Everything you need to know about inheritance in Panama

Inheritance is an important legal topic that can be confusing for many people, especially those unfamiliar with the law. In Panama, the Civil Code establishes the rules and procedures governing inheritance. In this article, we will explain in a simple and easy-to-understand way what inheritance is and how it works in our country.

Inheritance:

Inheritance is the transfer of the rights and responsibilities that make up the estate of a deceased person to their survivors, either by law or by the deceased's wishes expressed in a valid will.

Types:

In Panama, there are two types of inheritance: intestate and testate. Intestate succession occurs when the law determines who the heirs will be in the absence of a will. On the other hand, testate succession occurs when the deceased leaves a valid will in which they express their wishes regarding the distribution of their assets.

Opening of the Estate:

The estate opens upon the death of the deceased or when death is presumed as established by law. It is important to note that even if the deceased was domiciled in another country at the time of death, if they owned property in Panama, the inheritance of that property will be governed by Panamanian law.

Capacity to Inherit:

The capacity to inherit is determined by Panamanian law, with some exceptions. In principle, all persons, both natural and legal, have the capacity to receive an inheritance, unless the law establishes otherwise.

Incapacity to Inherit:

Certain situations prevent a person from receiving an inheritance. Likewise, associations or corporations not permitted by law are also excluded from receiving an inheritance.

Unworthiness to Inherit:

This is another situation that can exclude a person from receiving an inheritance. Some examples of unworthiness to inherit include: parents who abandon their children, those convicted of attempting to take the life of the deceased, or those who falsely accused the deceased of a serious crime.

The importance of this process:

Probate in Panama is an important legal process that regulates the transfer of a deceased person's assets to their heirs. We always recommend consulting a legal professional for proper guidance, as your case may differ from what you expect.

If you found this article interesting, I invite you to read more about why it's important to have everything setup before it's too late when it comes to wills and inheritance: read the following article.

About the author:

• Attorney Jaime Enrique Paolo Jr., Specialist in Civil Law with decades of experience in inheritance, estates, and other similar civil proceedings.

Inheritance Process in Panama. Why it's important to have a Will ready.