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Inheritance Procedures (From the Practice of an Administrative Scrivener)

If a share of inheritance is transferred to a third party: the right of recovery under Article 905 of the Civil Code, the one-month deadline, and reimbursing the value

Illustration of organizing family, housing, and inheritance documents
浦松 丈二

浦松 丈二

行政書士・宅地建物取引士(四葉行政書士事務所/四葉不動産株式会社)

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If another co-heir transfers their share of inheritance to a third party (such as a buyout company) before division and a stranger joins the division talks, the remaining co-heirs can recover that share by reimbursing its value and costs under Article 905 of the Civil Code. This article organises the requirements, the deadline and how the reimbursement is thought about.

In short: if a co-heir transfers their share of inheritance to a third party (such as a buyout company) before the estate is divided, and a stranger enters the division talks, the other co-heirs can reimburse the value and costs and recover that share to their own side. The basis is Article 905, paragraph 1 of the Civil Code. However, under paragraph 2 of the same article, this right must be exercised within one month. This article is general information organising the requirements, the deadline and the way of thinking about the reimbursement for the right to recover a share of inheritance; it leaves disputes over the value and any specific legal judgement to a qualified professional such as a lawyer.

What happens when a share of inheritance is transferred to a third party before division?

From the opening of inheritance until the division of the estate is finished, each co-heir holds a proportional position (a share of inheritance) in the estate as a whole. This share is understood to be transferable to a third party even before the division. A third party who receives a share of inheritance stands, in place of the transferor (the original heir), in a proportional position toward the estate and joins as a party to the division talks.

In other words, when a co-heir sells their share to a buyout company or the like, a third party who is not an heir ends up sitting at the division table. From the point of view of the remaining heirs, a stranger joins talks that were supposed to proceed only among family and relatives. The transfer of a share of inheritance itself, and its external handling (such as the difference from a certificate of special benefit), are organised in The difference between transferring a share of inheritance and a certificate of special benefit. This article covers the side of the system by which the remaining heirs recover a share that has been transferred.

On what requirements can the right of recovery under Article 905 be used, and who may exercise it?

Article 905, paragraph 1 of the Civil Code provides: "Where one of the co-heirs has transferred their share of inheritance to a third party before the division of the estate, the other co-heirs may reimburse the value and the costs and acquire that share." This is the right of recovery of a share of inheritance. The requirements can be organised as follows.

RequirementContent
Timing of transferBefore the division of the estate (not covered after division)
TransfereeA third party other than a co-heir
Who may exerciseThe other co-heirs (heirs other than the transferor)
Against whomThe third party who received the share
What is reimbursedThe value and costs of that share

The right of recovery is explained as a system to exclude a third party unrelated to the division from entering among the co-heirs, so that the estate can be divided among the heirs alone. It is generally understood as a formative right that can be exercised by a unilateral declaration to the other side, without needing the other side's consent. One of the other co-heirs is said to be able to exercise it alone; because the attribution of the recovered share and the handling when several people exercise it differ by case, the specific procedure is judged by a lawyer.

From when is the one month counted, and what happens if it passes?

Article 905, paragraph 2 of the Civil Code provides: "The right in the preceding paragraph must be exercised within one month." The right of recovery cannot be used at any time; it is limited to the short period of one month.

The provision does not state the starting point, but it is generally understood to run from the time one learns of the fact that the share was transferred to a third party. That said, there is debate about how the starting point is counted, and managing the period requires care. Once one month passes, the right of recovery can no longer be exercised, and the third party remains as a party to the division talks while holding the share. Because the period is short, once you notice that "a stranger has entered the division," you need to decide quickly whether to recover the share. Because the starting point, the management of the period and the method of the declaration are judgements made on the premise that the right will disappear, it is safer to consult a lawyer early.

How are the value and costs reimbursed when recovering a share?

To exercise the right of recovery, you must reimburse "the value and the costs." The value is explained as the value of the share being recovered, and the costs as the costs the third party incurred to acquire that share. It is not that you can recover it for free; the structure is that you can recover it only after paying the other side (the third party) an amount corresponding to the consideration and the like.

Item of reimbursementWay of thinking
ValueThe value of the share being recovered
CostsThe costs the third party incurred to acquire the share

That said, how the value is assessed (whether by the consideration at the time of transfer, or by the value of the share at the time of recovery) is a point on which the conclusion can differ by case or view. Where the estate includes real estate, the value also changes with the method of valuation. When you come into conflict with the other side over the valuation or the amount, it becomes the field of negotiation, mediation and litigation, which a lawyer handles. The valuation of estate property and the calculation of the taxable value for inheritance tax are the field of a tax accountant. This article stays with information on the framework of the system and does not judge any specific amount.

If recovery leads to a dispute, from what point should you leave it to a lawyer?

