim or cause of action are paid and the amount 
  8.8   required to be paid to the state agency under subdivision 5, is 
  8.9   not paid to the state agency, the state agency may commence an 
  8.10  action to recover on the lien against any or all of the parties 
  8.11  or entities which have either paid or received the payments. 
  8.12     Sec. 7.  Minnesota Statutes 1996, section 256B.042, 
  8.13  subdivision 4, is amended to read: 
  8.14     Subd. 4.  [NOTICE.] The state agency must be given notice 
  8.15  of monetary claims against a person, firm, or corporation that 
  8.16  may be liable to pay part or all of the cost of medical care 
  8.17  when the state agency has paid or become liable for the cost of 
  8.18  that care.  Notice must be given as follows:  
  8.19     (a) Applicants for medical assistance shall notify the 
  8.20  state or local agency of any possible claims when they submit 
  8.21  the application.  Recipients of medical assistance shall notify 
  8.22  the state or local agency of any possible claims when those 
  8.23  claims arise. 
  8.24     (b) A person providing medical care services to a recipient 
  8.25  of medical assistance shall notify the state agency when the 
  8.26  person has reason to believe that a third party may be liable 
  8.27  for payment of the cost of medical care.  
  8.28     (c) A person who is a party to a claim upon which the state 
  8.29  agency may be entitled to a lien under this section shall notify 
  8.30  the state agency of its potential lien claim before filing a 
  8.31  claim, commencing an action, or negotiating a settlement. at 
  8.32  each of the following stages of a claim:  (1) when a claim is 
  8.33  filed; (2) when an action is commenced; and (3) when a claim is 
  8.34  concluded by payment, award, judgment, settlement, or 
  8.35  otherwise.  Every party involved in any stage of a claim under 
  8.36  this subdivision is required to provide notice to the state 
  9.1   agency at that stage of the claim.  However, when one of the 
  9.2   parties to the claim provides notice at that stage, every other 
  9.3   party to the claim is deemed to have provided the required 
  9.4   notice at that stage of the claim.  If the required notice under 
  9.5   this paragraph is not provided to the state agency, all parties 
  9.6   to the claim are deemed to have failed to provide the required 
  9.7   notice.  A person who is a party to a claim includes the injured 
  9.8   person or the person's legal representative, the plaintiff, the 
  9.9   defendants, or persons alleged to be responsible for 
  9.10  compensating the injured person or plaintiff, and any other 
  9.11  party to the cause of action or claim, regardless of whether the 
  9.12  party knows the state agency has a potential or actual lien 
  9.13  claim. 
  9.14     Notice given to the local agency is not sufficient to meet 
  9.15  the requirements of paragraphs (b) and (c). 
  9.16     Sec. 8.  Minnesota Statutes 1996, section 256B.37, 
  9.17  subdivision 1, is amended to read: 
  9.18     Subdivision 1.  [SUBROGATION.] Upon furnishing medical 
  9.19  assistance to any person having who has private accident or 
  9.20  health care coverage, or receives or has a right to receive 
  9.21  health or medical care from any type of organization or entity, 
  9.22  or having has a cause of action arising out of an occurrence 
  9.23  that necessitated the payment of medical assistance, the state 
  9.24  agency or the state agency's agent shall be subrogated, to the 
  9.25  extent of the cost of medical care furnished, to any rights the 
  9.26  person may have under the terms of the coverage, or against the 
  9.27  organization or entity providing or liable to provide health or 
  9.28  medical care, or under the cause of action.  
  9.29     The right of subrogation created in this section includes 
  9.30  all portions of the cause of action, notwithstanding any 
  9.31  settlement allocation or apportionment that purports to dispose 
  9.32  of portions of the cause of action not subject to subrogation.  
  9.33     Sec. 9.  Minnesota Statutes 1996, section 514.71, is 
  9.34  amended to read: 
  9.35     514.71 [RELEASE.] 
  9.36     No release of such causes of action, or any of them, or of 
 10.1   any judgment thereon shall be valid or effectual as against such 
 10.2   lien unless such lienholder shall join therein, or execute a 
 10.3   release of such lien, and the claimant, or assignee of such 
 10.4   lien, may enforce such lien by action against the person, firm, 
 10.5   or corporation liable for such damages, and against any person 
 10.6   who received payment for such damages, which action shall be 
 10.7   commenced and tried in the county in which such lien shall be 
 10.8   filed, unless ordered removed to another county by the court for 
 10.9   cause.  If the claimant shall prevail in such action, the court 
 10.10  may allow reasonable attorneys' fees and disbursements.  Such 
 10.11  action shall be commenced within two years after the filing of 
 10.12  such lien. 
 10.13     Sec. 10.  Minnesota Statutes 1996, section 514.980, 
 10.14  subdivision 2, is amended to read: 
 10.15     Subd. 2.  [MEDICAL ASSISTANCE AGENCY OR AGENCY.] "Medical 
 10.16  assistance agency" or "agency" means the state or any county 
 10.17  medical assistance agency that state department of human 
 10.18  services when it provides a medical assistance benefit. 
