For my inaugural column for the Buffalo Law Journal, I decided to deal with an issue in the estates area, although future columns will address a broad array of legal matters of interest to the bar in this region.

Today's issue attempts to answer the deceptively simple question: What's new?

The short answer is that there have been significant changes in New York State's exempt property law, which in effect keeps new kinds of property, as well as a higher-dollar value of property, from being included in a decedent's estate. The right to these items vests in the surviving spouse and children under 21, and the property doesn't require probate or administration. Practitioners need to be aware of the new limits in order to better serve their clients.

As of Jan. 1, New York State's family rights statute (EPTL Section 5-3.1) was changed in ways that better reflect today's economic reality and the expanding litany of electronic property we all own in one form or another. In brief, the changes expand the itemized list of assets that are exempt to a surviving spouse under what was once, and even then archaically, called the "widow's exemption." They increase the threshold value of exempt property for the first time in nearly two decades. They add a 21st century recognition of the explosion of electronic devices in our lives. And finally, they allow the surviving spouse and children under age 21 unequivocal first claim to certain items even if the items exceed the statutorily set dollar values.

That's a hefty lift by any measure but, then again, society has changed radically since the last revisions to the exempt property law in 1992. In the highly unlikely event that all of the new combinations of exempt property come into play in just one estate, the new law would raise from about $56,000 to nearly $93,000 the total value of property that could be set off to the surviving spouse or children under 21, and thus exempt from probate or administration proceedings. That threshold alone is a belated recognition of the economic realities of 2011.

The statute continues to give first claim to exempt property to a surviving spouse; and then, if there isn't a surviving spouse, to children under the age of 21. It contains five categories of property which are not assets of the estate but vest in either the surviving spouse or the children. Under the changes, the dollar value of items in each category of exempt property, such as motor vehicles, is increased dramatically.

Here's how the revised categories now look: The value of "household items" now exempt has been doubled from $10,000 to $20,000, with "electronic and photographic devices" added to this category. The value of "family bible," books, computers and electronic storage devices increases from $1,000 to $2,500, although I'm not sure that whoever drafted the changes even considered i-tablets and e-readers when this category was revised. The value of "domestic animals" and farm machinery has been raised from $15,000 to $20,000 and "farm" animals have been added to this mix. The value of a single, exempt motor vehicle has been pragmatically raised from $15,000 to $25,000. And lastly, the amount of "money" that's exempt has also been raised from $15,000 to $25,000, with the following specific inclusions added to this category: cash; checking, savings and money market accounts; and certificates of deposit or equivalents. "Personal property" has been deleted. The dollar limit on "money" would be reduced by any excess values for items from the prior categories.

In a totally new section added to the statute, the surviving spouse or children under 21 are permitted to acquire exempt items which may have a value exceeding the defined dollar limits by paying the excess amount into the estate. Moreover, if there is a will leaving an otherwise specifically exempt item to a legatee, the surviving spouse or children may still claim the item but must pay any excess value into the estate. That overage then goes to the specific legatee.

The "value" of items continues to be defined as their fair market value reduced by outstanding security interests or other encumbrances.

Another addition to the law spells out how cash (under the "money" category) will go to children. If the child is under age 18, the first $10,000 will go to the infant under Surrogate's Court Procedure Act Section 2220 without the need for a guardian. If the cash exceeds $10,000, the overage would be released through a guardianship proceeding. A "child" between 18 and 21, obviously, isn't an infant and can receive more than $10,000 outright.

Generally, exempt property is immune from creditors' claims. The statute continues to require that an estate representative give priority treatment to the payment of reasonable funeral expenses.

Phew! That's quite a series of changes for a part of the statute that's frequently overlooked or taken for granted.

Modesto Argenio is an adjunct college professor and former New York state associate court attorney. He has more than 15 years of experience in the area of estates and trusts.