Estate settlement

Dear Atty. Peachy,

My grandfather passed away several years ago, leaving behind a house and lot that is now the subject of estate settlement proceedings. One of my cousins moved into the property shortly after his death and has been living there rent-free ever since.

The other heirs have repeatedly asked her either to vacate the property or to pay reasonable compensation for her exclusive use of it. She refuses, arguing that because she is also an heir, she has every right to occupy the entire property without paying anything to the others.

Can one heir exclusively occupy inherited property while preventing the other heirs from using it? If not, are the other heirs entitled to compensation?

Mon

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Dear Mon,

The fact that your cousin is also an heir does not automatically give her the right to occupy and enjoy the entire property to the exclusion of the other heirs.

Before the estate is partitioned, the house and lot remain part of the hereditary estate and are considered co-owned by all the heirs. While each heir has a right to possess, use and enjoy the property, that right extends only to an undivided share of the whole and must be exercised with due regard for the equal rights of the other co-heirs.

Consequently, no heir may claim exclusive possession of the entire property or prevent the other heirs from using it. If one heir occupies the property alone and refuses to allow the others access or use, such exclusive occupation may be considered an improper exercise of a co-owner’s rights.

In such circumstances, the occupying heir may be required to account for the benefits derived from her exclusive use of the property. The other heirs may have a basis to demand reasonable compensation, particularly if they have repeatedly requested that she vacate the premises, share possession, or pay for her sole use of the property, and she has refused to do so.

Whether compensation is ultimately recoverable will depend on the specific facts of the case, including the duration of the occupancy, the demands made by the co-heirs, the extent of their exclusion from the property, and the evidence showing that the occupying heir enjoyed the property exclusively at their expense.

Atty. Peachy Selda-Gregorio