Inheritance Inventory Process: when it is mandatory

When a family member passes away and leaves assets, it is necessary to initiate the division process between the heirs. In many cases, this division can be done informally or through a public deed.

However, when there is conflict, unknown heirs, absence of agreement, or a need to judicially verify the patrimonial situation, it becomes necessary to resort to Inventory process.

The inventory is a legal procedure aimed at ascertaining the assets left by a deceased person, identifying the heirs, and determining how the assets will be divided amongst them.

Although provided for in law as a formal and structured measure, the probate process can be lengthy and complex, especially in unpartitioned inheritances, "or when there are" inheritances with properties, debts or family disputes.

This article explains how the inventory process works, in which situations it is mandatory, what steps are involved, and how the support of a Solicitor in divisions and inheritances can help ensure that the procedure runs fairly, safely, and efficiently.

O que é o processo de inventário?

O Inventory process it is the legal means used to organise the division of assets left by someone who has passed away. Its main purposes are:

• Identify the heirs

• To ascertain and list the inheritance assets

• Check for debts or encumbrances

• To proceed with the division of the estate among the heirs

• Resolve any conflicts or complaints

The inventory can be done by by notarial deed or via judicial, provided there is consensus among the heirs, the complexity of the assets and the need to resolve disputes.

O processo de inventário é obrigatório sempre que ocorre o falecimento de uma pessoa e existem bens (imóveis, bens móveis, contas bancárias, investimentos, etc.) a serem transferidos para os seus herdeiros ou legatários. Em Portugal, tal processo é referido como "processo de herança" ou "partilha de bens".

Not all inheritances require probate. However, the law dictates that the probate process is compulsory in the following cases:

• When there are minor, interdicted or incapacitated heirs

• When there is a will to be executed

• When there is a dispute between heirs

• When there is no agreement on the division of assets

• When any of the heirs so requests

• When it is necessary to ensure the separation of the surviving spouse’s assets

• When there are creditors with claims on the inheritance assets

Even in Inheritance shares between siblings, which could initially be resolved amicably, the probate process may be necessary if there is a disagreement regarding the valuation of assets or the existence of donations made during life.

Anyone entitled to inherit the deceased's estate can initiate the probate process. This typically includes: * **Heirs:** This refers to individuals who are legally entitled to inherit through a will or the rules of intestacy (when there is no will). * **Legatees:** These are individuals who are named in a will to receive a specific item or amount of money. * **Executors:** If the deceased left a will, the person appointed as executor in the will has the right and responsibility to start the probate process. * **Creditors:** In some circumstances, if the estate owes them money and the heirs are not acting, creditors may also be able to initiate the process of inventory.

The probate process can be requested by:

• Any of the heirs

• The administrator of the estate

• The Public Prosecutor's Office (when minors or incapacitated persons are involved)

• Creditors of the deceased

• Beneficiaries named in a will

The request to open the proceedings should be made at a notarial office (as a general rule) or at a court, in more complex or contentious cases.

The role of Solicitor in divisions and inheritances Is fundamental at this stage, as it guides the heir in submitting the application and prepares the documentation required to initiate the inventory.

O processo de inventário é feito num tribunal.

Since 2013, the inventory process has become preferably executed by notaries, within a faster and more accessible system, called notarial inventory.

The judicial process is only used when:

• There are minors without legal representation

• There are issues involving the validity of wills.

• Surface incidents of greater legal complexity

• O Public Prosecution Office mandatory intervention

In the remaining cases, the heirs must go to a notary's office in the area of residence of the deceased or where the main assets are located.

What documents are needed?

To begin the inventory process, the following documentation must be gathered:

• Death certificate

• Heirs' identification documents

• Will, if any

• List of assets in the inheritance

• Documents of assets (real estate, vehicles, bank accounts, etc.)

• Property registration certificates

• Proof of debts or credits of the deceased

• Grant of probate (where applicable)

These elements will be used for the preparation of the sharing map and for the determination of the Share of statutory heirs, if any exist.

Steps of the inventory process

The inventory process follows a set of defined stages:

1. Opening of proceedings and appointment of the personal representative

2. Drafting of list of assets in the inheritance

3. Summoning of heirs and interested parties

4. Contestation or acceptance of the terms of the marital property regime

5. Asset valuation, if required

6. Sharing hearing drafting an agreement between heirs

7. Homologation of the shareholding by the notary or judge

8. Register of assigned assets and closure of proceedings

Whenever there is an agreement, the process is faster. In case of conflict, it may be necessary to schedule proceedings, hear witnesses, or appoint experts, which prolongs the estate settlement.

What is the duration of an probate process?

The duration of the probate process depends on several factors:

• Existence or non-existence of agreement amongst the heirs

• Number and type of goods to be inventoried

• Complexity of property records and property valuation

• Participation of heirs residing abroad

• Creditor intervention or contested wills

On average, a simple process can take between 6 months and 1 year. Litigious processes or those involving many assets can drag on for several years.

Therefore, it is recommended that the inventory be initiated with legal support, to avoid errors, omissions, and delays.

How much does the probate process cost?

The costs of the process include:

• Notarial emoluments or court fees

• Legal fees (where applicable)

• Fees for certificates and registrations

• Property valuation fees or other assets

Although there is an associated cost, investing in regularising the shared ownership prevents future problems, such as family disputes, seizures of undivided assets, or obstacles to property sales.

The role of the lawyer in estate divisions and inheritance within the probate process

The presence of a Solicitor in divisions and inheritances it is indispensable, particularly when:

• There are several heirs with different positions.

• Immovable property, companies or assets that are difficult to divide are at stake.

• There are wills or donations that require legal interpretation.

• One or more heirs wish to ensure that their rights are respected.

• It is necessary to challenge acts of the head of the estate or the administration of the inheritance.

The lawyer advises on the collection of documents, represents the heir in proceedings, and ensures that the distribution respects the law and the client's interests.

Conclusion

O Inventory process It is a legal tool that ensures an orderly, fair, and formal distribution of assets left by a deceased person. Although often seen as a bureaucratic procedure, it is an essential instrument for resolving unpartitioned inheritances, protect the rights of forced heirs and prevent future disputes.

Starting the process in an informed way with legal support is the best way to ensure a smooth succession.

The performance of a Solicitor Experience in shares and inheritance is crucial to ensure all rights are respected and assets are properly distributed.