Chapter 7 succession and Transfer Taxes The modes and mechanics of acquiring ownershi sghts over property are fairly complex. One can gain, trasorey te" “eal ‘ownership on a number of ways. T and lose Under the Civil Code (CC), ownership may be acquired Art. 712 (Civil Code); through: “Ownership is acquired by ' : Cccupation and by "intellectual 1. Occupation Creation. Ownership and other real 2. Intellectual creation rights over property are acquired 3. Law and transmitted by law, 4. Donation donation, by testate and intestate 5. Tradition Succession, and in consequence 6. Contract of certain contracts, by tradition. 7. Prescription They may also be acquired by 8. Succession Means of prescription’. Transfer Defined Transfer taxes are taxes imposed upon the gratuitous disposition of private properties or rights. Gratuitous transfer is one that neither caress burden nor requires consideration from transferee or recipient. transfer of ownership is free because of the absence of financial pee al Hence, gratuitous transfers are essentially donations: ‘owe i side of gratuitous transfer is onerous, one where the ee BNeS consideration in return for the property or right(s) oad of trance", onerous transfers are subject to business taxes net, book. taxes. Business taxes are discussed in chapters 7 10 Scanned with CamScannerSuccession and. Leansfr Cie cs of Transfer Taxes Types © Estate tax 2. Donor's tax insfer or donation may take effect at the time of death of 1g the lifetime of both the donor and the donee. The “donation mortis causa” eee to ae tax while the “donation inter vivos" subject to donor's tax, - TE eee which are typically assessed on the net Consens ty taxable assets transferred, fall into two basic categories, eae d donor's tax. Estate tax is discussed in Chapters 1 ly, estate tax an (. Ay . while donor's tax is discussed in Chapter 6. Gratuitous tra the donor or durin, former is known as Succession Defined Since donation mortis causa takes effect upon the death of a decedent, it is appropriate to discuss first the concept of Succession. Succession is a mode of acquisition by virtue of which, the property, fights and obligations to the extent of the value of the inheritance, of a person are transmitted through his death to another or others either by his will or by operation of law (Art.774 CC). ' The inheritance includes all the property, rights and obligations of a person which are not extinguished by his death (Art. 776 CC). The rights to the succession are transmitted from the moment of death of the decedent (Art. 777 CC), notwithstanding the postponement of the actual possession or enjoyment of the estate by the beneficiary. The “heirs succeed immediately to all the property of the deceased ancestor at the moment of death as completely as if the ancestor had executed and delivered to them a deed for the same before is de [ cdereeniee re by the Heir ey “Cutof Period “ofthe dale of death ofthe testator Scanned with CamScannerSuccession. and, Coansfer Vive nsfer taxes nature of tra excise tax. The subject matter of 4 transfer tay is Transio’ (er tne transferor to gratuitously {ransfer propeny or hone preg? ot othe date of death of the Wansferor (known fe transfer och takes effet ct to estate tax) or during the lifetime. of montis causa alas! Genason Riera subject to donors tay the donee (transfer tax is based on net Sstate oF net gifts, it shay not be the aru s a property tax. On thie basis, transfer tax is Classified as const oe pivlage tax imposed or the act of passing the Ownership pee and not on the value of the property or right, of pro that Governs the Imposition of Estate Tax The Law ettled rule that estate taxation is 9OVverneg by the Mellel the time of death of the decedent © estate tay statute in the date of death of the decedent and the accrual of the tax is a Obligation to pay the same, pon the death of the distinct , succession takes place and the Fight of the State to ees to transmit the estate vests instantly upon death prvi 2003). In the Philippines, Succession itself (excluding the : arene by the Civil Code. ILLUSTRATION 1: Pedro suffered an unexpected using his death on November 4 2020, his estate composed of the following: Cash in bank 1,000,000 Commercial building Cars 1,000,000 House and lot Juan is the only heir of the decedent, Pedro's remains were cremate 120. e executor of Pedro's estate filed th ted on November 8, tax on April 30, 2021 The le estate tax return and Paid the Properties left by the decedent were ‘van on June 30, 2024, mber 1, 2020. * ‘Answer: Nove 5 ic transmitted from the moment of death of the decedent, TRS tothe sueesspe