Collation

Question 1

Can the testator deprive his compulsory heirs of the legitime?

Answer 1

As a general rule, No.

The exceptions are those expressly provided for by law in Articles 919, 920 and 921.

Question 2

Can a testator impose upon the legitime any burden, encumbrance, condition or substitution of any kind?

Answer 2

As a general rule, No (Article 904 paragraph 2). Except only, when the testator expressly prohibits the partition of the hereditary estate for a period which shall not exceed twenty (20) years (Article 1083).

*There are other instances when a charge or burden is
imposed upon the legitime of compulsory heirs, such as in the case of:
1. reserva troncal (Article 891), or
2. when the estate consists of a family home
(Article 238)

But in this cases, the charge is imposed by law and not by the testator.

Question 3

If the testator deprives a compulsory heir of his legitime in violation of the principle declared in Article 904, the effect of such deprivation, must be distinguished or qualified.

There are four (4) possible ways, by which a testator may attempt to deprive a compulsory heir of his legitime. They are:

Answer 3

1. by a valid disinheritance;
2. by an imperfect disinheritance;
3. by preterition of compulsory heirs in the direct line;
4. by leaving the compulsory heir, by any title any property or amount which is not sufficient to satisfy the legitime, to which such heir is entitled by law. In such a case, the heir can ask for the completion of his legitime.

Question 4

Can there be a valid compromise on legitimes?

Answer 4

None.

Question 5

What are the reasons why a renunciation or a compromise as regards a future legitime is void?

Answer 5

The reasons are:
1. The rights of the heirs with respect to their legitime are merely inchoate or prospective, because such rights are perfected at the moment of death of the
testator (Article 777). Hence, before the death of the testator, there can be nothing to renounce or to compromise.

2. No contract may be entered into with respect to future inheritance, except in the cases expressly provided by law (Article 1347).

As a matter of fact, the rule can be extended to any contract with regard to the future legitime, entered into, not only between the testator and the heir, but also among the heir themselves, or between the heirs and third persons. This is by virtue of the provision of Article 1347 of the Code. It must be noted, however, that the prohibition cannot be applied to donations inter vivos, made by the testator to a compulsory heir. Such donations, which are presumed to be advances of the legitime are allowed by law, but subject to collation.

Question 6

What is the effect of renunciation or a compromise as regards a future legitime, between the testator and his compulsory heir?

Answer 6

Under Article 905, such renunciation or compromise is void.

Question 7

Who can claim the nullity of the renunciation or compromise

Answer 7

It may be claimed either by the compulsory heir who made it or by another compulsory heir, who is prejudiced by such renunciation or compromise.

*If the nullity is claimed after the death of the testator, it is
required that the heir who is filing the claim must bring to
collation whatever he might have received by virtue of the compromise. The reason for this, is that it would be unjust if such heir is allowed to claim his legitime and still retain what he had received.

Question 8

What is the remedy of a compulsory heir who has been given a lesser legitime than that which belongs to him?

Answer 8

He may demand that the same be fully satisfied (Article 906).

Question 9

When are testamentary dispositions considered as inofficious?

Answer 9

They are considered as inofficious if they are in excess of the disposable free portion of the hereditary estate. Thus,
resulting in the impairment of the legitime of the compulsory heirs.

Question 10

What is the effect of inofficious testamentary

dispositions?

Answer 10

They shall be reduced with regard to the excess, on petition of the compulsory heirs who are prejudiced.

*Take note that the rule on reduction applies to inofficious donation inter vivos. Under Article 771 donations inter vivos, which are inofficious bearing in mind the estimated net value of the donor’s estate at the time of his death shall be reduced with regard to the excess.
The procedure for reductions stated in Articles 771 and 907 shall be regulated by Articles 911-912 of the Code.

Question 11

What is the reason why an inofficious testamentary disposition and inofficious donation inter vivos shall be
reduced?

