French succession law – resolving differences with New Zealand succession law

9 Sep 2025

The fact that children have a compulsory legal share in a French estate frequently comes as a surprise to New Zealanders, particularly when the deceased has children from more than one relationship.

The way that assets held in a French estate are treated pursuant to New Zealand and French law often conflict. For one of our clients, key areas to resolve for the French estate included:

1. The New Zealand will left the French assets to a family member, whereas French law gave the deceased’s children compulsory rights and required the children to be recompensated if they didn’t receive their inheritances; and
2. The family member agreed to modify their rights so that the children would inherit the French estate equally, but if the statutory trustee (which applies in respect of the rights of minor children) was to retain assets in a statutory trust until each child reached the age of 18 then:
1. France would ignore the statutory trust
2. There would be costly ongoing compliance in France in order to avoid the annual €20,000 penalties.

It was clear that a statutory trust was not in the best interests of either child.

Given our understanding on how the conflicting laws could be resolved, we proposed to the barrister representing one of the parties and to the statutory trustee that Martelli McKegg represent all parties to give effect to the family member’s agreement. This would involve liaising with the French notaire so that we could demonstrate how New Zealand law provided the comforts required under French law, and permitting each child’s legal guardian to manage their respective child’s inheritance until they turned 18 years of age.

Agreement was reached that Martelli McKegg represent everyone as part of the negotiations with the French notaire.

The outcome was successful and carried out cost effectively, in a way that maintained a positive relationship between all parties.

Not everyone is open to work collaboratively, but in this case they did, and it was a win-win outcome for everyone.

If you’re facing complex issues with a French estate, contact Lee Harris or any member of our Trust and Asset Planning team.