oe th actual tensor dted tune 30 2021 (Art. 777 CC) | Scanned with CamScannerAnswer November 1, 2020 Pht accu PMAEIY 2 OF B70 ofan Under the TRAIN Law, the fing of estate t date of death Gvestion # Assume that Pecto's total oustanding liabilities as of the time op Sea ancunted to P12,000,000. How much of the outstanding hay s devesert shoul be assumed ty Juan? Answer: P10,000,000 Tr arwurt of tity be assumed by the hos shal be fimted ony 1 exter of the vaste of propertias and rights inhented. AILTT4 ofthe Civil Code provides: [Suess i a made of acquiston by vite of which the propery (PS 2N ebliatos tothe extent of te vale wpe of aperson are ransmited th DRS death to another or ches emt Sy hs wil o by operaton of aw * a Kinds of Succession (Art. 778 CC): 2 ’ Scanned with CamScanner4] Srauiecashnt ADO AP sth Mie ceONMION WHC 8 Middl Wed cena ware a Will a ys at bw jany atiee the doce seecutedd by NHN 1s Vole ws preva SUH iy just will wit jontanont v potl Nenad auwcannin A IPO ff succession which (8 effected party ty J jatly BY NPOKMEN of law partly by wed a ysTRATION 2: Rev ase tal Ue dioront types of succession cased Testamentary Succession In addition, Pedro left a duly executed last ssn the sa ca it itustration #1 saan testament raster “ais proparties 0 Juan UPON his death, case 8 Intestate OF Legal Succession Pedro did not execute a last wil heir qualified to inherit his exists. The estate of the ions of law on ion #1, except that ing his lifetime ‘and Juan is the only legal ‘an intestate of legal SUCoeSSioN xccordance with the provisi gsm the same data If ilustrati AS and testament dui aperties. In such & CAS®, decadent wil, be disposed of in at inhertance succession. Case C Mixed ‘Succession ther that Pedro left a duly assume te same daa in ilustation #1 Assume fur Asie st wil and testament transfering 2 his properties to Juan upon ns death p19 or exacly one year before Pedro's death In ‘The ‘wil was dated November 1, addition, assume that from the preparation of the will up to the date of his death, rental income from the commercial building amounted to 250,000. OF this amount, £150,000 was used to acquire @ parcel land in Makati while the balance of 100,000 was deposied in a new bank aooount, Since the parcel of land and the new bank ae ve SU November 1, 2019, the aforementioned roperties in in wil, Hence, a mixed succession exists. Some of hier hah a in accordance with the duly executed will (testamentary) ae par and in Makati and the bank account will be distributed in wth the aw on succession intestate o legal success") Scanned with CamScannerON OR INTESTACY: i, oF with a Void will, OF One why, h i USES OF LEGAL SUCCESS oe a person dies without a wi has subsequently lost its validity. LLLSTRATION3 J nhs ‘w "one of hs parcels of land located in Valle Verde Dela Cruz. Juan can neither write nor "ad used in his last will and testament, In oblterated the same. The testator was not able to prepare a new fore YS Consequentty, there is no more ‘last will and testament” to Ar intestate or legal succession exists. At the time of the decedent's death, nal be disposed of by operations of law. 2. When the “Will” does not institute an heir. ILLUSTRATION: Pec D. Megita executed a last wil and testament on November 1, 2020, devising a bate Cand located in Batangas. However, Pedro failed to indicate an heir in his wil The Gevsee was simply described as follows: ZEL270 pare olan Batangas Cy to my closest and fovorto Pea D. Magia (signed) November 1, 2020 Asso futher that Pedro has five (6) children * No heir was identified ; 2a sced msttedned tt MAE 0 ald Wi because a Scanned with CamScannerSeven und Lan Ji, atitution of helr, Consequently, inter, partial Inti posed portion. AMaCY TKI placsy ay fone und institution of heir moans tho entira estate was ng wat ast wil and testament Therefore, a miad at af tho ostato will be disposed of or distributed tho last will and testament. Nonetholoss, since thera i tho ostato that were not included in the a prope! | be disposed of in accordance with law on ae prepsposed portion of as to the portion of the estate not imenionere Partial disponed SUCCOBHIOn 4 t0 the heirs pased on the will) TION 5 (Partial Institution) nu to CASE C of ilustration No. 2, 4, When the heir instituted is incapable of succeeding ILLUSTRATION 6: Case A: Seeume Pedro named Juan in his wil as his sole beneficiary, except that Juan deg head of Pedto. Accordingly, the last wll and testament prepared bythe * be considered void. tor shall Case B: ‘assume Pedro named Juan in his will as his sole beneficiary. Nonetheless, the latter is mentally il. The heir in this case