6 July 2026.
Where a usufruct covers money, the usufructuary may generally use it. When the usufruct ends, an equivalent amount must be returned: the bare owner therefore holds a restitution claim.
How is that claim dealt with when the usufructuary dies? In a judgment dated 17 June 2026, the French Court of Cassation held that the notary is not required to deduct the amount automatically from estate funds and pay it directly to the creditor.
A debt of the estate, not a direct right over its assets
The holder of the restitution claim is a creditor of the estate, and the claim forms part of the estate’s liabilities. It does not, by itself, give the creditor ownership of a particular sum or a direct right over funds held by the notary.
In the case before the Court, life-insurance proceeds had been paid to the usufructuary. After her death, the bare owners sought payment from the notary of the sums corresponding to their restitution claim. The Court held that they had to act as creditors of the estate; they could not claim the estate’s cash assets directly.
The notary cannot take the place of heirs and creditors
Knowing that an estate debt exists does not automatically entitle the notary to withhold funds and pay a third party without the relevant heir’s agreement or another enforceable basis. The Court therefore found no fault, in this case, in the notary’s transfer of the liquid assets to the sole heir.
The judgment does not extinguish the restitution claim. It distinguishes between the existence of the debt and the notary’s authority to discharge it directly from estate funds.
Documenting the claim in advance
A quasi-usufruct agreement, a split-beneficiary clause or another document clearly recording the origin, amount and repayment terms of the claim can make the eventual estate administration considerably easier. When the usufructuary dies, the creditor must declare and substantiate the claim and arrange payment with the heirs as part of the estate settlement.
Read the judgment of the First Civil Chamber of the French Court of Cassation dated 17 June 2026 (No. 24-12.874) (in French).
Photograph: Van Tay Media / Unsplash.
The notarial office does not contractually guarantee the accuracy or currency of this information. For advice on how it applies to your circumstances, please consult one of the office’s notaries.
