The Estate of Clint Wallace v. NewRez, LLC

This appeal arises from the trial court’s decision to allow expenses and claims against an insolvent estate to have priority over a recorded deed of trust to the proceeds of the court-ordered sale of the decedent’s encumbered real property. We hold that the statutes governing the administration of insolvent estates do not affect amounts due under a perfected deed of trust. Accordingly, proceeds from the sale of decedent’s real property must first be used to satisfy the deed of trust. Any remaining surplus is available for distribution in accordance with Tennessee Code Annotated section 30-2-317. The judgment of the probate court is reversed, and this matter is remanded for further proceedings consistent with this Opinion.