is not capable of succeeding the testator Hence, the last will and testament shall be declared void, 5. Other causes such as: a. Non-fulfillment of the suspensive condition attached to the institution of heir. Suspensive condition is a condition depending upon the happening of an uncertain event which must be fulfilled before an obligation arises. b. Preterition (omission in the testator’s will of one, some or all of the compulsory heirs in the direct line which has the effect of annulling the institution of heir). c. Fulfilment of “resolutory condition”. A resolutory condition tefers to a condition whereby, upon fulfillment terminates an already enforceable obligation. d. Expiration of term or period of institution. . Non-compliance or impossibility of compliance with the will Repudiation of the instituted heir. Scanned with CamScannerdr esoy Whose Papen Sot Bes " SERS TOR AW he fe wn SSE) and testament jp W). He a's pertarms ATONE USLAE PLO to find 2 ORSON appointed by the 24 OF 89 executor, if the lattor tO QuentY under the law oy apo. ntone. tho property, rights and obligations tinguished by death and all which have age te opOT 7 of sucdession. Rights which are for they are extinguished by ” 2 SIQOSSS |S 3 Person who Js called to the succession 107 OF 2 will OF dy operation of law (Art. 782 CC) 22S SE Persons fo whom gifts of real and personal 'y F ven Dy Vtue of a wil, Successors or heirs DE TST SNoe, in 87 amount predetermined by law, known zs T= egtm= They succeed whether the testator likes it or not. “E) CeTICt DE Seprved by the testator of their legitime except by oe propery effected. tose who have precedence over and exclude other ‘Sony Nes (Le., legitimate children and descendants). =m, . Secondary — those who succeed only in the absence of the femary compulsory heirs: (i 2scendarts) TS; (i, legitimate parents and Scanned with CamScannerSeccession anf fe, "dad Cunsf | Ser Ca, (ees eae ais 4 Seconda mary Compulsory ry Compuls Pamate chien and thei D. Legitimate parents ane f teat descendants ascendants. (They inert “any ea) default of “A’) only in E. Illegitimate surviving spouse 9 Parents (no 8 Sirmate chien and ther descendants). They inhent oni ¢ re odans, legitimate oF default of A" 8 "C. My in ijegitimate nil Brothers and sisters are neither compulsory heirs nor strangers. However, they heirs. Y HEIRS ~ those instituted by the testator in hi : vot he inheritance of the portion thereof of which the teatane Sin freely dispose. Free portion refers to the portion or value left in ne estate after deducting the legitime of the compulsory heirs. The ware of a voluntary heir is determined through the last will and testament. LEGAL OR INTESTATE HEIRS — those who succeed to the estate of the decedent by operation of law (decedent died without a valid will or his estate was not entirely disposed of by will) SITION OF GROSS ESTATE 5 a“ The gross estate is divided into two main categories for succession purposes, the legitime and free portion as shown below: [ ca ED | x: re | compulsory Heirs: This portion of the estate is reserved by law specifically to compulsory heirs, regardless of whether 2 last wll and testament was prepared (Refer to Table | 1-3_Table of Legis), | LEGITIME (ie, 75% ofthe estate) "FREEPORTION Compulsory Heirs andlor Voluntary Heirs. | (ce, 254 ofthe estate) ‘As provided in the last will and testament | ‘= Inthe absence of a will, this portion of the estate shall be distributed to “intestate heirs’ based in | the order of priority as provided in Table 1-2 pee oy Scanned with CamScannerSuccession and Transfer Tages ws a SCSS.. Y Primary Compulsory ‘Secondary Compulsory Legitimate children and their D. Legitimate parents and legitimate legitimate descendants ascendants, (They inherit only in defautt of A) B. Surviving spouse E. Illegitimate parents (no other C. legitimate children and their descendants), They inherit only in descendants, legitimate or default of ‘A"& “C Nore: oa = Brothers and sisters a rf, may be voluntary have 'ers are neither compulsory heirs nor strangers. However, they b. VOLUNTARY HEIRS — those instituted by the testator in his will to Succeed to the inheritance of the portion thereof of which the testator can freely dispose. Free Portion refers to the portion or value left in the estate after deducting the legitime of the compulsory heirs. The share of a voluntary heir is determined through the last will and testament. ¢. LEGAL OR INTESTATE HEIRS - those who succeed to the estate of the decedent by operation of law (decedent died without a valid will or his estate was not entirely disposed of by will) COMPOSITION OF GROSS