Notice at Death; Payment of Debts, Taxes and Administration Expenses of Settlor's Estate. At the Settlor's death, notice of death shall be given by the Trustee in the manner set forth in Title 58 of the Oklahoma Statutes. The just debts, taxes and expenses of administration of the Trust shall be paid as follows: Subject to any priority liability for payment of the expenses of final illness, funeral, burial, professional fees and taxes which the Trust may have, to the extent decedent’s probate estate is unable to do so and upon presentment of proof of claim satisfactory to the Trustee, the Trustee is hereby authorized (but not directed) to lend to the personal representative of the decedent’s probate estate from Trust Property to pay any or all non-tax debts and expenses which are or become obligations of the decedent’s non-Trust estate, if there is reasonable evidence (as the Trustee shall determine in his sole discretion) that the debt or expense is actually owed and the claim for payment is timely filed in the probate proceeding as set forth at 58 Okla. Stat. §333, subject to the following: Only as a last recourse shall liability for payment of any estate or generation-skipping transfer taxes, decedent’s debts, the costs of final illness, funeral and burial, or any of the expenses of administration which are or shall become obligations of Settlor’s probate, non-probate or Trust estates (including, but not limited to, professional fees and all costs of distribution) be apportioned against any Qualified Plan (as that term is defined elsewhere in this Agreement). All such liability shall first be apportioned wholly to all other probate, non-probate and Trust Property in the following order: first, to any probate and non-probate property and Trust Property with regard to which no available estate tax credit or generation-skipping transfer tax exclusion has been applied, or marital or charitable deduction has been claimed; second, to any probate or non-probate property, or Trust Property, with regard to which any available estate tax credit has been applied, but to which no generation-skipping transfer tax exclusion has been applied; third, to any probate or non-probate property, or Trust Property, with regard to which a marital deduction has been claimed; fourth, to any probate or non-probate property, or Trust Property, with regard to which any charitable deduction has been claimed; and finally, to any probate or non-probate property, or Trust Property, with regard to which a generation-skipping transfer tax exclusion has been applied.
