Estate settlement in Magog and Sherbrooke
The death of a loved one brings, beyond the grief, a series of legal and tax obligations that the liquidator must carry out in a precise order. Done properly, the liquidation of an estate protects the heirs; done poorly, it can make them personally liable for the deceased's debts. Our role is to guide the liquidator and the heirs through each step, with method and clarity.
The notary's role
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Advising the liquidator on their obligations and protecting them in the exercise of their office
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Conducting the will searches and preparing the declaration of heredity if needed
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Preparing the declarations of transmission for the estate's immovables
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Drafting renunciations of the succession, which must be notarial or made in court
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Preparing the inventory, notices, and deeds of partition
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Coordinating with accountants and tax specialists for the clearance certificates
The main steps of the settlement:
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Obtaining the death certificate from the Directeur de l'état civil.
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Mandatory will searches in the registers of the Chambre des notaires and the Barreau du Québec.
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Probate of the will if it is holograph or before witnesses; identification of the legal heirs if there is no will.
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The liquidator takes office — designated in the will or chosen by the heirs.
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Inventory of assets and debts, followed by the notices required by law.
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Payment of the estate's debts and bills.
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Filing of the deceased's tax returns and obtaining the tax certificates: the clearance certificate from the Canada Revenue Agency and the certificate authorizing the distribution of property from Revenu Québec.
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Notarial declaration of transmission for any immovable, published at the Land Registry.
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Partition of the property among the heirs and the liquidator's final rendering of account.
How long should you plan for?
A simple estate is rarely settled in less than a year; generally expect 12 to 18 months, mainly because of the tax timelines for obtaining the clearance certificates. Distributing property before having these certificates exposes the liquidator to personal liability for unpaid taxes — one of the most costly mistakes we see.
FAQ: Estate
Why Should You Use the Expertise of a Notary to Liquidate an Estate?
The liquidation of an estate is a delicate and complex process. The law provides for the transfer of a deceased person's assets to his heirs and imposes specific rules for the liquidation of the estate. The notary's intervention in this context ensures that the procedure imposed by the law is properly carried out and that any legal problems that may arise are properly resolved.
Who Can Settle an Estate?
The responsibility for settling an estate lies with the liquidator (formerly the "testamentary executor") appointed in the will. In the case of a legal succession (where the deceased did not leave a will), the heirs collectively take on the role of liquidator. They can then share the tasks or appoint one of them or any other person as liquidator. The liquidator may call on the services of a notary. The notary can act as the master of the whole process and assist the liquidator in his task. Given the complexity of liquidating an estate and the legal risks associated with certain actions (including responsibility for payment of the deceased's debts), it is more prudent to consult a notary.
What Is a Declaration of Transfer of Property?
Following a death, the rights that the person had in a building must be transferred to his heirs. This transfer is done by a declaration of transfer by death signed before a notary and which will then be published in the Land Register. Following the publication of this declaration, the municipality and the school service centre will be informed of the transfer and will modify the name of the title owners of the property on the tax roll. This notarial deed provides several pieces of information, including the names of the heirs and the liquidator of the estate, information about the will if there is one and the date of death. It also specifies who is the owner of the property and who has the power to sell the property.
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Are heirs liable for the deceased's debts?
If the liquidation is conducted by the rules — notably with a proper inventory — heirs are only liable for debts up to the value of the property they receive. However, if the legal steps are skipped (for example, dispensing with the inventory without precaution), heirs can become liable for debts beyond what they receive. Hence the importance of proper guidance.
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How do I renounce a succession, and within what timeframe?
Renunciation is made by notarial act or by judicial declaration. Heirs have a six-month deliberation period from the opening of the succession to make their choice — a period that can be extended in certain circumstances. Caution: certain actions (such as appropriating estate property) can amount to tacit acceptance. Before touching anything in a potentially insolvent estate, consult us.
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What happens if there is no will?
The law determines the heirs according to the order set out in the Civil Code, and a notarial declaration of heredity will generally be required to establish their status with institutions. An important reminder: common-law partners do not inherit without a will, regardless of the length of the union.