EU proposes new rules to simplify cross-border wills

PROPOSALS to simplify the way up to 500,000 wills involving cross-border goods and property are dealt with in the EU every year have been announced by the European Commission.

Succession can be big business and the assets involved are worth more than €120 billion each year, but much of this can go on legal costs. The rules are highly complex and often difficult to predict when the property is in one country and the person inheriting is in another, Justice Commissioner Jacques Barrot pointed out.

He proposes people should be able to choose whether the law of the country where they live or the country where the assets are, applies to the will.

He also wants to introduce a European Certificate of Succession that will allow the heir or the administrator of a will to prove their role irrespective of which EU country they are in.

“The aim is to make life easier for citizens by laying down common rules.

“In addition to providing more effective guarantees for the rights of heirs, legatees and other interested parties, the proposal will take some of the stress out of succession planning by allowing people to choose the law that will govern the transmission of all their assets,” he said.

The rules would not change the national rules on succession – on the continent, spouses and children cannot be disinherited and are entitled to a fixed share of assets normally. It would not change which country is entitled to tax the inheritance either.

If a person died without making a will, then the law of where they normally live would apply, which reduces the risk of courts in different member states making contradictory decisions.

Ireland has an opt-out in the area of judicial co-operation in civil matters and would continue to do so under Lisbon. A spokesperson said that should the Government decide to opt into the proposal, both houses of the Oireachtas would have to approve this first.