You are liable to pay your father debts only to extent of your inheritance
2) you cannot restrain your creditors from filing any case against you for recovery of debts
3) court would not grant any reliefs without considering your reply
Deceased father's debts and blank promissory notes
My father passed away two months back. He had got lot of debts from unknown lenders and gave blank promissory notes and blank cheques as security. But my father did not own any property or any bank balance. None of us inherited any property from my father. The lenders are now expecting me to pay the loans. Though I am ready to settle some portion of loan as a matter of good will, I don't want to settle full amount that they claim as the amount they claim seemed to be too much exaggerated. Some loans were already partly settled but they still claim them as fully unpaid. Some of those lenders has already issued legal notice and I also responded denying their claim. I understand that as per the extent of inheritance, our family members gets nothing from my father and hence none of us are liable to pay any debts. But I want to formally inform all those lenders that none of our family members are legally bound to pay any debts of my father. Some of the lenders are ready to file a case against me claiming to settle the debt. I understand that court would accept their case at first and it would take months for us to prove that we inherited nothing from the deceased person and not liable to payback. I don't to get into this situation. Is there a way to serve a 'whom so ever it may concern' kind of notice that we are not liable to pay any debts so that the lenders will not approach court against us or court will not accept such case against us. Please help me to understand is there any way doing this.. or a Caveat Petition would help?. How much it costs to issue a Caveat Petition. If there is any case filed against me, would it impact my foreign country travels during the hearing. Thanks
Asked 4 years ago in Property Law
Religion: Hindu
First answer received in 10 minutes.
Lawyers are available now to answer your questions.
10 Answers
The legal heirs are liable for the debts of the deceased, llimited to the estate they have inherited.
Consult and engage a local prudent lawyer for better appreciation of facts, analyse, guidance and proceeding professsionally.
1. Legally you are not bound to issue any Notice of Caveat, nor you are bound to pay the liabilities of Father (provided father had no assets declared in his income tax returns, till his demise).
2. IT would start something, IF you issue or do anything that you mentioned. At the moment, the lenders have got nothing against you, that they can successfully use in a court of law. However you can use your Father's last Income Tax Returns & Account Statements, to prove that Father never had any liability or asset at time of his death.
- As per law, you are not responsible for the debts of your father, because father and son`s assets will be treated as their respective separate properties.
- Moreover , if you got property of father both movable or immovable properties through inheritance then only , your liability to pay the debs , after selling those inherited property.
- Even,a person who has joined the job on compassionate ground , then also he is not responsible for the debt liability of his father.
- But, if you are a guarantor of the said fund taken by your father , then only you are responsible for paying the same, otherwise they cannot legally recover the said amount from you.
- Legally, you cannot restrain them from filing a case of recovery etc against you .
- You should reply the notice send by the lender , after mentioning that your father has not inherited any property or asset , in favour of you or family members, hence they cannot recover the amount taken by your father from you.
- Yes, you can file a Cavet petition , to get the information of the cases filed against you . Cost depend on the lawyer , to whom you approach , not fixed.
- No, it will not impact your foreign travelling during the hearing . You will have to engage a lawyer in your absence.
Good luck and dont forget to rating Positively.
First place the proposed notice to public cannot stop the lenders from approaching the court.
The court is not bound by your notice that they will not entertain the case filed by the lenders in this regard even if you have published any such public notice.
The caveat petition will not come to your rescue as well.
Let them file a suit for recovery, yo can challenge the same , the burden is on them to prove that you have inherited any property form your father hence you are liable to pay his debts.
You need not spend anything if they file a suit.
1. You are not liable for the debts of your father if you have not inherited any property from him.
2. File a FIR against lenders/creditors if they harass you.
Children are not liable to pay parents debt. Don`t pay single penny. No Case against you and legal notice is ineffective against you.
Court will dismiss the case at admission stage.Just don`t do anything and stay relax. Let the lenders do left and right, will get nothing lastly.
Caveat or whatever - waste of money. Clear provision under succession act. Son is not liable to pay back his father's debt out of anything that he had made out of his own income or savings. He is only liable to pay out of what was his father's property and his inheritance in the same
You are only liable to pay the loans to the extent of property Inherited from that person. Yes caveat will only help you from court that no reliefs will be given to them against you without hearing you.
1. No there is no such way which can prevent lenders from Filing suit in court.
2. No civil case will not impact your plans to travel abroad.
Upon death of Hindu, his legal heirs are entitled / liable for his acts.
Yon being his child, you are liable to the extent of your inheritance, beyond that, the creditor cannot ask.
You cannot restrain your father's creditors from initiating recovery proceedings.
Upon filing case, the court on satisfying will grant relief as prayed by creditor.