Below is a comprehensive discussion on the topic of how to resolve conflicts between a Last Will and Testament (“Will”) and an extrajudicial settlement of an estate (“Extrajudicial Settlement”) under Philippine law. This article is intended for informational purposes only and does not constitute legal advice. For specific concerns, consultation with a licensed Philippine attorney is highly recommended.

I. Introduction

When an individual passes away in the Philippines, their property and obligations (collectively known as the “estate”) must be settled among the heirs or beneficiaries. Two common modes of distributing the estate are:

By Will: A decedent (the person who died) may have executed a Last Will and Testament, which provides instructions on how their estate should be divided.
By Extrajudicial Settlement: If the decedent died intestate (without a Will) or if the heirs agree to settle the estate amongst themselves without going through a full judicial probate proceeding, they may execute an Extrajudicial Settlement of estate.

Occasionally, conflicts arise when there exists a Will that directs a certain mode of distribution, but the heirs (or some of them) attempt to settle the estate extrajudicially in a manner that deviates from or contradicts the Will. This situation can lead to legal disputes on the validity and enforceability of either document.

II. Understanding the Legal Concepts

A. The Last Will and Testament

Nature and Purpose
A Last Will and Testament is a legal instrument wherein a person (the testator) declares how their estate shall be disposed of upon death. A valid Will ensures that the testator’s wishes are respected, subject to limitations under Philippine laws (e.g., compulsory heirs’ shares under the Civil Code).
Mandatory Probate
Under Philippine law, probate of a Will is mandatory. This means that even if the heirs are undisputed or if the distribution is uncontested, the Will still needs to be submitted to the court for probate (i.e., for the court to determine its due execution and validity).
Compulsory Heirs’ Shares
Under the Civil Code, certain heirs (e.g., legitimate children, spouse, legitimate parents) cannot be deprived of their legitimes—minimum shares guaranteed by law. Any Will that violates the legitimes of compulsory heirs is subject to legal challenges or may be declared void in part.

B. Extrajudicial Settlement of Estate

Definition
An Extrajudicial Settlement is an agreement among all the legal heirs of the deceased. If the deceased died without a Will (intestate) or if the heirs choose not to undergo a full judicial proceeding, they may divide the estate among themselves through an Extrajudicial Settlement.
Legal Basis
The general rule on extrajudicial settlements is found in Rule 74 of the Rules of Court. It requires the following:
- The decedent did not leave any Will, or there is a Will but all heirs agree on the distribution (subject to probate requirements when a Will exists).
- All heirs must be of legal age (or properly represented).
- The settlement must be published in a newspaper of general circulation once a week for three consecutive weeks.
- A bond may be required under certain circumstances (if there are debts or unknown creditors).
Restrictions
- An Extrajudicial Settlement cannot lawfully disregard a valid Will.
- All lawful heirs must participate; otherwise, the settlement is subject to potential nullification or challenge.
- If a Will later surfaces (or if a Will was known to exist but not probated), the extrajudicial settlement could be invalid in part or in its entirety.

III. Common Sources of Conflict Between a Will and an Extrajudicial Settlement

Heirs Executing an Extrajudicial Settlement Despite the Existence of a Will
If the decedent left a Will, heirs sometimes proceed to an extrajudicial settlement without probating the Will. This can happen when heirs prefer a quicker resolution, or they believe the Will is invalid. However, an extrajudicial settlement that disregards a Will is immediately susceptible to legal challenge.
Alleged Invalidity of the Will
Heirs may claim that the Will is invalid for reasons such as improper execution, lack of testamentary capacity, or undue influence. They might then try to settle the estate extrajudicially as if the decedent died intestate. If the Will is later found to be valid, the extrajudicial settlement may be set aside.
Disinherited or Excluded Heirs
A testator may attempt to disinherit certain heirs (although disinheritance must comply with specific grounds under the law). Conversely, an extrajudicial settlement might also exclude heirs. If these disinherited or excluded heirs have compulsory shares, the settlement or the Will may be nullified in whole or in part.
Conflict with Compulsory Heirs’ Legitimes
If the Will allocates shares that violate the reserved legitimes, a conflict arises regarding how to harmonize the Will’s provisions with mandatory legal shares. An extrajudicial settlement might attempt to correct or ignore the Will's distributions in favor of awarding the compulsory heirs’ legitimes.