Recovering a share of inheritance is a situation where the period is short and it readily becomes a negotiation over the amount or a dispute over valuation with the other side. The roles are as follows.

Have a question about your situation?

Tell us about your residency, permit or administrative procedure enquiry.

  • Organising the inheritance relationships and the scope of heirs, collecting family registers, and preparing the estate division agreement (where there is no dispute) → Yotsuba Administrative Scrivener Office (administrative scrivener). We provide materials and information only and do not make specific legal judgements
  • The declaration of recovery, negotiation, mediation and litigation over the value, and agency in an estate division in conflict with the other side → lawyer
  • Inheritance registration after recovery (changing the name on real estate) and registration reflecting the share transfer → judicial scrivener
  • Inheritance-tax filing and the valuation of estate property / calculation of the taxable value → tax accountant
  • Sale or use of inherited real estate → Yotsuba Real Estate Co., Ltd. (licensed real estate broker)

Yotsuba Real Estate Co., Ltd., a separate business from Yotsuba Administrative Scrivener Office, handles consultations on the sale and use of inherited real estate under a separate contract as an independent business (Real Estate Support for Inheritance). The declaration of recovery, negotiation, mediation and litigation over the value are for a lawyer, inheritance registration for a judicial scrivener, and inheritance tax for a tax accountant, each contracting separately as an independent business. Each field is on the premise that you contract separately with each counter or qualified professional, and our office receives no referral fee. Because this is a right subject to a deadline, once you are in conflict with the other side, or cannot accept the value, move to a lawyer early. For the flow of engagement, see Engagement Flow; for fees, see Fee Schedule; for inheritance work, see Inheritance and Wills; and for the division agreement, see Can you make an estate division agreement yourself?.

FAQ

Q. Another heir sold their share to an unknown company. Can we recover it?
A. If it is before the division of the estate, the other co-heirs can reimburse the value and costs and recover that share (Article 905, paragraph 1). However, this right must be exercised within one month (paragraph 2 of the same article), and once the period passes it can no longer be used. Because it is not free and requires reimbursement of the value and the like, consult a lawyer early about whether to recover it.

Q. From when is the one month counted?
A. The provision does not state the starting point, but it is generally understood to run from the time one learns of the fact that the share was transferred to a third party. There is debate about how the starting point is counted, and the period needs careful management. Because it is a judgement on the premise that the right will disappear, once you notice the transfer, consult a lawyer promptly to confirm whether and how to exercise it.

Q. How much do we pay to recover it?
A. You must reimburse the value of the share being recovered and the costs the third party incurred to acquire that share (Article 905, paragraph 1). How the value is assessed (by the consideration at the time of transfer or by the value at the time of recovery) is a point on which views can differ, and it also changes with the valuation method where real estate is included. Disputes over the amount are the field of a lawyer, and valuation and inheritance tax the field of a tax accountant.

Q. Can we recover it after the division is finished?
A. No. The right of recovery concerns a share transferred "before the division of the estate" (Article 905, paragraph 1). It is not covered after the division is finished. And even before division, there is the one-month deadline (paragraph 2 of the same article). Note that the system of Article 909-2, which allows each heir to withdraw deposits up to a certain amount alone before division, is a separate system from the right of recovery of a share.

Sources (Primary Information)

  • e-Gov Law Search, "Civil Code" (Act No. 89 of 1896), Article 905, paragraph 1 (the right of recovery of a share of inheritance; reimbursement of the value and costs), Article 905, paragraph 2 (the one-month deadline), and Article 909-2 (exercise of deposit claims before the division of the estate) (accessed 2026-10-29)
  • Academic and practical organisation of the nature of the transfer and right of recovery of a share of inheritance (a formative right exercised by unilateral declaration), the reimbursement of the value and costs, and the starting point of the one-month period (specific amounts and starting points are judged individually by a lawyer) (accessed 2026-10-29)

This article is general information and does not guarantee or judge whether the right of recovery can be exercised in an individual case, the starting point of the one month, the amount of the value and costs to be reimbursed, or the attribution of the recovered share. Because the organisation of academic theory and practice differs in conclusion by case and the law is amended, always confirm with the latest provisions and a professional's individual judgement. The declaration of recovery, negotiation, mediation and litigation over the value, and agency in an estate division in conflict with the other side are for a lawyer, inheritance registration for a judicial scrivener, inheritance-tax filing and valuation for a tax accountant, and the sale or use of inherited real estate for Yotsuba Real Estate Co., Ltd. (licensed real estate broker), a separate business, each as an independent business under separate contracts and procedures. Our office receives no referral fee. Specific legal judgements are made by a qualified professional such as a lawyer after a meeting. Written by Joji Uramatsu, administrative scrivener and licensed real estate broker.

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