Do debts pass on through inheritance?

Do Debts Transfer with Inheritance?

The question of whether debts transfer with inheritance is important and requires clear understanding, especially for those inheriting property. Ukrainian law stipulates that heirs not only receive property but also bear responsibility for the deceased's debts within the value of the inherited property. This means that debts do not become the heir's responsibility beyond the inherited assets. If the debts exceed the value of the property, the heir will not be obligated to pay the difference from their own funds. However, it is important to consider that in the case of numerous debts or complex situations, this issue requires careful examination.

Heirs' Responsibility for Debts

According to the Civil Code of Ukraine, heirs are responsible for the deceased's debts only to the extent of the value of the assets they inherit. In other words, if the inheritance includes property worth more than the deceased's debts, all these assets pass to the heir, and the debts are paid from this value.

However, if the debts exceed the value of the inherited property, the heir may not be required to cover the difference, as their responsibility is limited only to the part of the assets they inherit. For example, if the value of the assets is 100,000 UAH, and the debts amount to 150,000 UAH, the heir will only be responsible for these 100,000 UAH.

How to Reject Inheritance?

In case the heir does not wish to take on the responsibility for debts, they can refuse the inheritance. It is important to understand that rejecting the inheritance means rejecting both the property and the debts. Therefore, if there are significant debts in the inheritance that could lead to financial difficulties, refusal may become the optimal option for the heir.

Procedure for Rejecting Inheritance

The rejection of inheritance must be done within six months of the opening of the inheritance. To do this, the heir must submit a relevant application to the notary handling the inheritance case. It is important to note that once the application is submitted, it is impossible to reject the inheritance. Therefore, it is important to carefully consider the decision and seek advice from a lawyer.

How to Assess Risks When Accepting Inheritance?

When accepting inheritance, it is important to evaluate not only the assets but also the debts of the deceased. For this, you need to:

1. Assess the presence of debts: Check if there are any outstanding loans, taxes, alimony, etc.
2. Inventory the assets: Determine if there are any assets that can be inherited and whether they are sufficient to cover the debts.
3. Consult with a lawyer: Assess the legal consequences and choose the optimal strategy—whether to accept or reject the inheritance.

A consultation with a lawyer at this stage will help you avoid undesirable consequences and correctly assess all potential risks when accepting inheritance.

Importance of Consulting a Lawyer

If you have doubts about whether debts transfer with inheritance, or how to act in your situation, it is important to consult a lawyer. Legal advice will help you better understand your rights and obligations, assess risks, and make the right decision. In our legal practice, we provide qualified services that allow you to resolve inheritance issues with maximum benefit for you.

Block: Question — Answer

Legal Consultation: Our lawyers will provide detailed advice regarding inheritance and debts.

Document Preparation: We will help you correctly prepare all documents for inheritance.

Representation in Court: If inheritance disputes arise, our lawyers will protect your interests in court.