Full vs. Limited IAEA Authority
The Independent Administration of Estates Act lets a personal representative handle most estate decisions without going back to court — but only at the level of authority the court grants. Here's what changes between the two.
What IAEA actually does.
California's Independent Administration of Estates Act (Probate Code §§10400–10592) lets a personal representative take most actions during estate administration without first obtaining a court order. Without IAEA, every meaningful decision — selling a car, paying a creditor, hiring a contractor — would require its own petition, hearing, and order.
IAEA is requested in the original Petition for Probate. The court grants either full authority or limited authority, and that grant is reflected in the Order for Probate and on the face of the Letters. The difference between the two is mostly about real estate.
What Full IAEA Allows
Full authority lets the PR sell real property without going to court for confirmation. Sales close under Notice of Proposed Action — typically a 15-day window for interested parties to object — instead of through a noticed hearing with overbid.
- Sell real property without prior court confirmation
- List, accept offers, and close under Notice of Proposed Action
- Borrow against, lease, or grant options on real property
- Settle claims against the estate
- Distribute personal property to beneficiaries
- Operate a decedent's business for limited periods
- Pay creditor claims without separate court order
What Limited IAEA Allows
Limited authority covers ordinary administration but explicitly excludes selling, exchanging, or borrowing against real property. Those actions require a noticed hearing and court confirmation — the traditional probate sale process.
- Manage and preserve estate assets
- Pay routine estate expenses (utilities, insurance, taxes)
- Settle claims under modest dollar thresholds
- Sell personal property of limited value
- Lease real property short-term in the ordinary course
- Engage professionals (attorneys, brokers, appraisers)
What stays in front of the judge under limited authority.
With limited authority, the most consequential estate transactions — especially anything involving real estate — go through the traditional probate sale process: petition, hearing, and order confirming the sale, with the open-court overbid that comes with it.
Listed, marketed, and confirmed at hearing. Subject to the 90% rule, overbid procedures, and court order confirming sale.
Requires petition and court order. Cannot encumber estate real property under limited authority alone.
Brokerage agreements beyond statutory limits require court approval under limited authority.
Compromises above the statutory threshold require noticed motion and order.
Final distribution requires court order on the petition for final distribution, regardless of authority level.
Reading the Order for Probate.
Personal representatives often aren't certain which authority they were granted until a broker or title company asks. The answer is on the face of the documents the court issued at appointment.
- 1Look at the Order for Probate (or Letters of Administration)
- 2Find the box or paragraph addressing IAEA authority
- 3Look for the words 'full authority' or 'limited authority'
- 4If the order is silent, default is no IAEA authority — full court supervision
- 5Authority can be expanded later by petition and noticed hearing
Limited authority isn't always a downgrade.
Heirs with conflicting interests. When beneficiaries disagree about whether to sell, what price is acceptable, or which broker to use, the confirmation hearing becomes a feature rather than a friction. Court oversight insulates the PR from later claims of breach of fiduciary duty.
Estates with significant real estate value. On a high-value property, the open-court overbid can produce a higher final price than a NOPA sale would, since the hearing itself is a marketing event for active probate buyers.
Bond requirements. Full authority typically increases the required bond. For estates where bond cost matters and real property won't be sold, limited authority can be the more economical posture.
First-time PRs facing complex assets. The court hearing forces a structured review of the transaction and gives the PR an order to point to if questioned years later. For some representatives, that's worth the additional time.
Probate Sale Process in California
The full step-by-step from Petition for Probate through close, including how the IAEA path and the confirmation path diverge after offer acceptance.
Not sure which authority your Letters grant?
A 15-minute call — or a quick look at the Order for Probate — usually settles it. We work with probate counsel daily and can confirm what authority you have and what it means for the property in question.