International estate management for property acquisitions in Normandy

The Hague Convention of 14 March 1978 provides for various cases of automatic change in matrimonial regime merely because of a change of residence. We often talk about "involuntary" change of matrimonial regime, of "time bomb" and of "unsafe" automatic mutability because many spouses are unaware that they have changed their matrimonial regime simply by having moved. What is more, when spouses do become aware of the situation, it is often too late. This automatic mutability can present considerable difficulties in determining the property owned by each spouse, particularly in the context of an estate or divorce settlement. This risk is a real one for all spouses married after 1 September 1992 and who did not sign a prenuptial contract before their wedding or specify under which law they married. For them, the law on habitual residence will replace the previously applicable law in three situations: *When the couple set their new habitual residence in the territory of the State of which they are both nationals. In this case the spouses are automatically and immediately subject to the law of that State. (Example: two French nationals had settled in England after their marriage in 1994. No marriage contract had been signed. If they return to settle in France, they will automatically be subject to French law and therefore the legal regime of community of aquests (limited to assets acquired after the marriage). *When the couple establish their habitual residence for at least 10 years in a country different from that of their first marital residence. In this situation, from the 11th year, the law of the State where the spouses have their habitual residence will replace the law previously applicable. * If the spouses were previously subject to their common national law in the absence of common residence in the same State at the time of marriage. However, it is necessary that the State of nationality has not made a declaration in favour of the national law. (Example: two Moroccan spouses were married in Morocco in 1995, without a prenuptial contract prior to their marriage. The husband was already working in France and returned there to live after the wedding while his wife remained in Morocco. In the absence of a common habitual residence, the spouses were therefore subject to Moroccan law and separation of property. When the wife came to join her husband in France, the couple automatically became subject to the French legal regime of community of acquests (limited to assets acquired after the marriage). ) To avoid the difficulties entailed by this automatic change of matrimonial regime, it is strongly recommended, in an international context, to have a marriage contract drawn up in presence of a notary in order to fix the choice of matrimonial regime. To this end, Ms. Alexandra ETASSE, in charge of the International Department of the Etasse et Associés law office, will advise and assist you in choosing the matrimonial regime best suited to your situation. 

In an international context, the future spouses will need to anticipate the issue of determining their matrimonial regime. To this end, the international department of ETASSE et Associés advises its French clients living abroad or foreign clients living in France, in order to determine the most suitable matrimonial regime for their situation. Only a marriage contract may guarantee spouses the legal security and stability in an international context. For spouses already married, the international department assists them with any change in the applicable law or regime. 

The gift between spouses, also called "gift to the last survivor" is very often used by couples wishing to increase their protection in the event of death. But this institution is little known abroad. It is unknown under some law systems, while others prohibit it. Moreover, in an international context, a gift between spouses can raise difficulties. To avoid such difficulties, it often appears wiser for a couple owning assets abroad or living abroad or when at least one of the partners is of foreign nationality, to make wills. Spouses may establish themselves by will reciprocally as sole legatees. Thus the objective sought by the gift between spouses, namely to increase the protection of the surviving spouse, will be achieved. 

If the notary accompanies his clients in the good times (e.g: marriage, purchase), he is also there to assist them in painful times such as is the death of a close relative and the regulation of a succession. The international department of the ETASSE et Associés law office, is directed by Maître Alexandra ETASSE, specialist in International Private Law. She accompanies her clients in the framework of regulation of succession in international dimension by taking into consideration both the legal and civil, as well as fiscal dimensions. In a general manner, the regulation of a succession takes place in five stages: 1 / The opening of the succession. The heirs should choose a notary to help them in the regulation of the succession. In a general manner it is advised that they all agree on this choice so that a single notary is in charge of the regulation of this succession. The notary and the heirs should search for the existence of a possible will left by the deceased, either in his personal business, in a notary's office in France or abroad or among any other jurists abroad. The wills which are at a notary in France are in principle recorded in a central file, denoted the Central File of Provisions of Last Will and Testaments. This file will be queried by the notary in charge of the regulation of the succession. It is important to note that in France, contrary to what happens in other foreign legal systems, the heirs are personally responsible for the regulation of the succession and the payment of the succession dues. 2 / The establishment of the act of notoriety. The notary in charge of the regulation of notoriety, shall draw up an act of succession, in which will be listed all the heirs, legatees and the rights of each as well as their shares in the succession. 3 / The determination of the act of succession. This stage aims to determine both the act and the liability of the succession by taking into consideration the matrimonial regime of the deceased. The prior donations will also be considered both for civil and fiscal reasons. The existence of a life insurance contract must sometimes be taken in account in the determination of the succession assets.  4 / The option. Once the succession assets are determined, the heirs must opt between various choices (e.g: to accept the succession). The surviving spouse with regard to the particular options (e.g.: the usufruct of the whole). 5 / The establishment of the succession declaration and the regulation of taxes.  The taxation of the succession assets shall be a function of the nature of the assets and the relationship between the heirs and the deceased as well as of the existence of possible international conventions. In addition, the notary will be charged to draw up the other acts possibly necessary to finalise the regulation of the succession (e.g: certification of ownership for the real estate assets, certificate of ownership for the parts of a company, closure of the inventory…) In a general manner when the succession includes some international elements, the international department of the ETASSE et Associés law office, will analyse the situation. Often, it is also necessary to resort to services of a jurist in the country concerned

