Settlement of the compulsory portion - The agreement between the beneficiary of the compulsory portion and the heir
How can I reach an out-of-court settlement with the heirs if I am entitled to a compulsory portion?
Enforcing a claim to a compulsory portion can be a lengthy and stressful process, particularly in family relationships. This process ranges from requesting information by means of an affidavit to enforcing the claim for payment. There is often uncertainty as to whether the person entitled to the compulsory portion is fully informed about the exact scope and components of the estate.
A compulsory portion settlement can be an advantage for both parties. It not only saves the parties involved the energy and costs that would be incurred in lengthy court proceedings, but also opens up solutions that are not laid down in the law. It is also worth considering whether an out-of-court settlement is possible in order to avoid the sometimes emotional legal dispute with the heirs.
In German civil law, an out-of-court settlement refers to a contract by which a dispute or uncertainty regarding a legal relationship is resolved by turning away from extreme positions and reaching a compromise.
With regard to the content of the settlement, it is advisable to reach an agreement on the binding status of the estate, including both its assets and liabilities with corresponding valuations. Furthermore, the content of the settlement should include the corresponding payment modalities, consequences of default and interest.
As this is a claim for monetary payment, an agreement can generally be made informally. In practice, this is usually done in writing.
If contingent, uncertain or uncertain rights within the meaning of section 2313 of the German Civil Code (BGB) are considered, rules should also be made on how to deal with subsequently identified assets.