The passing of a person is followed by the need to settle their estate. In Cyprus, the administration of a deceased person's property is governed by Cap. 189 The Administration of Estates Law and Cap. 195 – The Wills and Succession Law, as well as by relevant secondary procedural regulations. Proper and lawful administration ensures that the deceased's final wishes are fulfilled (where a will exists) or that inheritance is distributed according to intestate succession laws (where there is no will).
1. Will or No Will
The process of administering an estate primarily depends on whether the deceased left behind a will:
- With a Will: If a valid will was made, the estate is distributed according to its terms, provided that the rights of forced heirs (compulsory shares) are respected as required by law.
- Without a Will: In the absence of a will, the estate is distributed under the rules of intestate succession, as defined by law.
2. Grant of Representation
In order for any person to manage the deceased's estate, a court order must be obtained. The application for the grant is filed at the Registry of the District Court where the deceased had their habitual residence.
3. Issuance of the Grant and Estate Administration
Upon review of the submitted documents and fulfillment of the legal conditions, the Court issues the relevant Grant of Probate (if a will exists) or Letters of Administration (if not). The executor or administrator is then legally authorized to:
- Collect the deceased's assets,
- Settle debts and expenses (e.g., funeral costs),
- Distribute the remaining estate to the heirs in accordance with the law or the will.
It should be emphasized that debts and obligations must be paid first, and only the net estate is distributed to the heirs.
Funds deposited in the deceased's bank accounts, proceeds from asset sales, or any other amounts due to the estate must be deposited into a separate administration account opened in the name of the administrator or executor, specifically in their capacity as such.
4. Statement of Assets
Before disposing of any assets, the applicant must submit a detailed Statement of the Deceased's Assets to the Tax Department, as prescribed by relevant law. Although inheritance tax was abolished for deaths occurring after the year 2000, the estate must still be declared and the appropriate certificates issued.
5. Duties of the Executor/Administrator
The executor or administrator has a fiduciary duty towards all heirs and must act transparently, honestly, and diligently. In case of misconduct, interested parties may apply to the court to remove, replace, or investigate the actions of the administrator.
6. When Legal Disputes Arise
Court proceedings may arise, for example:
- Regarding the validity of the will,
- The legal entitlement of forced heirs,
- The administration or distribution of the estate,
- Or claims by creditors or third parties.
The court has jurisdiction to resolve such disputes either within the estate proceedings or through independent legal action.
7. Completion of Administration
Once the estate has been distributed, the administrator must submit final accounts to the court, detailing under oath how the distribution took place and attaching supporting documentation.
These final accounts must be accompanied by written consents from the heirs, confirming that they have received their shares and have no further claims against the administrator.
The Importance of Legal Guidance
The administration of a deceased person's estate in Cyprus is essential for delivering justice and avoiding disputes among heirs and family members. Legal advice is crucial at every stage—from drafting the will to the final distribution of the estate—to ensure a smooth, lawful, and fair process.
Related News
Explore our News & Insights for authoritative commentary on emerging case law, legislative developments, and market trends delivered in clear, actionable analyses.
