Digital Assets: Part of your Estate Assets
In Oklahoma, digital assets are becoming increasingly important Oklahoma probate courts have evolved with the times to accommodate these assets. As such, digital assets are routinely accounted for and handled in an estate whether you choose to pass your assets via will, trust, joint ownership, or intestate.
Digital assets often include such things as online accounts, cryptocurrencies, digital files such as photos or documents stored online, digital art, social media profiles, email accounts, and more. This article discusses Oklahoma law and how it treats your digital assets after death.
Oklahoma Fiduciary Access to Digital Assets
Under Oklahoma law, an executor or administrator of an estate has the power, when so authorized, to take control of, conduct, continue, or terminate any accounts of a deceased person on any social networking website, any microblogging or short message service website or any e-mail service websites. (Okla. Stat. tit. 58 § 269.)
Oklahoma has also enacted the Oklahoma Fiduciary Access to Digital Assets Act, currently HB 3711. This set of Oklahoma laws addresses the management and access of digital assets by fiduciaries, such as executors, trustees, agents under a power of attorney, and guardians, after the owner’s death or during the owner’s incapacity. The law grants fiduciaries the legal authority to manage and access the digital assets of a deceased or incapacitated individual, subject to certain conditions and limitations. In order to do so, you must first grant authorization to the fiduciary via will, trust, power of attorney, or other legal document. If no such authorization exists, fiduciaries must comply with the terms of service, privacy policies, and applicable laws of the digital service providers.
The fiduciary must provide notice to digital service providers informing them of their authority to access and manage digital assets. Providers may require additional documentation or verification before granting access to accounts or data.
Your fiduciary may access, control, modify, transfer, or delete digital assets as necessary to carry out their fiduciary duties, administer the estate or trust, pay debts and expenses, distribute assets to beneficiaries, and fulfill the deceased or incapacitated person’s wishes.
Oklahoma law provides legal immunity to digital service providers who comply with fiduciary requests for access to digital assets in good faith. Fiduciaries are also protected from liability when acting in accordance with the law and the terms of their fiduciary duties. A court may intervene when disputes arise or additional guidance is needed.
Practical Issues in Handling and Management
A fiduciary’s first step in handling digital assets is to identify and inventory ass digital assets. This may involve listing all relevant digital accounts, passwords, and access information, as well as identifying any valuable digital assets such as cryptocurrency holdings or intellectual property rights associated with digital content. This can be challenging, especially if you fail to leave clear instructions and access information. Consult with a Muskogee estate planning attorney to update your current estate plan documents to include this information and instructions regarding your digital assets.
Compliance With Service Providers
Some digital service providers have specific terms of service or policies regarding access to accounts after death. You may wish to review these terms and comply with any requirements for authorization or consent to access and manage digital assets. The Oklahoma Fiduciary Access to Digital Assets Act provides a legal framework for accessing and managing digital assets with proper authorization.
Probate Court and Maintaining Privacy
Oklahoma probate courts prioritize protecting the privacy and security of digital assets. This includes safeguarding sensitive information, such as personal data, financial records, and communications stored in digital accounts. Executors and personal representatives must handle digital assets responsibly and comply with data protection laws.
Distribution of Digital Assets
Digital assets may be transferred or distributed according to the deceased’s estate plan, will, or trust document. This may involve transferring ownership of digital accounts, closing accounts, transferring digital files, or distributing digital assets to beneficiaries as specified in the estate plan.
Documentation and Record-Keeping
Proper documentation and record-keeping are crucial when handling digital assets in probate court. This includes maintaining records of digital asset inventories, access authorizations, communications with digital service providers, asset valuations, and distribution plans.
It’s essential for individuals to include digital assets in their estate planning documents and communicate their wishes regarding digital asset management to their chosen executor or personal representative. Keeping digital asset information up to date and accessible can streamline the probate process and ensure that digital assets are handled appropriately according to the deceased’s intentions and legal requirements. Consult with a Muskogee estate planning attorney today.
Low-cost Strategy Session With a Muskogee Estate Planning Attorney
Contact the Muskogee lawyer at the Wirth Law Office – Muskogee for an initial strategy consultation today at (918) 913-0725. If you prefer to contact us by email, use the form at the top of this page.