 10.19     Sec. 11.  Minnesota Statutes 1996, section 514.981, 
 10.20  subdivision 2, is amended to read: 
 10.21     Subd. 2.  [ATTACHMENT.] (a) A medical assistance lien 
 10.22  attaches and becomes enforceable against specific real property 
 10.23  as of the date when the following conditions are met: 
 10.24     (1) payments have been made by an agency for a medical 
 10.25  assistance benefit; 
 10.26     (2) notice and an opportunity for a hearing have been 
 10.27  provided under paragraph (b); 
 10.28     (3) a lien notice has been filed as provided in section 
 10.29  514.982; 
 10.30     (4) if the property is registered property, the lien notice 
 10.31  has been memorialized on the certificate of title of the 
 10.32  property affected by the lien notice; and 
 10.33     (5) all restrictions against enforcement have ceased to 
 10.34  apply. 
 10.35     (b) An agency may not file a medical assistance lien notice 
 10.36  until the medical assistance recipient and the recipient's 
 11.1   spouse or their legal representatives have been sent, by 
 11.2   certified or registered mail, written notice of the agency's 
 11.3   lien rights and there has been an opportunity for a hearing 
 11.4   under section 256.045.  In addition, the agency may not file a 
 11.5   lien notice unless the agency determines as medically verified 
 11.6   by the recipient's attending physician that the medical 
 11.7   assistance recipient cannot reasonably be expected to be 
 11.8   discharged from a medical institution and return home. 
 11.9      (c) An agency may not file a medical assistance lien notice 
 11.10  against real property while it is the home of the recipient's 
 11.11  spouse. 
 11.12     (d) An agency may not file a medical assistance lien notice 
 11.13  against real property that was the homestead of the medical 
 11.14  assistance recipient or the recipient's spouse when the medical 
 11.15  assistance recipient received medical institution services if 
 11.16  any of the following persons are lawfully residing in the 
 11.17  property: 
 11.18     (1) a child of the medical assistance recipient if the 
 11.19  child is under age 21 or is blind or permanently and totally 
 11.20  disabled according to the supplemental security income criteria; 
 11.21     (2) a child of the medical assistance recipient if the 
 11.22  child resided in the homestead for at least two years 
 11.23  immediately before the date the medical assistance recipient 
 11.24  received medical institution services, and the child provided 
 11.25  care to the medical assistance recipient that permitted the 
 11.26  recipient to live without medical institution services; or 
 11.27     (3) a sibling of the medical assistance recipient if the 
 11.28  sibling has an equity interest in the property and has resided 
 11.29  in the property for at least one year immediately before the 
 11.30  date the medical assistance recipient began receiving medical 
 11.31  institution services. 
 11.32     (e) A medical assistance lien applies only to the specific 
 11.33  real property described in the lien notice. 
 11.34     Sec. 12.  Minnesota Statutes 1996, section 514.982, 
 11.35  subdivision 1, is amended to read: 
 11.36     Subdivision 1.  [CONTENTS.] A medical assistance lien 
 12.1   notice must be dated and must contain: 
 12.2      (1) the full name, last known address, and social security 
 12.3   number of the medical assistance recipient and the full name, 
 12.4   address, and social security number of the recipient's spouse; 
 12.5      (2) a statement that medical assistance payments have been 
 12.6   made to or for the benefit of the medical assistance recipient 
 12.7   named in the notice, specifying the first date of eligibility 
 12.8   for benefits; 
 12.9      (3) a statement that all interests in real property owned 
 12.10  by the persons named in the notice may be subject to or affected 
 12.11  by the rights of the agency to be reimbursed for medical 
 12.12  assistance benefits; and 
 12.13     (4) the legal description of the real property upon which 
 12.14  the lien attaches, and whether the property is registered 
 12.15  property. 
 12.16     Sec. 13.  Minnesota Statutes 1996, section 514.982, 
 12.17  subdivision 2, is amended to read: 
 12.18     Subd. 2.  [FILING.] Any notice, release, or other document 
 12.19  required to be filed under sections 514.980 to 514.985 must 
 12.20  be recorded or filed in the office of the county recorder or 
 12.21  registrar of titles, as appropriate, in the county where the 
 12.22  real property is located.  Notwithstanding section 386.77, the 
 12.23  agency shall pay the applicable filing fee for any document 
 12.24  filed under sections 514.980 to 514.985.  The commissioner of 
 12.25  human services shall reimburse the county agency for filing fees 
 12.26  paid under this section.  An attestation, certification, or 
 12.27  acknowledgment is not required as a condition of filing.  Upon 
 12.28  filing of a medical assistance lien notice, the registrar of 
 12.29  titles shall record it on the certificate of title of each 
 12.30  parcel of property described in the lien notice.  The county 
 12.31  recorder of each county shall establish an index of medical 
 12.32  assistance lien notices, other than those that affect only 
 12.33  registered property, showing the names of all persons named in 
 12.34  the medical assistance lien notices filed in the county, 
 12.35  arranged alphabetically.  The index must be combined with the 
 12.36  index of state tax lien notices.  If the property described in 
 13.1   the medical assistance lien notice is registered property, the 
 13.2   registrar of titles shall record it on the certificate of title 
 13.3   for each parcel of property described in the lien notice.  If 
 13.4   the property described in the medical assistance lien notice is 
 13.5   abstract property, the recorder shall file the medical 
 13.6   assistance lien in the county's grantor-grantee indexes and any 
 13.7   tract indexes the county maintains for each parcel of property 
 13.8   described in the lien notice.  The recorder shall return 
 13.9   recorded medical assistance lien notices for abstract property 
 13.10  to the agency at no cost.  If the agency provides a duplicate 
 13.11  copy of a medical assistance lien notice for registered 
 13.12  property, the registrar of titles shall show the recording data 
 13.13  for the medical assistance lien notice on the copy and return it 
 13.14  to the agency at no cost.  The filing or mailing of any notice, 
 13.15  release, or other document under sections 514.980 to 514.985 is 
 13.16  the responsibility of the agency.  The agency shall send a copy 
 13.17  of the medical assistance lien notice by registered or certified 
 13.18  mail to each record owner and mortgagee of the real property.  
