Vereffening

Liquidation is the legal process that takes place following a person's death in order to wind up the estate in an orderly manner. The deceased's debts and liabilities are first discharged from the assets, after which any remaining balance is distributed among the heirs or legatees.

This process is important because it prevents heirs from becoming personally liable for the decedent's debts and ensures an equitable distribution. In practice, liquidation may be carried out either by the heirs themselves or by a liquidator appointed by the court, depending on the complexity of the estate and any disputes that may arise.

The liquidator is responsible for compiling an inventory of the estate, settling its debts and preparing the distribution, and must render an account to the parties concerned.