France Retreats on Forced Heirship: English-Law Wills Now Exempt for French Property Owners

In June 2026, the French Ministry of Justice delivered a long-awaited clarification that brings significant relief to British, Australian, New Zealand and other common-law nationals who own property in France. The Ministry confirmed that wills governed by the law of England and Wales are exempt from the prélèvement compensatoire (compensatory levy) introduced in 2021 under Article 913, paragraph 3 of the French Code civil. This development, which followed a multi-year campaign by affected expatriates and a formal examination by the European Commission, resolves years of uncertainty that had prompted some foreign owners to sell their French homes or leave the country altogether. This article explains what forced heirship is, how the 2021 law disrupted estate planning, what the June 2026 clarification means in practice, and what foreign owners of French property should do now.

I. The French Forced Heirship System and the 2021 Compensatory Levy

A. The réserve héréditaire: A Fundamental Principle of French Succession Law

French succession law is built around a concept profoundly different from the testamentary freedom that characterises the common-law world. In England, the United States (outside Louisiana), Australia and most Commonwealth jurisdictions, a person may, in principle, leave their entire estate to anyone they choose. French law, by contrast, imposes a réserve héréditaire (forced heirship reserve): a portion of the deceased’s estate that must, by law, pass to certain protected heirs, known as héritiers réservataires. No will, however carefully drafted, can override this reserved portion.

Article 912 of the French Code civil defines the réserve héréditaire as “the portion of the estate assets and rights the devolution of which, free of charges, the law guarantees to certain heirs, known as reserved heirs, provided they are called to the succession and accept it.” This is the bedrock of French inheritance law, and it has been so since the Napoleonic Code of 1804. The remaining portion of the estate, which the deceased may freely dispose of by gift or will, is called the quotité disponible (disposable portion).

The size of the forced reserve depends on the number of children, as set out in Article 913 of the Code civil. A deceased leaving one child may freely dispose of only half of their estate; two children reduce the disposable portion to one-third; three or more children reduce it to one-quarter. The reserve is calculated on the net value of the entire estate, including all gifts made during the deceased’s lifetime. As the Cour de cassation reaffirmed in a leading decision on the réserve, “no testamentary provision may modify the rights that reserved heirs hold by law” (Cass. 1re civ., 22 June 2022, no. 20-23.215, Publié au Bulletin). That case, which concerned a father who left a life interest in his house to his partner while his daughter claimed her reserved share, illustrates the strictness of the rule: the Cour de cassation held that a usufruct legacy must be imputed against the disposable portion en assiette (i.e. by reference to the full capital value of the asset, not merely the value of the life interest).

B. The 2021 Compensatory Levy Under Article 913, Paragraph 3 of the Civil Code

For decades, foreign owners of French real estate navigated the tension between their home-country testamentary freedom and French forced heirship through a mechanism provided by the European Succession Regulation of 4 July 2012 (Regulation (EU) No. 650/2012, known as “Brussels IV”). Article 22 of that Regulation allows a person to elect, in their will, the law of their nationality to govern their entire succession — a mechanism known as professio juris. A British national could thus provide that English law governs their estate, including French real property, thereby avoiding the automatic application of the réserve héréditaire. The default rule remains the law of the deceased’s habitual residence (Article 21), but the election of national law provides a genuine planning tool.

The Cour de cassation has applied the EU Succession Regulation in several important decisions. In a case decided on 21 September 2022, the Cour de cassation held that French courts have subsidiary jurisdiction under Article 10 of the Regulation when a French national who habitually resided outside the EU dies leaving assets in France — a rule the court described as obligatory and which must be raised by the judge ex officio (Cass. 1re civ., 21 Sept. 2022, no. 19-15.438, Publié au Bulletin). More recently, on 20 May 2026, the same chamber ruled on the determination of whether assets are located in France for purposes of the EU Regulation, citing the Court of Justice of the European Union’s decision in Hantoch (C-291/23, 7 November 2024) to hold that “the location of the succession assets shall be assessed at the time of death” (Cass. 1re civ., 20 May 2026, no. 23-20.436).

Yet this European private international law framework proved politically uncomfortable for France. On 1 November 2021, a new third paragraph was added to Article 913 of the Code civil, which reads:

“Lorsque le défunt ou au moins l’un de ses enfants est, au moment du décès, ressortissant d’un Etat membre de l’Union européenne ou y réside habituellement et lorsque la loi étrangère applicable à la succession ne permet aucun mécanisme réservataire protecteur des enfants, chaque enfant ou ses héritiers ou ses ayants cause peuvent effectuer un prélèvement compensatoire sur les biens existants situés en France au jour du décès, de façon à être rétablis dans les droits réservataires que leur octroie la loi française, dans la limite de ceux-ci.”

In essence: where the deceased or at least one of their children is an EU national or resident at the time of death, and where the foreign law governing the succession provides no protective mechanism for children whatsoever, each child (or their heirs) may claim a compensatory levy against assets situated in France to restore the share they would have received under French forced heirship rules. This applied even where the deceased had validly elected their national law under the EU Succession Regulation. The provision was introduced as an amendment to legislation on respect for the principles of the Republic, originally aimed at preventing discrimination against daughters under certain foreign laws, but was widely considered by practitioners to have been enacted with broader objectives.

