If you have been appointed liquidator and have agreed to assume the responsibility, you must carry out all of the steps to settle the succession. You will have to contact government departments and agencies to terminate programs or request benefits. They will require an official proof of death issued by the Directeur de l'état civil. You must make sure which type of document is required and the time limit for each claim for benefit, compensation and transfer or cancellation.
If you completed the Application for the simplified forwarding of information relative to the death with the Declaration of death, the government departments and agencies mentioned on the form will be notified of the death by the Directeur de l’état civil. You will not have to provide them with a death certificate.
A testator may designate in his or her will the person to whom the testator would like to entrust the liquidation of his or her succession.
The following persons may act as liquidators:
- a person who is fully capable of exercising his or her civil rights;
- a legal person authorized by law to administer the property of others.
Acceptance or refusal of the office of liquidator
No person other than the sole heir of a succession is bound to accept the office of liquidator of the succession, even if that person is designated as the liquidator in a will. We recommend that a person who declines the task of liquidating a succession do so in writing in order to have tangible proof of his or her refusal.
Note
It is preferable to accept or refuse the office of liquidator within six months following the testator’s death. A person who accepts the office may still renounce it later on, but, in certain circumstances, the person may have to repair any prejudice caused as a result.
If no liquidator has been designated, the office devolves to the deceased person’s heirs. However, the heirs may also designate, by majority vote, a third party, such as a notary, to act as liquidator.
Replacement of a liquidator
Authorization may be given to replace a liquidator if the liquidator’s replacement is necessary to safeguard the interests of a succession.
Anyone who wants to request that a liquidator be replaced should contact a legal advisor.
Note
The appointment or replacement of the liquidator of a succession must be published in the register of personal and movable real rights ( RDPRM) and, if the succession involves an immovable, in the Québec land register.
Duties of the liquidator
In particular, the liquidator must:
- conduct a search for the will and have it probated;
- locate and contact the successors (see definitions);
- make an inventory of the deceased person’s property;
- submit a notice of closure of the inventory to the RDPRM;
- pay the succession’s debts;
- propose a partition of the succession;
- submit a final account of the liquidation and publish a notice of closure of the account in the RDPRM;
- hand the property over to the heirs;
- inform the Curateur public du Québec if an inheritance of more than $25,000 has been remitted to a child under 18.
Note
The liquidator must ensure that the succession is solvent before partitioning the property. A succession is considered to be solvent if property remains after the succession’s debts are paid.
Before disposing of property, the liquidator must request authorization from Revenu Québec by completing and submitting the Notice Before Distribution of the Property of an Estate form and from the Canada Revenue Agency by completing and submitting the Asking for a Clearance Certificate form.
Exemption of the liquidator
The liquidator may be exempted from performing all of the duties associated with the office of liquidator under the following conditions:
- The succession is manifestly solvent.
- All of the successors (see definitions) or heirs have agreed to exempt the liquidator from performing all of his or her duties.
If the liquidator is released from the obligation of performing all of his or her duties and the succession turns out to be insolvent, the heirs will have to pay the succession’s debts out of their own patrimony.
Heirs who liquidate a succession without following the prescribed rules must obtain authorization from Revenu Québec and the Canada Revenue Agency before partitioning the property.
The liquidation is complete when the following conditions have been met:
- The creditors and legatees by particular title have been paid.
- The succession’s debts are assumed by the heirs or settled in another manner.
- The assets are exhausted.
The liquidation is legally terminated only once the liquidator has obtained a clearance certificate.
Reimbursement of expenses and remuneration of the liquidator
Under the Civil Code of Québec , the liquidator of a succession is entitled to the reimbursement of expenses incurred in performing his or her duties.
If the liquidator is not an heir, he or she is also entitled to receive remuneration. If the liquidator is an heir, he or she may be remunerated if the testator so provided in his or her will or if the heirs so agree.
If the remuneration was not set by the testator, it may be set by the heirs or, in case of disagreement among the interested parties, by the court.
Successor
A person who has not yet decided whether to accept or renounce a succession. The person becomes an heir when he or she accepts the succession.
The settlement of a succession concerns the following persons:
- the testator and the testator’s close relatives;
- any person designated as liquidator of the succession;
- any person who has accepted the office of liquidator of a succession;
- the testator’s successors;
- the testator’s heirs.
Civil Code of Québec , 1991, chapter 64, art. 764 and 776 to 822
Tax Administration Act , R.S.Q., chapter A-6.002 (chapter M-31)