Answer 11

The reason is the very concept of legitime itself. Under our system of compulsory succession, the testator’s freedom of disposition is limited by the fact that he cannot make any gratuitous disposition of his property whether by an act inter vivos or by an act mortis causa, which would
impair the legitime of his compulsory heirs.

This principle in Article 904 is complemented by Article
752, which declares that no person can give by way of donation more than he can dispose by will.

*Article 771 refers to donations inter vivos, while, Article 907 refers to donations mortis causa

Question 12

What is collation?

Answer 12

A fictitious mathematical process of adding the value of the thing donated, to the net value of the hereditary estate (Article 908 paragraph 2) for the purpose of computing the legitime of the compulsory heirs.

It is an act of charging or imputing the value of the donations against the legitime of the compulsory heir to whom the thing was donated (Article 1061), for the purposes of equalizing the shares of the compulsory heirs as much as possible.

It refers to the actual act of restoring the hereditary estate, that part of the donation which is inofficious, in order not to impair the legitime of the compulsory heirs.

Question 13

What is included in the gross estate?

Answer 13

All property left at the time of the death of the testator.

Question 14

May sentimental value be considered in the determination of the gross value of the estate?

Answer 14

No. Only the actual value.

Question 15

X is survived by four (4) children, A, B, C and D. Twenty (20) years before his death, he donated a land worth P20,000.00 to F. At the time of his death, said property is worth P120,000,000.00. What amount should be collated?

Answer 15

P20,000.00

The value to be collated or added is the value of the thing donated at the time when the donation is made.

This is because when a donation is made, ownership is transferred over the same, once the donation is accepted.

The increase in value should therefore, be given to the donee.

In the same way, in case of loss, whether by force majeure or through negligence or wanton destruction, the donee
must first suffer in accordance with the rule of res perit domino.

Question 16

Are all dispositions in favor of a compulsory heir always chargeable to the legitime?

Answer 16

No. Such shall be charged against the free portion of the hereditary estate:

1. in case of the excessive portion;
2. if the testator should provide; and,
3. in case of repudiation

Question 17

After the death of the testator, the heir renounced his legatine but the testator gave him a donation during his lifetime. Where shall this donation be charged?

Answer 17

It will be charged to the free portion because renunciation of the legitime made the heir a stranger. So, the donation made to him shall be charged against the free portion.

*Dispositions in favor of strangers are chargeable to the free portion of the hereditary estate.

Question 18

If the free portion is not sufficient to cover the donations inter vivos, legacies and devises, which should be given preference?

Why?

Answer 18

Donation inter vivos.

1. Donation inter vivos are by nature irrevocable, save in cases provided by law. Hence, to allow their annulment or reduction by the subsequent making of legacies and bequests, in excess of the free portion, would be in effect allowing the revocation of the donation to depend upon the will of the donor-testator.
2. The donation requires for its validity the acceptance of the donee. Hence, it is a bilateral act produced by the agreement of the parties.
   Therefore, it should have preference over a testamentary disposition which is purely unilateral.
   The donation as soon as accepted produces all its legal effects, and the property passes from the possession of the donor to the donee. It would create a greater disturbance of property rights to annul the
   donation or reduce it outright.
3. Following the maxim priority in time is priority in
   right.

Question 19

What are the steps in distribution of the Estate?

Answer 19

1. Determination of the gross value of the estate at the time of the death of the testator.
2. Determination of all debts and charges which are chargeable against the estate.
3. Determination of the net value of the estate by deducting all the debts and charges from the gross value of the estate.
4. Collation or addition of the value of all donations inter vivos to the net value of the estate.
5. Determination of the amount of the legitimes
   from the total thus found.
6. Imputation of the value of all donation inter vivos made to compulsory heirs against their legitime and of the value of all donation inter vivos made to strangers against the disposable free portion, and the restoration to the hereditary estate if the donation is inofficious.
7. Distribution of the residue of the estate in accordance with the will of the testator.