Future Business Leaders of America (FBLA) Business Law Practice Exam

What does it mean to be intestate?

1. To have a will

2. To be without a will

3. To contest a will

4. To manage an estate

The correct answer is: To be without a will

Being intestate means to be without a will at the time of one's death. When an individual dies intestate, their assets and estate are distributed according to state laws rather than according to their personal wishes, as would have been expressed in a will. Intestacy laws vary by jurisdiction, but they generally prioritize distributing assets to the next of kin or relatives in a predetermined order. This can lead to outcomes that the deceased may not have preferred, highlighting the importance of creating a will to ensure control over how one's estate is managed. In contrast, having a will ensures that a person’s wishes regarding their assets and beneficiaries are legally recognized and carried out. Contesting a will involves legal disputes about the validity or terms of an existing will, rather than situations where no will exists. Managing an estate encompasses the administration of both testate and intestate estates, including handling debts, taxes, and distribution of assets, but does not specifically address the individual's will status.