Heirs: A legal view

Intestate succession occurs when someone dies without a will. The portion of a deceased person’s estate that’s bequeathed to an heir is known as an inheritance. When there is more than one heir with the same relationship to the deceased, then property is devolved among them equally. There are following possibilities under which the deceased is said to be died intestate. In this article we shall study about heirs and their classification.

  • If a person has left no Will, then he dies intestate and his entire property shall be distributed according to the laws ruling intestate succession.
  • If a person has made a Will and appointed an executor, who for any reason is incapable of executing it, then he will be said to have died intestate as regards to all his property.
  • If a Will has been made but is incapable of being functional, then too he has died intestate.
  • If he has transferred his entire property for illegal purpose, then again, he shall be said to have died intestate.
Heirs

Heirs:

An heir is defined as an individual who is legally entitled to inherit some or all of the estate of another person who dies intestate. Heirs who inherit property are typically spouse, children, descendants, or other close relatives of the deceased. Heirs are usually limited to those related by blood, adoption, or marriage. The concept of heirs most often arises when someone dies intestate (without a will).ย In intestate succession the property of deceased is distributed by the laws of intestacy which are governed as following laws:

FaithThe Applicable Act
Hindus, Jains, Sikhs, Buddhists,The Hindu Succession Act, 1956
MuslimsThe Personal Law Application Act, 1937
Christian, Jews, ParsisThe Indian Succession Act, 1925
Inter-faithThe Special Marriage Act, 1954

Beneficiary:

When a deceased person leaves a valid will, a person who inherits assets from the property is known as a beneficiary. A beneficiary is an individual who is listed in a trust, insurance policy or will to receive assets from another entity. They need not be a surviving blood relative or a spouse. They can be an organization, a family member, a friend, step-children, a partner, a pet or even a charity.

Difference Between Heir and Beneficiary:

HeirBeneficiary
An heir is a person entitled to receive money from a deceased person based on the default state succession rules.A beneficiary is an individual who is listed in a trust, insurance policy or will to receive assets from another entity.
An heir can only be a surviving blood relative or a spouse.They need not be a surviving blood relative or a spouse.
They can be spouse, children, descendants, or other close relatives of the deceased.They can be an organization, a family member, a friend, step-children, a partner, a pet or even a charity.
An heir can also be a beneficiary and listed in a willA beneficiary need not be an heir

Notes:

  • They exist whether the succession be testate or intestate
  • They represent the juridical personality of the deceased and acquire their rights, with certain exceptions to his obligations.
  • They inherit an undetermined quantity whose exact amount cannot be known a priori and which cannot be fixed until the inheritance is liquidated
  • They Succeed to the remainder of the properties after all the debts and all the legacies and devices have been paid or given

Kinds of Heirs:

They are mainly classified as

  • Voluntary
  • Compulsory
  • Legal or Intestate

Voluntary Heirs:

They include Devisee and Legatee. โ€œLegateeโ€ is someone who receives personal property (jewelry, vehicles, cash, etc.) from property, but it has come to more commonly refer to a person who inherits under a will but may not be related to the deceased. The most common example would be a friend inheriting under someone’s will, but a legatee may also be a charity, business, or other organization. a โ€œDevisee” is someone who receives real property (a home, a farm, etc.) from property. Both devisee and Legatee are beneficiaries.

Compulsory Heirs or Heir at Law:

Compulsory Heirs are the Legal Heirs of the Deceased. An heir-at-law is a person who is legally entitled to inherit assets from property when a person dies without a valid will. Heirs-at-law include surviving spouses; lineal heirs, such as parents and children; and collateral heirs, such as siblings and cousins. State laws establish the rules of descent and distribution when a person dies without a will.

Kinds of Compulsory Heirs:

  • Primary compulsory heirs: e.g., legitimate children including adopted child and descendants
  • Secondary compulsory heirs: Those who succeed only in default of the primary compulsory heirs.   e.g., legitimate ascendants (parents and grand-parents)
  • Concurring compulsory heirs: e.g., Surviving spouse. There must be valid marriage between the deceased and the surviving spouse. If the marriage is null and void, the surviving spouse cannot inherit. However, in case of voidable marriages, if the marriage is not annulled before the deceased died, the surviving spouse can still inherit

Conclusion:

An heir is an individual who is legally entitled to inherit some or all of the Property of another person who dies intestate. A beneficiary is an individual who is listed in a trust, insurance policy or will to receive assets from another entity. An heir can be beneficiary but a beneficiary need not be an heir. Heirs are usually limited to those related by blood, adoption, or marriage. Beneficiary need not be related to the deceased. When there is more than one heir with the same relationship to the deceased, then property is devolved among them equally.