 13.19     Sec. 14.  Minnesota Statutes 1996, section 514.985, is 
 13.20  amended to read: 
 13.21     514.985 [AMOUNTS RECEIVED TO SATISFY LIEN.] 
 13.22     Amounts received by the state agency to satisfy a medical 
 13.23  assistance lien filed by the state agency must be deposited in 
 13.24  the state treasury and credited to the fund from which the 
 13.25  medical assistance payments were made.  Amounts received by a 
 13.26  county medical assistance agency to satisfy a medical assistance 
 13.27  lien filed by the county medical assistance agency must be 
 13.28  deposited in the county treasury and credited to the fund from 
 13.29  which the medical assistance payments were made forwarded to the 
 13.30  agency and deposited and credited as provided for in this 
 13.31  section. 
 13.32     Sec. 15.  Minnesota Statutes 1996, section 524.1-201, is 
 13.33  amended to read: 
 13.34     524.1-201 [GENERAL DEFINITIONS.] 
 13.35     Subject to additional definitions contained in the 
 13.36  subsequent articles which are applicable to specific articles or 
 14.1   parts, and unless the context otherwise requires, in chapters 
 14.2   524 and 525: 
 14.3      (2) "Application" means a written request to the registrar 
 14.4   for an order of informal probate or appointment under article 
 14.5   III, part 3. 
 14.6      (3) "Beneficiary," as it relates to trust beneficiaries, 
 14.7   includes a person who has any present or future interest, vested 
 14.8   or contingent, and also includes the owner of an interest by 
 14.9   assignment or other transfer and as it relates to a charitable 
 14.10  trust, includes any person entitled to enforce the trust. 
 14.11     (5) "Child" includes any individual entitled to take as a 
 14.12  child under law by intestate succession from the parent whose 
 14.13  relationship is involved and excludes any person who is only a 
 14.14  stepchild, a foster child, a grandchild or any more remote 
 14.15  descendant. 
 14.16     (6) "Claims" includes liabilities of the decedent whether 
 14.17  arising in contract or otherwise and liabilities of the estate 
 14.18  which arise after the death of the decedent including funeral 
 14.19  expenses and expenses of administration.  The term does not 
 14.20  include taxes, demands or disputes regarding title of a decedent 
 14.21  to specific assets alleged to be included in the estate, tort 
 14.22  claims, foreclosure of mechanic's liens, or to actions pursuant 
 14.23  to section 573.02. 
 14.24     (7) "Court" means the court or branch having jurisdiction 
 14.25  in matters relating to the affairs of decedents.  This court in 
 14.26  this state is known as the district court. 
 14.27     (8) "Conservator" means a person who is appointed by a 
 14.28  court to manage the estate of a protected person.  
 14.29     (9) "Descendant" of an individual means all of the 
 14.30  individual's descendants of all generations, with the 
 14.31  relationship of parent and child at each generation being 
 14.32  determined by the definition of child and parent contained in 
 14.33  this section. 
 14.34     (10) "Devise," when used as a noun, means a testamentary 
 14.35  disposition of real or personal property and when used as a 
 14.36  verb, means to dispose of real or personal property by will. 
 15.1      (11) "Devisee" means any person designated in a will to 
 15.2   receive a devise.  In the case of a devise to an existing trust 
 15.3   or trustee, or to a trustee on trust described by will, the 
 15.4   trust or trustee is the devisee and the beneficiaries are not 
 15.5   devisees. 
 15.6      (12) "Disability" means cause for a protective order as 
 15.7   described by section 525.54. 
 15.8      (13) "Distributee" means any person who has received or who 
 15.9   will receive property of a decedent from the decedent's personal 
 15.10  representative other than as a creditor or purchaser.  A 
 15.11  testamentary trustee is a distributee with respect to property 
 15.12  which the trustee has received from a personal representative 
 15.13  only to the extent of distributed assets or their increment 
 15.14  remaining in the trustee's hands.  A beneficiary of a 
 15.15  testamentary trust to whom the trustee has distributed property 
 15.16  received from a personal representative is a distributee of the 
 15.17  personal representative.  For purposes of this provision, 
 15.18  "testamentary trustee" includes a trustee to whom assets are 
 15.19  transferred by will, to the extent of the devised assets. 
 15.20     (14) "Estate" includes all of the property of the decedent, 
 15.21  trust, or other person whose affairs are subject to this chapter 
 15.22  as originally constituted and as it exists from time to time 
 15.23  during administration. 
 15.24     (16) "Fiduciary" includes personal representative, 
 15.25  guardian, conservator and trustee. 
 15.26     (17) "Foreign personal representative" means a personal 
 15.27  representative of another jurisdiction. 