The legal uncertainty this created was severe. Notaires — the public officers who handle French succession matters — lacked definitive guidance on which foreign laws were exempt. Many took the cautious view that they were obliged to notify children of the deceased about their right to claim the levy whenever a foreign law lacked a fixed hereditary reserve, potentially undermining the estate plans of clients who had carefully prepared wills under the EU Regulation. The Cour de cassation’s case law on habitual residence added another layer of complexity: in a case decided on 12 July 2023, the Cour de cassation affirmed French jurisdiction over a succession where the deceased had moved to Portugal but had only resided there for fewer than five months, noting that the determination of habitual residence under Article 4 of the Regulation requires “an overall assessment of all the circumstances of the deceased’s life during the years preceding death” (Cass. 1re civ., 12 July 2023, no. 21-10.905).

The practical consequence was that British nationals — who form the largest group of foreign property owners in France — found themselves caught between two systems: an English will validly electing English law, and a French statutory provision that appeared to override that election. Some, like retired engineer Christopher Larmer and his wife, put their French homes on the market. Diana and Derrick Ryan, both in their eighties with children from previous marriages, sold their Hérault property and returned to the UK, stating they “could not risk remaining in France if one of us had died.”

II. The June 2026 Clarification and Its Practical Consequences for Foreign Property Owners

A. What the French Ministry of Justice Confirmed: English Law Wills Are Now Exempt

Following formal complaints lodged with the European Commission beginning in 2023 — including a “significant number” acknowledged by the Commission — and a sustained campaign led by British residents in France Ronnie Bennett and Trish Miller under the banner “My Will My Way,” France’s Ministry of Justice sent a letter to the European Commission in June 2026 confirming that French notaires do not need to apply the compensatory levy when a will is governed by the law of England and Wales. The reasoning, published through the Commission’s official channels, rests on the recognition that English law does contain mechanisms protective of children — specifically, the Inheritance (Provision for Family and Dependants) Act 1975, which allows certain categories of applicants, including children, to seek reasonable financial provision from an estate if they have been left without adequate support.

The Ministry of Justice stated: “As indicated in the Commission’s publication, the right to a levy is limited to cases where the foreign law permits absolutely no protective mechanism for children.” This represents a broad and pragmatic interpretation. France does not require foreign laws to provide protection identical to the French réserve héréditaire; a mechanism that allows a court to intervene in cases of genuine need is sufficient.

The implications extend beyond the law of England and Wales. Because the principle turns on whether the applicable foreign law includes some child-protective mechanism — however different in form from the French reserve — the following common-law systems that contain similar “dependent’s relief” or “family provision” statutes are expected to qualify as well:

• Australia — all states and territories have family provision legislation (e.g. Succession Act 2006 (NSW), Part 3.2).
• New Zealand — Family Protection Act 1955 and Law Reform (Testamentary Promises) Act 1949.
• Ireland — Section 117 of the Succession Act 1965, which allows a child to apply where the parent has “failed in his moral duty to make proper provision.”
• Canadian common-law provinces (Ontario, British Columbia, etc.) — each provides statutory dependant’s relief.
• Scotland — which already has legal rights (a form of forced share over movable property) and was separately confirmed as exempt.

The position of the United States is more complex. The law of most US states provides broad testamentary freedom without a statutory equivalent of the English Inheritance Act. The French Ministry’s letter did not address US-law wills, and the Connexion newspaper has reported that the 2021 provisions are expected to continue to apply to many American will-makers. One notable exception is Louisiana, whose civil law system includes a réserve for children under 24 or who are disabled and unable to provide for themselves. American nationals with French property should seek specific, jurisdiction-sensitive advice.

The Cour de cassation’s continuing vigilance over the integrity of the réserve héréditaire should not be underestimated. In a decision of 10 June 2026 — handed down only days before the Ministry’s clarification was published — the Cour de cassation addressed a case where one sibling was accused of having fraudulently diverted corporate shares from the succession to deprive his sister of her reserved rights. The Court, applying Articles 893 and 894 of the Code civil, examined in detail whether the transactions constituted donations déguisées (disguised gifts), examining the requirement of an appauvrissement (impoverishment) of the donor with the intention to benefit the recipient (Cass. 1re civ., 10 June 2026, no. 24-10.363). The decision illustrates that French courts actively police attempts to circumvent the réserve — a reminder that the protection of reserved heirs remains a deeply embedded jurisprudential value even as France yields on the international front.

B. Practical Steps for Foreign Owners of French Real Estate

The June 2026 clarification removes a major source of anxiety for British and other common-law owners of French property. However, it does not eliminate the need for careful estate planning. The following steps should be considered:

1. Make a valid will electing the law of your nationality. The EU Succession Regulation requires an express choice. A will that simply distributes assets without a professio juris clause will be interpreted under the default rule — the law of the deceased’s last habitual residence — which may be France. The election should be explicit: “I elect that the law of England and Wales shall govern my entire succession.” A French notaire can assist in drafting a will that complies with both the formal requirements of the Regulation and the substantive expectations of French practice. A will prepared in England by an English solicitor unaware of the Regulation’s requirements may not be fully effective in France.

