Sec. 10. (a) If the personal representative of a deceased transferor's probate estate commences a separate proceeding under this chapter and recovers all or part of the value of the nonprobate transfer from the nonprobate transferees, the personal representative must:

(1) include the value in the inventory of the deceased transferor's probate estate; and

(2) pay or distribute the value as the personal representative would pay or distribute other assets of the deceased transferor's probate estate.

(b) If:

(1) the personal representative of a deceased transferor's probate estate declines or fails to commence a proceeding under this chapter after receiving written demand;

(2) the person making the written demand commences a timely and proper action under this chapter; and

(3) the person making the written demand recovers all or part of the value of the nonprobate transfer from the nonprobate transferees;

the person making the written demand may retain the recovered value without remitting it to the personal representative of the deceased transferor's probate estate.

(c) If one (1) or more claimants of the deceased transferor's estate intervenes in the separate proceeding, the court shall enter an order allocating the recovered value among the plaintiff and other claimants according to the priorities of their claims in the deceased transferor's estate, and allow the plaintiff to retain plaintiff's costs and reasonable attorney's fees from the recovered value.

(d) Any claimant that recovers assets under this section must file a satisfaction or partial satisfaction of the claimant's claim in the deceased transferor's probate estate to the extent of the recovered value within thirty (30) days after the recovery.

As added by P.L.163-2018, SEC.22.