 15.28     (18) "Formal proceedings" means those conducted before a 
 15.29  judge with notice to interested persons. 
 15.30     (20) "Guardian" means a person who has qualified as a 
 15.31  guardian of a minor or incapacitated person pursuant to 
 15.32  testamentary or court appointment, but excludes one who is 
 15.33  merely a guardian ad litem. 
 15.34     (21) "Heirs" means those persons, including the surviving 
 15.35  spouse, who are entitled under the statutes of intestate 
 15.36  succession to the property of a decedent. 
 16.1      (22) "Incapacitated person" is as described in section 
 16.2   525.54, other than a minor. 
 16.3      (23) "Informal proceedings" means those conducted by the 
 16.4   judge, the registrar, or the person or persons designated by the 
 16.5   judge for probate of a will or appointment of a personal 
 16.6   representative in accordance with sections 524.3-301 to 
 16.7   524.3-311. 
 16.8      (24) "Interested person" includes heirs, devisees, 
 16.9   children, spouses, creditors, beneficiaries and any others 
 16.10  having a property right in or claim against the estate of a 
 16.11  decedent, ward or protected person which may be affected by the 
 16.12  proceeding.  It also includes persons having priority for 
 16.13  appointment as personal representative, and other fiduciaries 
 16.14  representing interested persons.  The meaning as it relates to 
 16.15  particular persons may vary from time to time and must be 
 16.16  determined according to the particular purposes of, and matter 
 16.17  involved in, any proceeding. 
 16.18     (27) "Lease" includes an oil, gas, or other mineral lease. 
 16.19     (28) "Letters" includes letters testamentary, letters of 
 16.20  guardianship, letters of administration, and letters of 
 16.21  conservatorship. 
 16.22     (30) "Mortgage" means any conveyance, agreement or 
 16.23  arrangement in which property is used as security. 
 16.24     (31) "Nonresident decedent" means a decedent who was 
 16.25  domiciled in another jurisdiction at the time of death. 
 16.26     (32) "Organization" includes a corporation, government or 
 16.27  governmental subdivision or agency, business trust, estate, 
 16.28  trust, partnership or association, two or more persons having a 
 16.29  joint or common interest, or any other legal entity. 
 16.30     (35) "Person" means an individual, a corporation, an 
 16.31  organization, or other legal entity. 
 16.32     (36) "Personal representative" includes executor, 
 16.33  administrator, successor personal representative, special 
 16.34  administrator, and persons who perform substantially the same 
 16.35  function under the law governing their status.  "General 
 16.36  personal representative" excludes special administrator. 
 17.1      (37) "Petition" means a written request to the court for an 
 17.2   order after notice. 
 17.3      (38) "Proceeding" includes action at law and suit in equity.
 17.4      (39) "Property" includes both real and personal property or 
 17.5   any interest therein and means anything that may be the subject 
 17.6   of ownership. 
 17.7      (40) "Protected person" is as described in section 525.54, 
 17.8   subdivision 1. 
 17.9      (42) "Registrar" refers to the judge of the court or the 
 17.10  person designated by the court to perform the functions of 
 17.11  registrar as provided in section 524.1-307. 
 17.12     (43) "Security" includes any note, stock, treasury stock, 
 17.13  bond, debenture, evidence of indebtedness, certificate of 
 17.14  interest or participation in an oil, gas or mining title or 
 17.15  lease or in payments out of production under such a title or 
 17.16  lease, collateral trust certificate, transferable share, voting 
 17.17  trust certificate or, in general, any interest or instrument 
 17.18  commonly known as a security, or any certificate of interest or 
 17.19  participation, any temporary or interim certificate, receipt or 
 17.20  certificate of deposit for, or any warrant or right to subscribe 
 17.21  to or purchase, any of the foregoing. 
 17.22     (44) "Settlement," in reference to a decedent's estate, 
 17.23  includes the full process of administration, distribution and 
 17.24  closing. 
 17.25     (45) "Special administrator" means a personal 
 17.26  representative as described by sections 524.3-614 to 524.3-618. 
 17.27     (46) "State" includes any state of the United States, the 
 17.28  District of Columbia, the Commonwealth of Puerto Rico, and any 
 17.29  territory or possession subject to the legislative authority of 
 17.30  the United States. 
 17.31     (47) "Successor personal representative" means a personal 
 17.32  representative, other than a special administrator, who is 
 17.33  appointed to succeed a previously appointed personal 
 17.34  representative. 
 17.35     (48) "Successors" means those persons, other than 
 17.36  creditors, who are entitled to property of a decedent under the 
 18.1   decedent's will, this chapter or chapter 525.  "Successors" also 
 18.2   means a funeral director or county government that provides the 
 18.3   funeral and burial of the decedent, or a state or county agency 
 18.4   with a claim authorized under section 256B.15. 
 18.5      (49) "Supervised administration" refers to the proceedings 
 18.6   described in sections 524.3-501 to 524.3-505. 
 18.7      (51) "Testacy proceeding" means a proceeding to establish a 
 18.8   will or determine intestacy. 