2. Consider the inheritance tax consequences. Electing a foreign law does not alter the tax position. French inheritance tax (droits de succession) applies to French-situated assets regardless of the law governing the succession. The rates and allowances depend on the relationship between the deceased and the beneficiary, not on the law applicable to the succession. A surviving spouse benefits from a full exemption from French inheritance tax (since 2007). Children benefit from a €100,000 allowance per child per parent before progressive rates apply (5% to 45%). Unrelated beneficiaries face a flat 60% rate on any amount above a minimal allowance. The role of a notaire (French public notary) is mandatory for the transfer of real estate upon death, and the notaire will calculate and collect the inheritance tax before distributing the assets.

3. For couples: the surviving spouse’s position still requires planning. English wills typically leave everything to the surviving spouse. Under French inheritance tax law, this is favourable (spouse exemption). Under succession law, the election of English law now allows this approach without fear of a compensatory levy. However, if the deceased has children from a previous relationship, the dynamics are different. Even under English law, those children may apply under the Inheritance (Provision for Family and Dependants) Act 1975 — which is precisely why France now considers English law protective. Couples in this situation should consider the use of a French donation entre époux (gift between spouses), which can grant the survivor the maximum permissible share under French law, or the usufruit (life interest) mechanism, which allows the surviving spouse to remain in the property for life while the children hold the nue-propriété (bare ownership).

4. En-bloc acquisition structures deserve attention. Foreign buyers who purchase French property through a société civile immobilière (SCI) — a French real estate holding company — should verify that their succession planning accounts for the SCI’s own legal personality. Shares in an SCI are movable property for French conflict-of-laws purposes, which may engage different rules than immovable property. An SCI incorporated in France is governed by French corporate law, and its articles of association should be reviewed to ensure they do not inadvertently frustrate the succession plan.

5. The prescription period for reduction actions. Article 921 of the Code civil provides that an action in reduction of excessive gifts or legacies must be brought within five years from the opening of the succession, or within two years from the day the heirs become aware of the infringement of their reserve, with an absolute cut-off of ten years from the date of death. The same article requires the notaire settling the succession to inform each known reserved heir individually, before any partition, of their right to seek reduction. This duty of information continues to apply and should be factored into the estate administration timeline.

6. French probate and the notaire’s role. After a death, the French notaire will open the succession, identify the heirs, obtain the will, determine the applicable law under the EU Succession Regulation, prepare a déclaration de succession (inheritance tax return), and after payment of tax, prepare the attestation de propriété (certificate of ownership) that enables the transfer of the French property to the beneficiaries. The notaire’s role is mandatory under French law for real estate transfers upon death and, in practice, acts as a safeguard that ensures the process is conducted in compliance with French formal requirements. Foreign owners should designate a notaire in advance and ensure their will is registered in the French Fichier Central des Dispositions de Dernières Volontés (Central Register of Last Wills and Testaments).

7. The position of American nationals. The June 2026 clarification does not explicitly address US-law wills. The Ministry of Justice’s letter to the Commission cited English law’s family provision mechanism as the basis for exemption. Most US states’ laws provide broad testamentary freedom without a statutory equivalent. American owners of French property should not assume they benefit from the June 2026 retreat and should seek advice on structuring options that achieve their objectives within the French framework. These may include lifetime gifts, tontine clauses (a survivorship mechanism), or an SCI structure with carefully drafted articles of association.

8. Keep documentation current. The EU Succession Regulation requires that the election of national law be made “expressly in a declaration in the form of a disposition of property upon death.” A validly executed will meeting these requirements should be kept up to date and its location should be known to the executor. A French translation, while not legally required, is highly advisable for the practical handling of the succession by a French notaire who may not work in English. The will should be reviewed whenever the testator changes their country of residence, acquires or disposes of significant French assets, or experiences a change in family circumstances (marriage, divorce, birth of a child).

Conclusion

The French Ministry of Justice’s June 2026 clarification represents a significant and welcome retreat from the uncertainty created by the 2021 compensatory levy. For British nationals and those from other common-law jurisdictions whose legal systems contain provisions for dependent’s relief, the ability to elect their national law under the EU Succession Regulation and thereby structure their estate according to their wishes — without the risk of a posthumous claim against French-situated assets — is now confirmed. The Cour de cassation’s consistent application of the EU Succession Regulation, as illustrated in its decisions of 2022, 2023 and 2026, provides a stable judicial framework within which this planning can operate. The clarification does not, however, remove the need for professional advice. French inheritance tax, the peculiarities of French notarial procedure, the interplay between succession law and the matrimonial property regime, and the specific position of American nationals remain areas where careful, jurisdiction-specific planning is essential. Foreign owners of French real estate who have not reviewed their estate plan since the June 2026 announcement should do so promptly, with the assistance of both a French notaire and a lawyer qualified in their home jurisdiction.