In Russia, the burden of debt can follow an inheritance, affecting both property and obligations left by the deceased. Kirill Poleshchuk, a lawyer affiliated with the NIFI project of the Ministry of Finance of Russia and the platform MyFinances.rf, explained this dynamic in an interview with socialbites.ca.
Typically, when inheritance opens, it encompasses all assets of the testator at that moment, including property rights and any owed obligations. Debts are part of what is inherited. If there are multiple heirs, they share responsibility for the debts, and creditors may demand full or partial payment from all heirs jointly or from each heir individually. This is a key point for anyone considering acceptance of an inheritance. [Source attribution: Kirill Poleshchuk, NIFI project]
Poleshchuk noted a practical example: if the estate includes 3 million rubles in assets but carries 5 million rubles in debts, the person who accepts the inheritance would be liable for at least the amount of the estate, up to 3 million rubles, to satisfy creditors. The estate’s value is assessed by a professional appraiser to determine what passes to heirs. Alimony arrears, loan agreements, receipts, utility bills, and taxes are also elements that can transfer to the heirs as part of the inheritance. [Source attribution: Kirill Poleshchuk, NIFI project]
The lawyer emphasized an important caveat: if the deceased held a life insurance policy, the obligation to repay the loan can fall on the insurer rather than the heirs, provided the heirs present a valid death certificate. He cautioned, however, that in practical terms heirs sometimes face resistance when seeking insurance payout. Before agreeing to inheritance, he advised a thorough review of all available information about the deceased’s property and debts. If a clear picture emerges showing substantial indebtedness, it may be prudent to reconsider whether accepting the inheritance makes financial sense. [Source attribution: Kirill Poleshchuk, NIFI project]
Poleshchuk reminded readers that the law sets a three-year statute of limitations in these matters. If a debt arose more than three years before and creditors failed to pursue legal action in a timely manner, there is a possibility that such debts could be challenged in court on grounds of negligence. [Source attribution: Kirill Poleshchuk, NIFI project]
He also outlined categories of Russians who are entitled to a compulsory share of an inheritance, underscoring that not all heirs have the same rights when debts are involved. This clarification aims to help individuals understand their potential duties and protections under Russian inheritance law. [Source attribution: Kirill Poleshchuk, NIFI project]
Additionally, the discussion touched on practical steps for those contemplating a will. Understanding how to draft valid testamentary documents, and what to consider to safeguard assets and minimize liabilities for heirs, can play a crucial role in planning an estate. [Source attribution: Kirill Poleshchuk, NIFI project]