ESTATE The gross estate is divided into two main categories for Succession purposes, the legitime and free portion as shown below: ‘Compulsory | This portion of the estate is reserved by law | specifically to compulsory heirs, regardless of whether | Paget estate) 2 last will and testament was prepared (Refer to Table | | aaa | | | 4-3 Table of Legitimes). FREE PORTION | . ‘Compulsory Heirs and/or Voluntary Heirs. +A provided inte last wil and testament eee {Inthe absonoe ofa wil this prion of the estate shal be cistibuted to “intestate heirs” based in the order of prity as provided in Table 1-2. Scanned with CamScannerSurceseen and han fu J WAG LLGITIME Ib prt of 8 Wal’ EY MCD He Cant doug boca the ln ha tonorvnd A for contin Hos whe no, Waelng aud compulsory hoi (AB CC). THis compulbony Hite ann te deprive of yet lite by tho lta excopt by dint popenlystfrted. On th ota ye Free Portion In that potion of the estate which tho tstabor can Hosly disny Honea, anyono may. irl fom fo portion (Compulsory or vauntary hey, Nonothelons, voluntary hoits may inher only f mentioned in tho wil Inthe absene, of a provision inthe wi, voluntary irs wil not nhl anything Vn such case ng froo potion shall be dispond of to intestaty firs based In th ardor of pry prevented below Wity ER Hel flee Logitimate childron or descendants Logitimate parents or ascondants legitimate children or descendants Surviving spouse Brothers and sisters, nephews and nieces Other collateral rolatives within the 5% degr State or the government The distribution of free portion in intestate succession is based ‘on the order of priority because in every inheritance, the relative nearest in degree excludes the more distant ones, saving the right of representation when it properly takes place. Collateral Relatives Consanguinity is the relation of persons descending from the same stock or common ancestors. These persons are known as blood relatives, and are said to be related by blood or consanguinity. It may be lineal or collateral, Lineal consanguinity, which may be descending or ascending, is that which subsists between Persons of whom one is descended in a direct line from the other. Collateral consanguinity is that which subsists between persons who have the same ancestors, but who not descend (or ascend) one from the other, Proximity of relationship is determined by the Hi of generations. Each generation forms a degree. As illustrated 10 Scanned with CamScanner!ULUSTRATION ccession ana Tra yer Blood Relationshi Hy CI LJ xk pheno PNW NOTE: \n the illustration, C and D are siblings. Their common parents are A and &. Gis the daughter of C ond E; J is the son of D and F. ‘Mis the son of G and K; N is the daughter of J and L. A.C, G and M, in that order, are relatives in the descending direct line. From A to C is one degree; from C to G is another degree and from G to M is another degree. 'N, J, D and B, in that order, are relatives in the ascending direct line. C, G and M, are relatives of D, J and N in the collateral line. G is the niece of D, D is the uncle of G; J is the nephew of C, C is the aunt of 1. H and | are first cousins; they are four degrees apart, H to C, C to AB, AB tod ond D to |. 'M and N are second cousins; they are six degrees apart. . Because of G's marriage to K, K becomes H's brother-in-law, H being G's brother. They become ‘relatives by affinity. Affinity is the connection existing in consequence of a marriage between each of the married spouse ond the kindred of the other. 1 Scanned with CamScannerSuccession and Ey, ofr ld Ns fey Ta TABLE 1-3 @ TABLE OF LEGITIME! concutting compulsory heit (CH) AAI tho concuing CH ga om te hal tee potion, he share © share ole Ze share may sing ING thomsen, having preference over that of the IC, whose reduction pro-rata because there 1s 10 preference a Whether they survive alone or with concurring CH IC succeed in the % in equal shares Divide equally among the IC ~ | 178 if marriage | iculo Mortis and deceased spouse des wine 7 | months afterthe marriage _ Children inherit in the amounts established in the foregoing niles Only the parents of IC are included. Grandparents and ater ascendants are excluded. ILLUSTRATION 8 (LEGITIMEs and FREE PORTION of the ESTATE): Case A’ Namaalam Nha died leaving an estate valued at P12,000,000. The surviving heirs were his spouse, 2 legitimate children and 1 illegitimate child. Required: Distribute the estate by applying the rules on legitime. Ans: The distribution of his estate should be as follows (Based on Table 1-3): Legitimate Children (4/2): 6,000,000 * Legitimate child # 1 3,000,000 * Legitimate child # 2 3,000,000 Illegitimate child (1/2 of 1 LC) 1,500,000 Surviving Spouse (1/4) 3,000,000 Free Portion (remainder) 1,500,000 Total 12,000,000. 