IV. Legal Principles Governing Resolution of the Conflict

Probate Jurisdiction Prevails
Philippine courts have exclusive jurisdiction over the probate of Wills. Courts will not allow the estate to be distributed contrary to a valid Will, especially if it has already been admitted to probate. Thus, any extrajudicial settlement executed in violation of a duly probated Will is void or voidable at best.
Hierarchy of Documents
A valid Will that has gone through probate proceedings is generally given more weight than an extrajudicial settlement. Since extrajudicial settlements are designed primarily for intestate (or uncontested) estates, a valid Will supersedes it when determining the deceased’s wishes.
Nullity or Annulment of the Extrajudicial Settlement
When there is a conflict and the Will is subsequently proven valid:
- The courts may nullify or annul the extrajudicial settlement in its entirety or partially if it contradicts the terms of the Will.
- Parties who received properties under the invalid extrajudicial settlement could be required to reconvey the properties or pay damages.
Undivided Interest Rule
If a decedent’s real property has been extrajudicially settled but later found to violate a probated Will, the property might still legally be deemed “undivided” because the rightful distribution has not been conclusively resolved.

V. Steps in Resolving the Conflict

Verification of the Will’s Validity
- Locate and present the Will: Ascertain that the document exists and has been duly executed by the decedent.
- Probate filing: File a petition for probate in the proper Regional Trial Court (RTC) where the decedent resided at the time of death. Probate will conclusively determine the Will’s validity.
Check for Compulsory Heirs’ Compliance
- Ensure that the Will does not violate the legitime of compulsory heirs as prescribed by the Civil Code.
- If the Will does violate legitimes, partial nullity or revision of the dispositions may ensue.
Examination of the Extrajudicial Settlement
- Determine if all heirs consented: Under Rule 74, all the heirs must participate in the extrajudicial settlement.
- Confirm publication and other requirements: Verify that the settlement was published in a newspaper of general circulation once a week for three consecutive weeks.
- Review the content: Compare the distribution in the settlement with the Will’s provisions.
Court Proceedings if Conflict Exists
- Declaration of Nullity or Annulment: If the Will is valid, an aggrieved heir or interested party may file a case in court to declare the extrajudicial settlement void or to annul it to the extent it conflicts with the Will.
- Judicial Settlement / Probate: Upon probate, the estate is distributed in accordance with the Will (while respecting legitimes). The court will render a judgment that finalizes the distribution.
Compromise and Settlement
- If heirs prefer an arrangement different from the Will, they may explore a compromise agreement after the Will has been probated. All compulsory heirs and any other named beneficiaries must consent. The court might approve such an arrangement provided it does not violate the law (i.e., legitimes are still respected).

VI. Practical Tips for Heirs and Estate Administrators

Always Probate a Will: Even if all heirs are in apparent agreement, the law requires that a Will be submitted to probate. Distributing properties without probate risks annulment of transactions.
Seek Legal Advice Early: The involvement of experienced counsel at the onset can prevent costly mistakes in estate distribution and avert possible litigation.
Full Disclosure Among Heirs: Lack of transparency often leads to disputes. Ensure that all known heirs are consulted and that all relevant estate documents (e.g., titles, tax declarations, outstanding debts, etc.) are disclosed.
Respect Compulsory Heirs: Filipino law reserves specific shares for compulsory heirs (e.g., legitimate children, surviving spouse, legitimate parents). Any attempt to circumvent these mandatory shares can be nullified.
Comply with Publication Requirements: If proceeding via extrajudicial settlement (and the Will is deemed invalid or no Will exists), publication of the settlement is mandatory. This protects the rights of any unknown heirs and creditors.
Be Aware of Prescription Periods: An action for annulment of an extrajudicial settlement may be barred after a certain period (usually two years from the date of settlement’s publication) if no claims were made. However, if there is fraud or the settlement was hidden, separate rules on prescription may apply.

VII. Conclusion

Under Philippine law, the Will—once duly probated—takes precedence over any extrajudicial settlement that conflicts with its provisions. A valid and probated Will enshrines the testator’s wishes, subject to the limitations prescribed by law (particularly the compulsory heir provisions in the Civil Code). Conversely, an extrajudicial settlement is generally suitable only for intestate estates or where all heirs, including those under a Will, unanimously agree to settle outside the formal probate proceedings (subject to proper legal formalities).

When a conflict arises between a Will and an extrajudicial settlement, the priority is to validate the Will through probate. If the Will stands, any contradicting extrajudicial settlement may be declared null and void. This underscores the importance of seeking professional legal assistance to navigate probate proceedings, ensure compliance with legal requirements, and protect the rights and interests of all heirs.

Disclaimer: This article is for general informational purposes and is not intended as a substitute for legal advice. For personalized guidance regarding specific circumstances, it is crucial to consult a qualified lawyer in the Philippines.