Two methods of division of the estate
Both in the case of testate and statutory succession, if there are more than just one heir, the estate will have to be divided into parts. There are two methods of dividing the inheritance i.e. before court or by way of an inheritance division agreement. In the latter case, heirs negotiate in good faith how to distribute the estate among themselves. However, if no settlement can be made, they have to file a motion for division of the estate.
What are the benefits of an inheritance division agreement?
An inheritance division agreement may be concluded in writing, however, if the estate includes any real properties, such agreement must be executed a form of a notarial deed. Unarguably, this solution is neither time-consuming, nor costly. Heirs may freely decide how the estate is to be distributed among themselves. In most cases, one of them assumes the title to an asset and becomes obligated to reimburse the others accordingly. For e.g. if two brothers have inherited an apartment in equal parts, one of them may acquire the property title to the entire property and reimburse the other for half of its value. Alternatively, they may sell the apartment and share the receipts from sales accordingly.
Communal property regime
In some circumstances, however, division of the estate can be quite complex, and some assets may be subjected to the marital property regime or other claims. Heirs, as legal successors of the deceased person inherit not only his/her property, but also his/her liabilities. In such cases, professional legal advice can turn out to be indispensable.
Hiring a professional attorney in order to divide the estate may also be necessary if heirs do not trust one another, are in dispute, or do not know one another. Moreover, certain parts of the estate such as e.g. real properties often need to be examined or assessed by a property valuator. Heirs often decide to bring an action before the court just because they cannot agree about the values of specific assets. In the course of such proceedings the court appoints a property valuator to make necessary assessments. However, such professional assistance may also be obtained out of court at a cheaper price for the purpose of an inheritance division agreement. The inheritance division agreement is definitely a less expensive and time-consuming option than going through the court proceedings.