12 Scanned with CamScannera wanes HAE OEE Suc NOTE: ] = The legitime of the legitimate children as Provided in the table of legitime is 1% of the total State (regardless ofthe numberof legitimate children) * The legitime of anilegtimate child is of the legitime of 1 legitimate child {The leatime ofthe surviving spouse i % as provided inthe table of legitime The remaining portion in this Particular case is the free portion. It may be given by the testator to anyone in accordance with his wishes. However, only those voluntary heirs \ncluded in the provisions ofthe will should be recognized. esston and. Transfer Te es Case B. Assume the amount of estate is 12,000,000 and the decedent is survived. only by his two (2) illegitimate children. The distribution of the estate under intestate Succession should be: Megitimate Child (4/2); (PIM per IC.) 6,000,000 Free Portion (1/2) 6,000,000, Total 42,000,000 Case C: Assume the same data in Case B except thatthe testator provided 8,000,000 to Ana (his Secretary) through his last will and testament. Obviously, the legitimes of the wo (2) legitimate chidren were impaired. The amount of estate let ater deducting the 6,000,000 will not be enough to say the legimes ofthe compulsory heirs amounting to 6,000,000. Hence, the amount to be given to the secretary should be modified or ‘educed to P6,000,000 to satisfy the legitimes. The distribution of the decedent's estate should be as follows: Wegitimate Child (1/2); (P3M per LC.) Secretary (free Portion); (1/2) Total __ 6,000,000 6,000,000 ___Pi2,000,000 Wills A will is an act whereby a person is permitted, with the formalities Prescribed by law, to control to a certain degree the disposition of his estate to take effect after his death (Art. 783 CC). It is a document wncreby @ person, called the “testator’, disposes of his or her properties or “estate” to take effect upon his or her death The making of a wills a strictly personal act. It cannot be left in whole o« in part of the discretion of a third person, or accomplished through the merumentality of an agent or attorney. All persons who are not expressly Dronibted by law may make a will. The persons prohibited by law to make 3 wi are those below 18 years old and those who are not of sound mind at the time of its execution. Scanned with CamScannerSeccession aad Tra fe Tare, The law presumes that every person is of Sound mind, in the a! o pronk to ine cantrary. The burden of proof that the testator was not of Cod 176 21 the tme of making his dispositons is on the person wis oonses the probate of the will If the testator, one month, oF less. before making hs wil was publicly known to be insane, the person who tartans the vaidty of the will must prove that the testator made it dun; 2 luod interval. Supervening incapacity does not invalidate an effective wi. nor 5 the will of an incapable validated by the supervening of capacity. A mamied woman may make a will without the consent of her husband. and without the authority of the court. A married woman m; dispose by will of all her separate property as well as her share of the conjugal partnership or absolute community property. Kinds of Wills: 1. NOTARIAL OR ORDINARY OR ATTESTED WILL — is one which is executed in accordance with the formalities prescribed by Art. 804 to 208 of the New Civil Code. Requisites for a Valid Notarial Will. a) It must be in writing and executed in a language or dialect known to the testator. 5) It must be subscribed at the end thereof by the testator himself or by the testators name written by some other person in his presence and by his express direction. ¢) It must be attested and subscribed by three or more credible witnesses in the presence of the testator and of one another. The following are disqualified from being witnesses to a will (Art. 821 CC): * Any person not domiciled in the Philippines. * Those who have been convicted of falsification of a document, perjury, or false testimony. In the absence of bad faith, forgery, or fraud, or undue and improper ; ® ant. 795 0: Pressure and influence, defects and " Aft.795 imperfections in the form of attestation ranean ee or in the language used therein shall not (9, depends. upon the fender the will invalid if itis proved that the will was in fact executed and force at the time itis made. attested in substantial compliance with all the requirements of the law. mr ren ewK ESS 14 Scanned with CamScannerSuccession and Transfer Tage 2. HOLOGRAPHIC WILL-is a written will which must be entirely