Since 17 August 2015, a major European Regulation dated 4 July 2012 has come into effect. The provisions of this Regulation apply where the deceased died on or after 17 August 2015. The Regulation aims at unifying the laws on inheritance so that the assets left by the deceased, whether movable or immovable, will no longer be divided and subject to different laws. They will be subject to a single law, the law of the State in which the deceased had his habitual residence at time of death. But this law also allows for the planning of his estate. Thus, this Regulation allows people to choose their inheritance law and to designate their national law to govern the whole of their estate. This choice of law is called "professio juris".  For greater legal certainty it is strongly recommended that you make this choice of law in writing in the form of a will. Nevertheless, the designated law will apply only on condition that it is not contrary to international public order.  The International Department of ETASSE et Associés will assist you in drafting your wills in an international context and in this choice of inheritance law. Our team will give you advice for considering the possibilities offered by this Succession Regulation but also its limitations. Indeed, although the Succession Regulation is "universal" in character (applicable regardless of the nationality of the persons concerned, even if they are not nationals of a connected State), its opposability in regard to third countries may raise some difficulties. Moreover, the determination of "habitual residence at time of death" can sometimes be tricky. Warning: this Succession Regulation contains no provisions on taxation. It will therefore always be necessary to refer to the provisions of the Code Générale des Impôts (the French General Tax Code), to the tax treaties signed between France and many States, and possibly the national tax systems of each State. Here again, seeking advice from the International Department of ETASSE et Associés will prove to be extremely usefu

Marriage, a union and mutual commitment between two people, is considered as being international in the three following scenarios: the union of two French nationals living abroad, of two foreign nationals living in France, or two spouses of different nationalities. Though these situations are increasingly frequent, special attention however needs to be paid to the requirements for international marriages to be recognised in order to ensure the latter's full effectiveness and avoid any subsequent difficulties. Generally speaking, to be recognised, a marriage must comply with the local rules applicable in the location where the marriage was celebrated, as regards the formal requirements (ex: civil or religious marriage, etc.) and the personal rules applicable to the spouses (depending on their nationality), as regards substantive requirements (ex: age of majority). The situation of French nationals abroad and foreign nationals in France must thus be distinguished. * conditions for the recognition of marriages between French nationals abroad: Many formalities must imperatively be observed should French nationals marry abroad. Before marrying, the future spouses will need to request the French consulate of the country in which the marriage is to be celebrated to establish a "certificate of no impediment". Next, the spouses will need to "publish the banns". Finally, the marriage will imperatively need to be recorded in the French civil status registers. To do so, the spouses will need to contact the French Consulate or Embassy. *conditions for the recognition of marriages between foreign nationals in France: In this case, the local rules – i.e. the French rules – will apply. The marriage will thus be celebrated before a French Civil Registrar. If the two spouses share the same foreign nationality, their marriage may also sometimes be celebrated in front of their country's consular or diplomatic authorities. However, the substantive requirements under the law of each of the spouses' countries will need to be observed (ex: as regards the age of majority) and the spouses will need to make sure that their national laws do not impose a religious celebration as a condition for validity. If the foreign law imposes the latter requirement, it would then be in the spouses' best interest to carry out a religious marriage after the civil marriage in order to ensure the effectiveness of their union in their country of origin.