 18.9      (53) "Trust" includes any express trust, private or 
 18.10  charitable, with additions thereto, wherever and however 
 18.11  created.  It also includes a trust created or determined by 
 18.12  judgment or decree under which the trust is to be administered 
 18.13  in the manner of an express trust.  "Trust" excludes other 
 18.14  constructive trusts, and it excludes resulting trusts, 
 18.15  conservatorships, personal representatives, trust accounts as 
 18.16  defined in chapter 528, custodial arrangements pursuant to 
 18.17  sections 149.11 to 149.14, 318.01 to 318.06, 527.21 to 527.44, 
 18.18  business trusts providing for certificates to be issued to 
 18.19  beneficiaries, common trust funds, voting trusts, security 
 18.20  arrangements, liquidation trusts, and trusts for the primary 
 18.21  purpose of paying debts, dividends, interest, salaries, wages, 
 18.22  profits, pensions, or employee benefits of any kind, and any 
 18.23  arrangement under which a person is nominee or escrowee for 
 18.24  another. 
 18.25     (54) "Trustee" includes an original, additional, or 
 18.26  successor trustee, whether or not appointed or confirmed by 
 18.27  court. 
 18.28     (55) "Ward" is as described in section 525.54, subdivision 
 18.29  1. 
 18.30     (56) "Will" includes codicil and any testamentary 
 18.31  instrument which merely appoints an executor or revokes or 
 18.32  revises another will. 
 18.33     Sec. 16.  Minnesota Statutes 1996, section 524.3-801, is 
 18.34  amended to read: 
 18.35     524.3-801 [NOTICE TO CREDITORS.] 
 18.36     (a) Unless notice has already been given under this 
 19.1   section, upon appointment of a general personal representative 
 19.2   in informal proceedings or upon the filing of a petition for 
 19.3   formal appointment of a general personal representative, notice 
 19.4   thereof, in the form prescribed by court rule, shall be given 
 19.5   under the direction of the court administrator by publication 
 19.6   once a week for two successive weeks in a legal newspaper in the 
 19.7   county wherein the proceedings are pending giving the name and 
 19.8   address of the general personal representative and notifying 
 19.9   creditors of the estate to present their claims within four 
 19.10  months after the date of the court administrator's notice which 
 19.11  is subsequently published or be forever barred, unless they are 
 19.12  entitled to further service of notice under paragraph (b) or (c).
 19.13     (b)(1) Within three months after:  (i) the date of the 
 19.14  first publication of the notice; or (ii) June 16, 1989, 
 19.15  whichever is later, the personal representative may determine, 
 19.16  in the personal representative's discretion, that it is or is 
 19.17  not advisable to conduct a reasonably diligent search for 
 19.18  creditors of the decedent who are either not known or not 
 19.19  identified.  If the personal representative determines that a 
 19.20  reasonably diligent search is advisable, the personal 
 19.21  representative shall conduct the search. 
 19.22     (2) If the notice is first published after June 16, 1989, 
 19.23  the personal representative shall, within three months after the 
 19.24  date of the first publication of the notice, serve a copy of the 
 19.25  notice upon each then known and identified creditor in the 
 19.26  manner provided in paragraph (c).  If the decedent or a 
 19.27  predeceased spouse of the decedent received assistance for which 
 19.28  a claim could be filed under section 246.53, 256B.15, 256D.16, 
 19.29  or 261.04, the personal representative shall serve a copy of the 
 19.30  notice on the commissioner of human services in the manner 
 19.31  provided in paragraph (c) on or before the date of the first 
 19.32  publication of the notice.  The copy of the notice served on the 
 19.33  commissioner of human services shall include the full name, date 
 19.34  of birth, and social security number of the decedent or the 
 19.35  predeceased spouse who received assistance for which a claim 
 19.36  could be filed under any of the sections listed in this 
 20.1   paragraph.  Notwithstanding any will or other instrument or law 
 20.2   to the contrary, except as allowed in this paragraph no property 
 20.3   subject to administration by the estate may be distributed by 
 20.4   the estate or the personal representative until 70 days after 
 20.5   the date the notice is served upon the commissioner, as provided 
 20.6   in paragraph (c) unless the local agency consents.  An affidavit 
 20.7   of service shall be prima facie evidence of service and, if it 
 20.8   contains a legal description of the affected real property, may 
 20.9   be filed or recorded in the office of the county recorder or 
 20.10  registrar of titles to establish compliance with the notice 
 20.11  requirement established in this paragraph.  This restriction on 
 20.12  distribution does not apply to the personal representative's 
 20.13  sale of real or personal property while the estate is open but 
 20.14  does apply to the net proceeds the estate receives from the 
 20.15  sale.  If notice was first published under the applicable 
 20.16  provisions of law under the direction of the court administrator 
 20.17  before June 16, 1989, and if a personal representative is 
 20.18  empowered to act at any time after June 16, 1989, the personal 
 20.19  representative shall, within three months after June 16, 1989, 
 20.20  serve upon the then known and identified creditors in the manner 
 20.21  provided in paragraph (c) a copy of the notice as published, 
 20.22  together with a supplementary notice requiring each of the 
 20.23  creditors to present any claim within one month after the date 
 20.24  of the service of the notice or be forever barred. 
