I just want to get out of the inheritance community – what options are there?
The law considers disputes among co-heirs to be the norm. During this process, the heirs must first jointly address all of the deceased's liabilities, including repaying or restructuring loans, paying outstanding bills, filing tax returns for the deceased if necessary, terminating or amending contracts, taking administrative measures, and finally dividing or distributing the estate assets among themselves. If division and distribution are not possible, assets must be sold. This process can be lengthy, often lasting years, during which the co-heirs must repeatedly discuss and resolve matters amongst themselves.
Those wishing to leave the community of heirs prematurely, i.e., before the division of the estate, have several options. Naturally, there is the possibility of disclaiming the inheritance. An agreement to disclaim the inheritance in exchange for a settlement payment is also conceivable. However, the relatively short disclaimer period is usually insufficient to reach an agreement with the other heirs. Furthermore, disclaiming the inheritance results in the loss of all claims to the inheritance. If the inheritance has been accepted, there are two ways to withdraw if the co-heir wishes to leave the community quickly and not participate in the division of the estate: selling their share of the inheritance or withdrawing from the community..
Can I simply sell my share of the inheritance?
An heir has the legal right to dispose of their share of the entire estate. Theoretically, this allows them to immediately utilize the increase in assets. As already explained, the heir cannot dispose of individual assets (real estate, cars, securities, etc.) or parts thereof, but only of their share of the estate as a whole. Since estates are often complex (real estate, cars, company shares, bank accounts, debts, contracts, etc.) and valuation is difficult, potential buyers are generally limited to the heirs themselves. While professional buyers do exist, most inheritances are not of interest to them. The effort involved in a purchase is only worthwhile for professional buyers above a certain value, as they conduct thorough due diligence and require extensive information before concluding a purchase agreement. The contracts themselves are also quite complex, making legal advice strongly recommended.
Dispositions of the share are therefore only possible as long as the estate exists as separate assets, i.e., after the death of the testator and before the settlement is completed. Once the estate has been completely distributed among the co-heirs, there is no longer a share that can be disposed of.
The purchase agreement for an inheritance share requires notarization. To protect the other co-heirs from the intrusion of outsiders into the community, the law grants them a right of first refusal.
What happens to my status as an heir if I sell my share of the inheritance?
Interestingly, the actual status of heir remains even after a sale, as it cannot be transferred through a legal transaction. The co-heir thus remains an heir in the legal sense even after selling their share of the inheritance and will continue to be listed as such in a certificate of inheritance. However, the buyer assumes their financial position. This means that the buyer becomes a member of the joint ownership community and assumes all associated rights and obligations. From this point on, they are liable for the estate's debts alongside the heir.
Can I simply withdraw from the community of heirs?
Besides selling one's share of the inheritance, there is another recognized way to withdraw prematurely from the community of heirs: the so-called "separation agreement." In this process, a co-heir withdraws from the community by mutual agreement with the other co-heirs, simply by relinquishing their rights as a member. This usually occurs in exchange for a settlement payment. Such a separation agreement should precisely define the rights and obligations of all parties involved. If the estate includes real estate, the specific requirements of land registry law for amending the entry in the land register must be observed.
By waiving their inheritance, the shares of the remaining co-heirs automatically increase by law. If only one heir remains at the end, the community of heirs is dissolved and the assets become the sole property of that heir.