What is an Undivided Inheritance? Know all

An undivided inheritance refers to a situation in which an asset or asset is left as an inheritance to several heirs, forcing the division of the property or asset jointly and undivided. This means that no heir owns a specific part, but rather a fraction of ownership over the asset as a whole.

In this type of situation, the heirs are not entitled to claim a specific part of the property, but rather to the equal sharing of the benefits and responsibilities associated with it. In other words, heirs cannot sell, divide or dispose of their individual share independently. Generally, the asset in question remains indivisible until there is an agreement between the heirs on how to handle it, whether through sale, partition, or other action.

Undivided inheritance can include property, land, valuables, or any other assets left by a deceased, where the property shared among the heirs remains as an indivisible unit until a resolution is reached.

The most common situation in Portugal is that a deceased person leaves a property to several heirs in equal parts, which, in this case, obliges the heirs to keep it jointly with an undivided share.

The division of an undivided inheritance can be a complex process that requires the consent of all heirs. In some situations, the heirs may decide to sell the asset and divide the amount obtained between them. However, if neither of them agrees to the sale, the situation can become complicated.

How to manage and resolve all issues related to an undivided inheritance?

Inheritance laws in Portugal are regulated by the Portuguese Civil Code, and the division of undivided inheritance is subject to specific rules contained in that code. The intervention of a lawyer specializing in Succession Law can be essential to guide heirs about their rights and obligations, in addition to helping to facilitate the resolution of issues related to undivided inheritance.

At the limit, the heirs may resort to court proceedings, if necessary, in order to request the division of the property or the judicial sale of it, allowing the heirs to obtain their corresponding share of the value. As it is a complex process, its management requires the consideration of several legal, emotional and practical factors.

Open and respectful communication

Initiate communication with the other heirs openly and respectfully. Understanding the wants and needs of each heir can help to avoid conflicts and find solutions together.

Know the legal rights and obligations

Familiarize yourself with relevant legislation, such as the Portuguese Civil Code, to understand the rights and obligations of heirs.

Consult with a legal professional

Hiring a lawyer specializing in Succession Law can be essential. They can guide heirs on the legal options available, serve as an intermediary in case there are disputes, and ensure that all steps are carried out correctly.

Valuation of assets

Conduct a professional appraisal of the assets that make up the inheritance. This will help determine the fair value and basis for the distribution.

Negotiation between the heirs

Try to come to an agreement with the other heirs on how to handle the inheritance. This may include selling the asset and dividing the resulting resources or redistributing the assets according to one's preferences.

Co-sale

If all the heirs agree, the sale of the indivisible asset may be an option. The proceeds from the sale would then be divided among the heirs according to their shares.

Friendly sharing

If the division of assets is possible and feasible, the heirs may agree to distribute the different assets fairly.

Judicial sale

If there is disagreement between the heirs, it is possible to carry out a judicial sale of the asset through a legal process. This allows a court to determine the sale and distribution of the funds.

Use or lease agreement

If the property is usable, the heirs may consider a shared use or lease agreement until they find a permanent solution.

Mediation

In cases of more complex disputes, mediation may be an option. A neutral mediator can help facilitate communication and find solutions that are acceptable to all parties involved.

Dealing with an undivided inheritance requires patience, understanding, and cooperation among the heirs. With the help of legal professionals and, in some cases, mediators, it can be crucial to avoid protracted conflicts and find the best solution for all parties.

Important:

This text is merely informative and does not constitute or dispense with the consultation or support of specialized professionals - Lawyers