2.  Court must determine PR managed the estate in compliance with the Code.  PC § 241  EC § 352.002

3.  Inclusions:  5% of sums received in cash ▪ Sold assets to raise money to pay debts plus  5% of sums paid out in cash ▪ Paid debts

4.  Exclusions:  Cash on hand  Payments to heirs and beneficiaries  Collecting bank accounts, CDs, etc.  Collecting life insurance proceeds

5.  Limitation:  Total compensation cannot exceed 5% of the gross fair market value of the estate.

6.  Exceptions (court may grant more than default compensation): ▪ PC § 241 ▪ EC § 352.003  PR managing a business, farm, ranch, or factory.  Statutory compensation determined to be “unreasonably low.”

7.  Exceptions (court may grant less compensation): ▪ PC § 241 ▪ EC § 352.004  PR failed to manage estate prudently.  PR removed from office.

8.  Testator can determine amount:  No compensation  A flat fee  A “reasonable” fee  A method for determining the fee

9.  Stanley v. Henderson (p. 167)  Lee v. Lee (p. 169)  Brown v. Traylor (p. 178)