Under both civil and Islamic inheritance law in Indonesia, heirs are indeed responsible for the deceased’s debts—but only to the extent of the inheritance left behind. Before any assets are distributed to the heirs, outstanding debts must first be settled using the estate. However, if the estate’s value is insufficient to cover all obligations, heirs are not personally liable for the shortfall.
Civil Law: The Scope of Liability
According to Article 833 of the Burgerlijk Wetboek (BW), a deceased person’s estate includes all assets and liabilities, which are transferred to the heirs. This means heirs automatically inherit not just the property and rights of the deceased but also their obligations. Article 1100 BW affirms that heirs are proportionally responsible for settling debts, testamentary gifts, and other obligations in accordance with the share of the inheritance they receive.
However, Article 1045 BW clarifies that no one is required to accept an inheritance. This aligns with the Right of Deliberation (recht van beraad) laid out in Article 1023 BW, giving heirs time and legal standing to assess whether accepting the inheritance is in their best interest.
Three Legal Options for Heirs
- Unconditional Acceptance (Zuivere Aanvaarding) – The heir accepts the estate as-is and becomes fully responsible for all debts, even if those debts exceed the estate’s value.
- Conditional Acceptance (Beneficiaire Aanvaarding) – The heir accepts the inheritance under the condition that debts will only be paid using the estate’s assets. Personal assets are protected. This process involves making a formal inventory of the estate.
- Rejection (Verwerping van de Erfenis) – The heir refuses the inheritance entirely. In doing so, they waive any rights to the estate and are released from any responsibility for the deceased’s debts. Rejection must be submitted formally to the court.
Legal experts, J. Satrio, explains that this legal flexibility exists to prevent unfair burdens. Some estates may carry more debt than assets, and unconditional acceptance could place an heir in financial jeopardy.
Islamic Law Perspective
The Compilation of Islamic Law (KHI) provides similar protections. Article 175(2) KHI states that the obligation to pay a deceased person’s debts lies with the estate. Heirs are only responsible up to the value of the assets inherited. If the estate cannot cover the debts, heirs are not required to use their personal finances.
Common Questions: What About Hospital Bills?
Unpaid hospital bills are considered part of the deceased’s debt. Like other liabilities, they must be paid from the estate before distribution. If an heir chooses to reject the inheritance, they bear no legal responsibility for such expenses.
Dealing with Debt Collectors
In some cases, heirs may face pressure from debt collectors attempting to recover outstanding debts. It’s critical for heirs to understand their legal position:
- Heirs are only liable up to the value of the estate;
- If the estate cannot cover the debt, heirs cannot be forced to use their personal assets;
- Debt collectors have no legal authority to seize property without a court order. If they do, their actions may be classified as theft (Article 362 of the KUHP) or even robbery with violence (Article 365 KUHP).
Final Takeaway
Heirs are not personally responsible for the deceased’s debts beyond the value of the inherited estate. They also have the right to reject the inheritance entirely to avoid being burdened with excessive liabilities. In situations involving aggressive debt collection, heirs should stand firm, know their legal rights, and seek legal assistance when needed.