written, dated and signed by the hand of the testator himself. It subject to i other form and it may be made in or out of the Philippines and nee Not be witnessed (Art. 811 CC). In case of any insertion, cancellation, €rasure or alteration in a holographic will, the testator must authenticate the same by his full signature. Codicil is a supplement or addition to a will, made after the execution of a will and annexed to be taken as a part thereof, by which any disposition made in the original will is explained, added to or altered. In order that a codicil may be effective, it shall be executed as in the case of a will (Arts.825 and 826 CC). PROBATE OF A WILL is a court procedure by which a will is proved to be valid or @ invalid. In the probate of a holographic will, testator shall pass it shall be necessary that at least one witness ‘o an heir unless who knows the handwriting and signature of Proven that all the the testator explicitly declare that the will and terms in the lastwill the signature are in the handwriting of the and testament is testator. legal and valid in The proceedings in the absence of a last court. will and testament is called “intestate proceedings’ Foreign Wills The will of an alien who is abroad Produces effect in the Philippines if made with the formalities prescribed by the law of the place in which he resides, or according to the formalities observed in his country, or in conformity with those which the Philippine civil code ____When a Filipino is ina foreign country, he is authorized to make a will in any of the forms established by the law , Of the country in which he may be. Such will may be probated in the Philippines (Art. 815 Cc). Revocation of wills and testamentary dispositions 15 Scanned with CamScannerSuccession and, Ty fer Cave A will may be revoked by the testator at any ti ef any waiver or restriction of this right is void (Art, Boy no petore his death re Hoa} 828 done outside the Philippines, by a person who dows re hig ocation in the Philippines, is valid when itis done according to the os orthosis Place where the will was made, or according to the law of the lace ii testator had his domicile at the time and if the revocation tore ae ne he Philippines when it is in accordance with the isi code. Provisions of the New civil MODES OF REVOKING A WILL: 1) By implication oflaw ° 2) By some will, codicil, or other writin wills 3) By burning, tearing, cancelling, or obliterating the will with the intention of revoking it, by the testator himself, or by some other Person in his Presence, and by his express direction. If burned, torn, cancelled, or obliterated by some other person, without the express direction of the testator, the will may still be established, and the estate distributed in accordance therewith, if its contents, and due execution, and the fact of its unauthorized destruction, cancellation, or obliteration are established according to the Rules of Court. ig executed as provided in Case of Subsequent wills which do not revoke Art. 837 CC: the previous ones in an express manner, annul “If after making a wil, the only such dispositions in the prior wills as are testator makes a second inconsistent with or contrary to those will expressly revoking the contained in the latter wills. A revocation made first, the revocation of the in a subsequent will shall take effect, even if the second wil does not revive new will should become inoperative by reason the first will which can be GF the incapacity of the heirs, devisees or revived only by another wil tegatees designated therein, or by their or code renunciation. A revocation of a will based on a false cause or an illegal cause is null and void. tion of heir (Art. 840 CC. . aaa een ic an heir 4 an act by virtue of which a ee designates in his will the person or persons who are to succeed ne id property and transmissible rights and obligations. A will shall ° ech even though it should not contain an institution: of an heir, 0 ney institution should not comprise the entire estate, and even tron be person so instituted should not accept the inheritance or s! omtions incapacitated to succeed. In such cases the testamentary disper 0 made in accordance with law shall be complied with and the remal the estate shall pass to the legal heirs. 