§ 633.424

633.424 Contingent claims. Contingent claims which cannot be allowed as absolute debts shall, nevertheless, be filed in the court and proved. If allowed as a contingent claim, the order of allowance shall statethe nature of the contingency. If such claim shall become absolute before distribution of theestate, it shall be paid in the same manner as absolute claims of the same class. In all othercases, the court may provide for the payment of contingent claims in any one of the followingmethods: 1. The creditor and personal representative may determine, by agreement, arbitration, or compromise, the value of the claim, according to its probable present worth, and uponapproval thereof by the court, the contingent claim may be allowed and paid in the samemanner as an absolute claim. 2. The court may order the personal representative to make distribution of the estate but to retain sufficient funds to pay the claim if and when the same becomes absolute. However,for this purpose, the estate shall not be kept open longer than two years after distributionof the remainder of the estate. If the contingent claim has not become absolute within thattime, distribution shall be made to the

state shall not be kept open longer than two years after distributionof the remainder of the estate. If the contingent claim has not become absolute within thattime, distribution shall be made to the distributees of the funds so retained, after payingany costs and expenses accruing during such period. The distributees shall be liable to thecreditor to the extent of the estate received by them, if the contingent claim becomes absoluteafter distribution. When distribution is so made to distributees, the court may require thedistributees to give bond for the satisfaction of their liability to the contingent creditor. 3. The court may order distribution of the estate as though the contingent claim did not exist, but the distributees shall be liable to the creditor to the extent of the estate received bythem, if the contingent claim becomes absolute after distribution. The court may require thedistributees to give bond for the performance of their liability to the contingent creditor. 4. Such other method as the court may order.[C51, §1365; R60, §2397; C73, §2414; C97, §3343; C24, 27, 31, 35, 39, §11965; C46, 50, 54, 58, 62, §635.61; C66, 71, 73, 75, 77, 79, 81, §633.424] 2020 Acts, ch

ch other method as the court may order.[C51, §1365; R60, §2397; C73, §2414; C97, §3343; C24, 27, 31, 35, 39, §11965; C46, 50, 54, 58, 62, §635.61; C66, 71, 73, 75, 77, 79, 81, §633.424] 2020 Acts, ch 1063, §346 Sat Dec 23 11:25:56 2023 Iowa Code 2024, Section 633.424 (37, 1)