 20.25     (3) Under this section, a creditor is "known" if:  (i) the 
 20.26  personal representative knows that the creditor has asserted a 
 20.27  claim that arose during the decedent's life against either the 
 20.28  decedent or the decedent's estate; or (ii) the creditor has 
 20.29  asserted a claim that arose during the decedent's life and the 
 20.30  fact is clearly disclosed in accessible financial records known 
 20.31  and available to the personal representative.  Under this 
 20.32  section, a creditor is "identified" if the personal 
 20.33  representative's knowledge of the name and address of the 
 20.34  creditor will permit service of notice to be made under 
 20.35  paragraph (c).  
 20.36     (c) The personal representative shall serve a copy of any 
 21.1   notice and any supplementary notice required by paragraph (b), 
 21.2   clause (1) or (2), upon each creditor of the decedent who is 
 21.3   then known to the personal representative and identified, except 
 21.4   a creditor whose claim has either been presented to the personal 
 21.5   representative or paid, either by delivery of a copy of the 
 21.6   required notice to the creditor, or by mailing a copy of the 
 21.7   notice to the creditor by certified, registered, or ordinary 
 21.8   first class mail addressed to the creditor at the creditor's 
 21.9   office or place of residence. 
 21.10     (d)(1) Effective for decedents dying on or after July 1, 
 21.11  1997, if the decedent or a predeceased spouse of the decedent 
 21.12  received assistance for which a claim could be filed under 
 21.13  section 246.53, 256B.15, 256D.16, or 261.04, the personal 
 21.14  representative or the attorney for the personal representative 
 21.15  shall serve the commissioner of human services with notice in 
 21.16  the manner prescribed in paragraph (c) as soon as practicable 
 21.17  after the appointment of the personal representative.  The 
 21.18  notice must state the decedent's full name, date of birth, and 
 21.19  social security number and, to the extent then known after 
 21.20  making a reasonably diligent inquiry, the full name, date of 
 21.21  birth, and social security number for each of the decedent's 
 21.22  predeceased spouses.  The notice may also contain a statement 
 21.23  that, after making a reasonably diligent inquiry, the personal 
 21.24  representative has determined that the decedent did not have any 
 21.25  predeceased spouses or that the personal representative has been 
 21.26  unable to determine one or more of the previous items of 
 21.27  information for a predeceased spouse of the decedent.  A copy of 
 21.28  the notice to creditors must be attached to and be a part of the 
 21.29  notice to the commissioner.  
 21.30     (2) Notwithstanding a will or other instrument or law to 
 21.31  the contrary, except as allowed in this paragraph, no property 
 21.32  subject to administration by the estate may be distributed by 
 21.33  the estate or the personal representative until 70 days after 
 21.34  the date the notice is served on the commissioner as provided in 
 21.35  paragraph (c), unless the local agency consents as provided for 
 21.36  in clause (6).  This restriction on distribution does not apply 
 22.1   to the personal representative's sale of real or personal 
 22.2   property, but does apply to the net proceeds the estate receives 
 22.3   from these sales.  The personal representative, or any person 
 22.4   with personal knowledge of the facts, may provide an affidavit 
 22.5   containing the description of any real or personal property 
 22.6   affected by this paragraph and stating facts showing compliance 
 22.7   with this paragraph.  If the affidavit describes real property, 
 22.8   it may be filed or recorded in the office of the county recorder 
 22.9   or registrar of titles for the county where the real property is 
 22.10  located.  This paragraph does not apply to proceedings under 
 22.11  sections 524.3-1203 and 525.31, or when a duly authorized agent 
 22.12  of a county is acting as the personal representative of the 
 22.13  estate. 
 22.14     (3) At any time before an order or decree is entered under 
 22.15  section 524.3-1001 or 524.3-1002, or a closing statement is 
 22.16  filed under section 524.3-1003, the personal representative or 
 22.17  the attorney for the personal representative may serve an 
 22.18  amended notice on the commissioner to add variations or other 
 22.19  names of the decedent or a predeceased spouse named in the 
 22.20  notice, the name of a predeceased spouse omitted from the 
 22.21  notice, to add or correct the date of birth or social security 
 22.22  number of a decedent or predeceased spouse named in the notice, 
 22.23  or to correct any other deficiency in a prior notice.  The 
 22.24  amended notice must state the decedent's name, date of birth, 
 22.25  and social security number, the case name, case number, and 
 22.26  district court in which the estate is pending, and the date the 
 22.27  notice being amended was served on the commissioner.  If the 
 22.28  amendment adds the name of a predeceased spouse omitted from the 
 22.29  notice, it must also state that spouse's full name, date of 
 22.30  birth, and social security number.  The amended notice must be 
 22.31  served on the commissioner in the same manner as the original 
 22.32  notice.  Upon service, the amended notice relates back to and is 
 22.33  effective from the date the notice it amends was served, and the 
 22.34  time for filing claims arising under section 246.53, 256B.15, 
 22.35  256D.16 or 261.04 is extended by 60 days from the date of 
 22.36  service of the amended notice.  Claims filed during the 60-day 
 23.1   period are undischarged and unbarred claims, may be prosecuted 
 23.2   by the entities entitled to file those claims in accordance with 
 23.3   section 524.3-1004, and the limitations in section 524.3-1006 do 
 23.4   not apply.  The personal representative or any person with 
 23.5   personal knowledge of the facts may provide and file or record 
 23.6   an affidavit in the same manner as provided for in clause (1). 