16 Scanned with CamScannerSucvession und Uiansfr Lives A co deprives campuluory heir may, in consequence of disinheritance Disinheritance 22, ,ealime, for causes exprovaly slated. by | an be effected only through a will wherein the legal therefore sh Shall ‘ for di sinhertance Spectied The burden of proving the truth of the cau disinherited heir shoud dew aan the other heirs of the testator, if the Disinheritance Disinheritay NCE is a testamentary disposit 5 he rf ry disposition by which a compulsory roi 8 deprived Of, or excluded from the inhertance to which ha has.» '9Nt. Disinheritance is not applicable to voluntary heirs, REQUISITES for Disinheritance: - Effected only through a valid will For a cause expressly stated by law Cause must be stated in the will itself Cause must be certain and true Unconditional Total (there is no partial disinheritance) The heir disinherited must be designated in such a manner that there can be no doubt as to his identity NOMSONS As stated above, the ground(s) or cause(s) of disinheritance shall be limited to those expressly stated by law. Under Art. 850 of the Civil Code, the burden of proving the truth of the cause for disinheritance shall rest upon the other heirs of the testator, if the disinherited heir should deny it. Disinheritance without a specification of the cause, or for a cause the truth of which, if contradicted, is not proved, or which is not one of those set forth in civil code, shall annul the institution of heirs insofar as it may prejudice the person disinherited. The devises and legacies and other testamentary dispositions shall be valid to such A&L-##66 enent as vill not impair the legitime. The “A subsequent Children and descendants of the person reconciliation between tho Gisinherited shall take his or her place and shall offender and tho oflnded preserve the rights of compulsory heirs with person deprives the latter of the Fecpect to the legitime, but the disinherited right to disinhert, and renders parent shall not have the usufruct of ineffectual any disinhertance camninistration of the property which constitutes that may have been made.” the legitime. Scanned with CamScannerTrans fe COMMON CAUSES FOR DISINHERITANCE of “children descendants, parents or ascendants, and spouse: or 1. When the heir has been found guity of an attempt against the ite oy the testator, hisirer descendants or ascendants, and spouse in fact of children and parents: 2. When the heir has accused the testator of a crime for which the law prescribes imprisonment for 6 years or more, if the accusation has been found groundless; 3. When the heir by fraud, violence, intimidation or undue influence causes the testator to make a will or to change one already made: 4. Refusal without justifiable cause to support the testator who disinherits ‘such heir. Peculiar Causes for Disinheritance 1. CHILDREN/DESCENDANTS: a. When the child or descendant has been convicted of adultery or concubinage with the spouse of the testator; b. Maltreatment of the testator by word or deed by the child/descendant; c. When the child or descendant leads a dishonorable or disgraceful life; d. When the child or descendant is convicted of a crime which carries with it a penalty of civil interdiction. 2. PARENTS/ASCENDANTS: a. When the parents have abandoned their children or induced their daughters to live a corrupt or immoral life, or attempted against their virtue; b. When the parent or ascendant has been convicted of adultery or concubinage with the spouse of the testator; | | Loss of parental authority for causes specified in the Civil Code: and d. Attempt by one of the parents against the life of the other, unless there has been reconciliation between them. 3. SPOUSE: i a. When the spouse has given cause for legal separation; rental b. When the spouse has given grounds for loss of pa! authority. Scanned with CamScannercits ani Crensfer Tat Right of Representation ‘ta “night created by fiction of law where the representative (s mons {0 Me place and degree of the person represented, and ac uire the Nghts which the latter would have if he were living or could have nhented. Representation may arise either because of: 1. Death 2. Incapacity 3. Disinheritance ‘The representative(s) shall not inherit more than what the person ‘ey represent would inherit, if he were living or could inherit (Art. 974). The law further provides that “representation” is not available to: 1. As to compulsory heirs: In case of repudiation, the one who repudiates his inheritance cannot be represented. Their own heirs inherit in their own right. 2. As to voluntary heirs 3. Voluntary heirs, legatees and devisees who @. Predecease the testator; or b. Renounce the inheritance cannot be represented by their own heirs, with respect to their ‘Supposed inheritance. father or mother like their uncles grandparents. Grandnephews and cannot inherit by right of representation. S or aunts, or even from“, grandnieces in the collate: a Scanned with CamScanner