HEIR OF DEBTOR

Whenever you inherit certain property, it is necessary to make an inquiry whether the heir has any outstanding debts.

Why?

    The Inheritance Act, which regulates that part of the relationship which relates to inheritance, whether by law or by will, states that "Inheritance is opened at the time of death in the deceased's last place of residence".

    After the discovery of the inheritance, it remains “in no one's hands” until specific actions are taken by an interested heir. The heir must accept the inheritance / by declaring it in the Local Taxes Directorate of the municipality in the location of the property, managing it, making an attempt to sell, exchange, etc. / or renounce the inheritance.

    There is no deadline for accepting the inheritance unless the heir is invited to state explicitly whether or not he accepts the inheritance.

    The most important thing you need to know is that each heir who accepts the inheritance is also responsible for the obligations with which it is encumbered, according to the shares he receives.

    In other words, if your heir is indebted to someone and you accept his inheritance, you automatically accept his obligation / credit as an inheritance, which automatically becomes your obligation. Often, however, it turns out to be a situation in which the value of the obligation in the estate is many times higher than the value of the asset.

In this regard, the legislator has provided protection for each heir, giving him the following options:

1. To accept the inheritance by inventory - because the heir who accepts the inheritance by inventory is liable only up to the amount of the inheritance received. This action is taken by explicitly applying to the District Court within three months of learning of the discovery of the inheritance.
2. To renounce the inheritance - it is required that the heir has not performed actions that involve in some way the management and disposal of the inheritance. The renunciation of inheritance is done by submitting an Application to the District Court at the place of discovery of the inheritance. In the presence of all prerequisites, the judge orders the entry of this refusal in a special book.

    After the formal renunciation of the inheritance, the Creditors may demand the annulment of the renunciation in their favor, insofar as they cannot be satisfied with the property of the heir.

    This action may be brought within one year of learning of the refusal, but not later than three years thereafter.

    In view of the above, we can draw the following conclusion: Whenever you are in the position of heir, be careful and make a correct assessment of what exactly is the content of the estate / all property rights and obligations of the deceased /, so as not to indicate that you acquired in inheritance debt in a huge amount.