 23.7      (4) Within one year after the date an order or decree is 
 23.8   entered under section 524.3-1001 or 524.3-1002 or a closing 
 23.9   statement is filed under section 524.3-1003, any person who has 
 23.10  an interest in property that was subject to administration by 
 23.11  the estate may serve an amended notice on the commissioner to 
 23.12  add variations or other names of the decedent or a predeceased 
 23.13  spouse named in the notice, the name of a predeceased spouse 
 23.14  omitted from the notice, to add or correct the date of birth or 
 23.15  social security number of a decedent or predeceased spouse named 
 23.16  in the notice, or to correct any other deficiency in a prior 
 23.17  notice.  The amended notice must be served on the commissioner 
 23.18  in the same manner as the original notice and must contain the 
 23.19  information required for amendments under clause (3).  If the 
 23.20  amendment adds the name of a predeceased spouse omitted from the 
 23.21  notice, it must also state that spouse's full name, date of 
 23.22  birth, and social security number.  Upon service, the amended 
 23.23  notice relates back to and is effective from the date the notice 
 23.24  it amends was served.  If the amended notice adds the name of an 
 23.25  omitted predeceased spouse or adds or corrects the social 
 23.26  security number or date of birth of the decedent or a 
 23.27  predeceased spouse already named in the notice, then, 
 23.28  notwithstanding any other laws to the contrary, claims against 
 23.29  the decedent's estate on account of those persons resulting from 
 23.30  the amendment and arising under section 246.53, 256B.15, 
 23.31  256D.16, or 261.04 are undischarged and unbarred claims, may be 
 23.32  prosecuted by the entities entitled to file those claims in 
 23.33  accordance with section 524.3-1004, and the limitations in 
 23.34  section 524.3-1006 do not apply.  The person filing the 
 23.35  amendment or any other person with personal knowledge of the 
 23.36  facts may provide and file or record an affidavit describing 
 24.1   affected real or personal property in the same manner as clause 
 24.2   (1). 
 24.3      (5) After one year from the date an order or decree is 
 24.4   entered under section 524.3-1001 or 524.3-1002, or a closing 
 24.5   statement is filed under section 524.3-1003, no error, omission, 
 24.6   or defect of any kind in the notice to the commissioner required 
 24.7   under this paragraph or in the process of service of the notice 
 24.8   on the commissioner, or the failure to serve the commissioner 
 24.9   with notice as required by this paragraph, makes any 
 24.10  distribution of property by a personal representative void or 
 24.11  voidable.  The distributee's title to the distributed property 
 24.12  shall be free of any claims based upon a failure to comply with 
 24.13  this paragraph. 
 24.14     (6) The local agency may consent to a personal 
 24.15  representative's request to distribute property subject to 
 24.16  administration by the estate to distributees during the 70-day 
 24.17  period after service of notice on the commissioner.  The local 
 24.18  agency may grant or deny the request in whole or in part and may 
 24.19  attach conditions to its consent as it deems appropriate.  When 
 24.20  the local agency consents to a distribution, it shall give the 
 24.21  estate a written certificate evidencing its consent to the early 
 24.22  distribution of assets at no cost.  The certificate must include 
 24.23  the name, case number, and district court in which the estate is 
 24.24  pending, the name of the local agency, describe the specific 
 24.25  real or personal property to which the consent applies, state 
 24.26  that the local agency consents to the distribution of the 
 24.27  specific property described in the consent during the 70-day 
 24.28  period following service of the notice on the commissioner, 
 24.29  state that the consent is unconditional or list all of the terms 
 24.30  and conditions of the consent, be dated, and may include other 
 24.31  contents as may be appropriate.  The certificate must be signed 
 24.32  by the director of the local agency or the director's designees 
 24.33  and is effective as of the date it is dated unless it provides 
 24.34  otherwise.  The signature of the director or the director's 
 24.35  designee does not require any acknowledgment.  The certificate 
 24.36  shall be prima facie evidence of the facts it states, may be 
 25.1   attached to or combined with a deed or any other instrument of 
 25.2   conveyance and, when so attached or combined, shall constitute a 
 25.3   single instrument.  If the certificate describes real property, 
 25.4   it shall be accepted for recording or filing by the county 
 25.5   recorder or registrar of titles in the county in which the 
 25.6   property is located.  If the certificate describes real property 
 25.7   and is not attached to or combined with a deed or other 
 25.8   instrument of conveyance, it shall be accepted for recording or 
 25.9   filing by the county recorder or registrar of titles in the 
 25.10  county in which the property is located.  The certificate 
 25.11  constitutes a waiver of the 70-day period provided for in clause 
 25.12  (2) with respect to the property it describes and is prima facie 
 25.13  evidence of service of notice on the commissioner.  The 
 25.14  certificate is not a waiver or relinquishment of any claims 
 25.15  arising under section 246.53, 256B.15, 256D.16, or 261.04, and 
 25.16  does not otherwise constitute a waiver of any of the personal 
 25.17  representative's duties under this paragraph.  Distributees who 
 25.18  receive property pursuant to a consent to an early distribution 
 25.19  shall remain liable to creditors of the estate as provided for 
 25.20  by law. 
