Article 1161
The heirs shall pay off the taxes and debts that the decedent shall pay in accordance with the law within the actual value of the inheritance. The part exceeding the actual value of the estate shall not be subject to voluntary repayment by the heirs.
If the heir renounces the inheritance, he may not be liable for the taxes and debts that the decedent should pay in accordance with the law.
1. The main purpose of this article
This article is about the responsibility of the heirs for the repayment of the debts of the estate.
II. Evolution of the Provisions
Article 33 of the original Inheritance Law stipulates the principle of limited inheritance, which is also expressed in two paragraphs, the first paragraph stipulates: "The inheritance shall pay off the taxes and debts that the decedent shall pay in accordance with the law, and the payment of taxes and debts shall be limited to the actual value of his estate." The part exceeding the actual value of the estate shall not be subject to voluntary repayment by the heirs. In the process of compiling the Civil Code, the "inheritance inheritance" in the rules was changed to "the inheritance received by the heir", which made it more clear that the limited inheritance of the heir is limited to the inheritance actually obtained, and if the actual value of the inheritance exceeds the actual value of the inheritance, the heir shall not bear the statutory obligation to pay the taxes and debts that the decedent shall pay in accordance with the law. Paragraph 2 stipulates: "If the heir renounces the inheritance, he may not be liable to repay the taxes and debts that the decedent shall pay in accordance with the law." In the compilation of the Civil Code, the expression "repayment" has been changed to "repayment", which is more in line with obligations such as "taxes" and "debts".
3. Interpretation of Provisions
This article deals with the limitation of inheritance and the renunciation of inheritance.
Limited inheritance, also known as limited recognition, refers to the expression of the intention of the heir to accept the entire estate of the decedent with additional restrictions. The general condition is that the debts of the decedent can be repaid from the inheritance proceeds. If the heir adopts limited recognition, it means that the heir is only liable for the debts owed by the decedent during his lifetime to the extent of the inheritance of the decedent, and is not responsible for the excess part, so the heir bears limited liability.
Qualified inheritance has the following effects.
(1) The heir participates in the legal relationship of inheritance, obtains the vested right of inheritance, and has the right to request the division of the inheritance.
(2) Limitation of Successor Liability. The heirs are liable for the repayment of all inheritance debts only to the extent of the positive property obtained by inheritance, i.e., the heirs have limited liability for the estate.
(3) The inherent property of the heir is separated from the estate, and the two types of property have their own independent legal status. Accordingly, the heir shall pay off the taxes and debts that the decedent shall pay in accordance with the law, to the extent of the actual value of the inheritance, and the heir shall not be liable for the part exceeding the actual value of the estate, except for the heir's voluntary repayment.
Renunciation of inheritance rights, also known as refusal of inheritance rights and abandonment of inheritance rights, refers to the expression of intent of the heir to renounce his right to inherit the inheritance of the decedent after the inheritance begins and before the division of the inheritance. Renunciation of inheritance rights is a manifestation of the heir's free expression of his will and exercise of inheritance rights, and is a unilateral civil legal act that does not require the consent of anyone.
The elements for renunciation of inheritance rights include: (1) the renunciation must be made after the commencement of the inheritance and before the division of the estate, (2) in principle, the renunciation shall be made by the heir himself, (3) the renunciation of the right of inheritance shall not be subject to conditions, and (4) the renunciation shall not be partially abandoned.
The method of renunciation of inheritance rights refers to the way in which the heirs express their intentions when they renounce their inheritance rights, and they must do so in an express manner. After the heir renounces the inheritance, he shall not be liable for the debts and taxes owed by the decedent, and the decedent or the tax department shall not compel him to bear the liability for repayment, except for the heir's voluntary repayment.
4. Cases
Wu Moumou v. Mijia decedent debt repayment dispute
Facts: On November 18, 2015, Wu and Mi began to live together, but they have not registered their marriage. In September 2017, Mi Moumou suffered from cancer, and during the treatment period, Mi Moumou and Wu Moumou made a verbal agreement that Wu Moumou would take care of Mi Moumou, and Mi Moumou would pay Wu Moumou 100,000 yuan. On March 18, 2018, Mi Moumou transferred the ownership of houses No. 26 and No. 17 to Mi Jia. On July 8, 2018, Mi Moumou died. Wu Moumou sued Mi Jia to pay the unpaid amount on the grounds that Mi Jia had inherited Mi Moumou's property. The court held that Wu and Mi lived together, and the two had no legal rights and obligations, and the agreement between the two parties formed a creditor's rights and debts relationship between the two. After the death of Mi Moumou, his heir Mi Jia shall pay off the debts owed by Mi Moumou to the extent of the actual value of the inheritance. The court then ruled that Mi Jia should pay the amount that Mi Moumou promised to pay but did not pay in full to Wu Moumou.
5. Analysis
In this case, Wu and Mi were in a cohabitation relationship, and the two had no legal rights and obligations. During Mi Moumou's illness, a creditor's rights and debts relationship arose between Wu Moumou and Mi Moumou due to the agreement. After Mi Moumou's death, the unpaid part of the 100,000 yuan creditor's right enjoyed by Wu Moumou belonged to Mi Moumou's debt. According to the provisions of the "Inheritance Law" in effect at the time of the case, the debt should be directly paid off by Mi Moumou's estate, and the remaining part of the estate can be inherited by Mi Moumou's heirs after the debt is paid. According to the principle of limited inheritance, the repayment of the debt is only limited to the estate of Mi Moumou. If Mi's estate is insufficient to pay off the debt, Mi's heirs are not obliged to pay off the debt with their own property. In this case, Wu Moumou advocated that Mi Jia should pay off Mi Moumou's unpaid debts within the value of the inherited estate, and this request should be supported by the court.