Succession in Law
In every business leader's life, there comes a point when they contemplate the succession of their life's work. Our office has assisted on numerous occasions in conducting succession processes, even concerning natural persons.
In every business leader's life, there comes a point when they contemplate the succession of their life's work. Our office has assisted on numerous occasions in conducting succession processes, even concerning natural persons.
Facilitating the inheritance procedure and ensuring long-term stability for family businesses
It often happens that grieving individuals attempt to manage the assets of the deceased company when a family tragedy occurs, making the already painful inheritance process much more challenging. It is more fortunate when these tasks are not compelled by a dramatic situation but are addressed through the end-of-life arrangements made by the deceased, extending to the company.
In the case of family businesses, it is advisable to create a so-called "family constitution," not a conventional contract but rather a family rule system designed to prevent future disputes. A successful company often relies on the work of an entire family and a well-established operational mechanism that contributed to the family business's success. Typically, hard work, trust, and perfectionism form the foundation of the family constitution.
Separation of private and company assets
Managing private assets alone is no simple task, but dealing with the succession of companies and real estate can be even more complex. Improperly prepared inheritance can have negative consequences for heirs in the long run. If all assets are solely in the name of the head of the family, and they unexpectedly pass away without having made arrangements for their inheritance, the probate procedure can drag on for years. In such cases, surviving family members may not access the assets, potentially causing liquidity problems and adding emotional burden during the grieving period.
The relationship between spouses is also worth mentioning. Many believe that they are entitled to the protection and sharing of marital assets. However, if inheritance is not adequately prepared, the probate process can be an unpleasant surprise.
In the case of end-of-life arrangements
If the deceased left behind a final arrangement, it will determine the order of inheritance. The testator can freely designate anyone as their heir in the will, subject to formal and substantive requirements set out by the Civil Code. The final arrangement, including the will, can determine the order of inheritance for the entire estate or specific assets.
How we can assist in succession cases
- Inheritance Matters: Managing the inheritance process, including validating final arrangements (e.g., wills), dividing the estate, asserting inheritance rights, and dealing with inheritance tax issues.
- Probate Matters: Appointing an executor and handling the probate process, including estimating the estate's value, identifying heirs, addressing tax matters, and resolving probate disputes.
- Gift Matters: Addressing legal issues related to gifts, including drafting and validating gift agreements, addressing tax consequences, and preparing the necessary legal documentation.
- Corporate Succession and Inheritance: Assisting in the transfer or inheritance of a business, including modifying commercial register entries, reviewing and amending business contracts, and facilitating the transfer of ownership and corporate structures.
- Inheritance and Transfer of Real Estate: Handling matters related to inheriting or transferring real estate, including asserting property rights, drafting real estate purchase agreements, and preparing the necessary legal documentation.
If you have any questions or wish to avail yourself of any of our services mentioned above, we welcome your inquiry!
