The legislation represents big progress for European citizens, said centre-right German MEP Kurt Lechner, in charge of the report, which was adopted unanimously by the European Parliament’s legal affairs committee.
"It’s a big step forward for the testator, who will be able to exercise his freedom to deal with his succession, and a huge simplification for the heirs," said Lechner.
In a nutshell, citizens leaving in another EU member state will be able to state in a so-called European Certificate of Succession which national system they want their inheritance to go through in order to safeguard the rights of heirs, as well as other parties, such as creditors.
For example, an Italian woman married to a Briton and living in Belgium will have the option to choose whether her heirs inherit assets under Italian or Belgian law, avoiding jurisdictional legal disputes.
The use of the certificate is not mandatory. If the person who dies does not draw up a will or a certificate, his or her succession will be dealt with under the law of the member state where he/she had her residence.
The European certificate avoids conflicts that could otherwise come up if several courts in different member states declared themselves competent to handle the inheritance.
"The death of a family member is a sad and traumatic event, without additional legal headaches," said EU Justice Commissioner Viviane Reding, the Commission’s vice president.
The new law on international successions affects millions of citizens. In 2010 more than 12 million people lived in an EU member state other than their own, an increase of 3 million compared to 2005.
The trend in cross-border ownership of assets is also growing massively. It is therefore likely that more assets may be inherited across borders than in the past and that this trend will continue in the future, with consequent tax problems. Potential cross-border inheritance cases range from 290,000 to 360,000 per year.
“I hope that Parliament and Council will be able to come to a final agreement soon. Notably, the European Certificate of Succession would substantially facilitate the legal formalities for successions in cross-border situations," said Reding.
The regulation would not apply in UK and Ireland, as their respective governments decided to exercise their right to opt out.
COMMENTS
Ah yes the Uk - forever the "special case" - particularly given the current Tory-vermin government. Given the amount of property owned by Brits in other member states one thus assumes that a Brit living in say France could not use the certificate to make UK inheritance law applicable? (since the Brits have opted out?). Be interesting to see what Scotland does when it is independent (ditto Wales).
Britons in France - picking up on the comment above.
France is a signatory - Briton is not.
So can someone clarify - if a French person dies in Briton - then ONLY British inheritance law applies. If a Briton dies in France then under French operation could he/she use certificate to have British inheritance law apply?
YES or NO?
Clear as mud. I'm British & live in France. I wish my assets to to my wife on my death, not divided between my wife & estranged children.
So, as Brian Cave asks, can I make use of this certificate of succession?
Seconded!
Clear as mud. I'm British & live in France. I wish my assets to go my wife on my death, not divided between my wife & estranged children.
So, as Brian and Andy ask, can I make use of this certificate of succession?
I would like to know more about this also.
I am in a similar position to both Brian and Andy.
It is not very clear - can a Briton living in France will all his estate to his spouse?
Britain has opted out perhaps as it has no need to be in! In the UK you can leave your estate to whomsoever you wish to in your will. In France, the government forces you to leave your property to your children whether you want to or not, you can not disinherit them under French law. I sincerely hope that this legislation covers Brits in France as it simplifies matters when one half of a partnership dies, they can leave their estate to the other half without any children trying to claw at what they see as theirs.
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