RULE 95

SELLING AND ENCUMBERING PROPERTY OF WARD

Sec. 1. Petition of guardian for leave to sell or encumber estate.
- When the income of an estate under guardianship is insufficient to maintain
the ward and his family, or to maintain and educate the ward when a minor, or
when it appears that it is for the benefit of the ward that his real estate or
some part thereof be sold, or mortgaged or otherwise encumbered, and the
proceeds thereof put out at interest, or invested in some productive security,
or in the improvement or security of other real estate of the ward, the
guardian may present a verified petition to the court by which he was
appointed setting forth such facts, and praying that an order issue
authorizing the sale or encumbrance.chanrobles virtualawlibrary

Sec. 2. Order to show cause thereupon. - If it seems probable that such

sale or encumbrance is necessary, or would be beneficial to the ward, the
court shall make an order directing the next of kin of the ward, and all
persons interested in the estate, to appear at a reasonable time and place
therein specified to show cause why the prayer of the petition should not be
granted.

Sec. 3. Hearing on return of order; Costs. - At the time and place

designated in the order to show cause, the court shall hear the proofs and
allegations of the petitioner and next of kin, and other persons interested,
together with their witnesses, and grant or refuse the prayer of the petition
as the best interests of the ward require. The court shall make such order as
to costs of the hearing as may be just.

Sec. 4.Contents of order for sale or encumbrance, and how long

effective; Bond. - If, after full examination, it appears that it is
necessary, or would be beneficial to the ward, to sell or encumber the estate,
or some portion of it, the court shall order such sale or encumbrance and that
the proceeds thereof be expended for the maintenance of the ward and his
family, or the education of the ward, if a minor, or for the putting of the
same out at interest, or the investment of the same as the circumstances may
require. The order shall specify the causes why the sale or encumbrance is
necessary or beneficial, and may direct that estate ordered sold be disposed
of at either public or private sale, subject to such conditions as to the time
and manner of payment, and security where a part of the payment is deferred,
as in the discretion of the court are deemed most beneficial to the ward. The
original bond of the guardian shall stand as security for the proper
appropriation of the proceeds of the sale, but the judge may, if deemed
expedient, require an additional bond as a condition for the granting of the
order of sale. No order of sale granted in pursuance of this section shall
continue in force more than one (1) year after granting the same, without a
sale being had.

Sec. 5. Court may order investment of proceeds and direct

management of estate. - The court may authorize and require the guardian
to invest the proceeds of sales or encumbrances, and any other of his ward's
money in his hands, in real estate or otherwise, as shall be for the best
interest of all concerned, and may make such other orders for the management,
investment, and disposition of the estate and effects, as circumstances may
require.