 25.21     (7) All affidavits provided for under this paragraph: 
 25.22     (i) shall be provided by persons who have personal 
 25.23  knowledge of the facts stated in the affidavit; 
 25.24     (ii) may be filed or recorded in the office of the county 
 25.25  recorder or registrar of titles in the county in which the real 
 25.26  property they describe is located for the purpose of 
 25.27  establishing compliance with the requirements of this paragraph; 
 25.28  and 
 25.29     (iii) are prima facie evidence of the facts stated in the 
 25.30  affidavit. 
 25.31     (8) This paragraph applies to the estates of decedents 
 25.32  dying on or after July 1, 1997.  Clause (5) also applies with 
 25.33  respect to all notices served on the commissioner of human 
 25.34  services before July 1, 1997, under Laws 1996, chapter 451, 
 25.35  article 2, section 55.  All notices served on the commissioner 
 25.36  before July 1, 1997, pursuant to Laws 1996, chapter 451, article 
 26.1   2, section 55, shall be deemed to be legally sufficient for the 
 26.2   purposes for which they were intended, notwithstanding any 
 26.3   errors, omissions or other defects. 
 26.4      Sec. 17.  Minnesota Statutes 1996, section 524.3-1004, is 
 26.5   amended to read: 
 26.6      524.3-1004 [LIABILITY OF DISTRIBUTEES TO CLAIMANTS.] 
 26.7      After assets of an estate have been distributed and subject 
 26.8   to section 524.3-1006, an undischarged claim not barred may be 
 26.9   prosecuted in a proceeding against one or more distributees.  If 
 26.10  a personal representative closes an estate without giving notice 
 26.11  as required under section 524.3-801, paragraph (d), 
 26.12  notwithstanding any other law to the contrary, claims arising 
 26.13  under sections 246.53, 256B.15, 256D.16, and 261.04 shall be 
 26.14  undischarged and unbarred claims.  The governmental entities 
 26.15  entitled to file claims under those sections shall be entitled 
 26.16  to prosecute their claims against distributees as provided for 
 26.17  in this section, and the limitations in section 524.3-1006 shall 
 26.18  not apply.  No distributee shall be liable to claimants for 
 26.19  amounts in excess of the value of the distributee's distribution 
 26.20  as of the time of distribution.  As between distributees, each 
 26.21  shall bear the cost of satisfaction of unbarred claims as if the 
 26.22  claim had been satisfied in the course of administration.  Any 
 26.23  distributee who shall have failed to notify other distributees 
 26.24  of the demand made by the claimant in sufficient time to permit 
 26.25  them to join in any proceeding in which the claim was asserted 
 26.26  against the first distributee loses the right of contribution 
 26.27  against other distributees.  
 26.28     Sec. 18.  Minnesota Statutes 1996, section 524.3-1201, is 
 26.29  amended to read: 
 26.30     524.3-1201 [COLLECTION OF PERSONAL PROPERTY BY AFFIDAVIT.] 
 26.31     (a) Thirty days after the death of a decedent, (i) any 
 26.32  person indebted to the decedent, (ii) any person having 
 26.33  possession of tangible personal property or an instrument 
 26.34  evidencing a debt, obligation, stock or chose in action 
 26.35  belonging to the decedent, or (iii) any safe deposit company, as 
 26.36  defined in section 55.01, controlling the right of access to 
 27.1   decedent's safe deposit box shall make payment of the 
 27.2   indebtedness or deliver the tangible personal property or an 
 27.3   instrument evidencing a debt, obligation, stock or chose in 
 27.4   action or deliver the entire contents of the safe deposit box to 
 27.5   a person claiming to be the successor of the decedent, or a 
 27.6   state or county agency with a claim authorized by section 
 27.7   256B.15, upon being presented a certified death certificate of 
 27.8   the decedent and an affidavit, in duplicate, made by or on 
 27.9   behalf of the successor stating that: 
 27.10     (1) the value of the entire probate estate, wherever 
 27.11  located, including specifically any contents of a safe deposit 
 27.12  box, less liens and encumbrances, does not exceed $20,000; 
 27.13     (2) 30 days have elapsed since the death of the decedent 
 27.14  or, in the event the property to be delivered is the contents of 
 27.15  a safe deposit box, 30 days have elapsed since the filing of an 
 27.16  inventory of the contents of the box pursuant to section 55.10, 
 27.17  paragraph (h); 
 27.18     (3) no application or petition for the appointment of a 
 27.19  personal representative is pending or has been granted in any 
 27.20  jurisdiction; and 
 27.21     (4) the claiming successor is entitled to payment or 
 27.22  delivery of the property. 
 27.23     (b) A transfer agent of any security shall change the 
 27.24  registered ownership on the books of a corporation from the 
 27.25  decedent to the successor or successors upon the presentation of 
 27.26  an affidavit as provided in subsection (a). 
 27.27     (c) The claiming successor or state or county agency shall 
 27.28  disburse the proceeds collected under this section to any person 
 27.29  with a superior claim under section 524.2-403 or 524.3-805. 
 27.30     (d) A motor vehicle registrar shall issue a new certificate 
 27.31  of title in the name of the successor upon the presentation of 
 27.32  an affidavit as provided in subsection (a). 
 27.33     (e) The person controlling access to decedent's safe 
 27.34  deposit box need not open the box or deliver the contents of the 
 27.35  box if: 
 27.36     (1) the person has received notice of a written or oral 
 28.1   objection from any person or has reason to believe that there 
 28.2   would be an objection; or 
 28.3      (2) the lessee's key or combination is not available.