© Maeva Dubois pour Action contre la Faim
Headline
HOW DO I LEAVE A LEGACY TO ACTION CONTRE LA FAIM?
BY CHOOSING TO PASS ON SOME OF YOUR ESTATE TO ACTION CONTRE LA FAIM, YOU HELP US TO SAVE LIVES THROUGH THE PREVENTION, DETECTION AND TREATMENT OF MALNUTRITION.
Your generosity enables our association to take concrete action and act effectively and sustainably, all in your name. Knowing the differences between different types of gifts and legacies and organising the transfer of your assets can be confusing, which is why we offer support for building your philanthropy project.
WHY LEAVE A LEGACY TO OUR ASSOCIATION?
Leaving a legacy to Action contre la Faim is more than a donation: it is both a wonderful gesture of generosity that bears witness to your own personal story, and a declaration of the mark you want to leave behind. Thanks to this incredible showing of solidarity, millions of people can benefit from essential assistance. Donoe, a mother of six and beneficiary of Action contre la Faim’s emergency nutrition and health programmes in Madagascar, confirms this:
‘We are living through a famine. We can’t feed our children. That’s what makes us suffer the most. The health care helps us a lot. My child is in good health now, after following the Plumpy’nut diet. My child wasn’t ill. She was just very thin. She was starving. The nutritional supplement she’s given here has helped her to change. She is OK now.’
Donoe, Antanimainty (Madagascar)
WHAT IS A LEGACY?
A legacy is a set of provisions set out in a will, which appoints one or several heirs or beneficiaries, called legatees. They may be natural persons or legal persons with legal personality. This type of gift takes effect when the testator (the person leaving the legacy) dies. Its conditions can be modified or revoked at any time and may take different legal forms. Depending on the type of legacy, it might involve all or part of the testator’s estate or just a particular asset.
WHAT IS THE DIFFERENCE BETWEEN A DONATION, A GIFT AND A LEGACY?
Gifts and legacies are both effective ways of giving to charity. There are, however, differences between the two:
- In France, making a gift to a charity is a process that takes place before a notary and involves a contract by which the giver passes an asset on to their chosen beneficiary. It is effective immediately, as soon as the papers are signed in front of the notary, and is irrevocable. The presence of the notary allows the donor to specify and record their intentions (obligations, reservations and conditions). Gifts are associated with tax and succession benefits.
- Meanwhile, in the French system, a simple donation is the immediate transfer of something, which cannot be property (a house or land, for example), without any written formalities.
- A legacy, meanwhile, takes effect upon the testator’s death and involves a procedure before a notary (the will).
‘Having retired from the navy after 22 years of work, I have travelled a lot and seen the poverty rampant in the world, and that is what made me approach Action contre la Faim. After a great deal of reflection, I decided to gift a property I own to the association, so that vulnerable people can benefit from it. I chose this gift process because it is simple; the association takes care of everything.’
Jacques, Haute-Garonne (31)
WHAT TYPES OF LEGACIES ARE THERE?
UNIVERSAL LEGACY
This is the transfer of the testator’s whole estate to one or more designated beneficiaries, called universal legatees. It involves the whole estate, unless there are heirs that cannot be disinherited (forced heirship). If there are forced heirs, the beneficiaries of the legacy will only receive the available portion. They will also inherit the estate’s liabilities (any debts the testator may have had).
LEGACY BY UNIVERSAL TITLE
This offers the testator the ability to divide the value of their estate, leaving a share of their assets to one or more beneficiaries. Legatees by universal title therefore receive part of the estate, or a specific category of assets, always in line with the rights of forced heirs. The legatees also inherit the estate’s liabilities in the same proportion.
INDIVIDUAL LEGACY
This involves leaving one or more specific assets to one or more designated people. The beneficiary of the legacy will still need to approach the heirs, if there are any, or the universal legatees to request reception of their legacy. Only when the heirs or legatees approve it will the beneficiary receive what was left to them. Here, the beneficiary does not inherit the testator’s debts.
In the absence of a direct heir, naming a universal legatee is essential to avoid escheat. If there is no direct heir or universal legatee, the notary will begin the process of searching for blood relatives up to the sixth degree of kinship. If none is found, the whole estate will go to the State.
WHAT ARE THE ADVANTAGES OF NAMING AN ASSOCIATION AS A UNIVERSAL LEGATEE?
As a public utility association, Action contre la Faim can be appointed as a universal legatee, and as such promises to:
- Support the testator during their lifetime through their various procedures
- Respect the testator’s duty to settle their estate, distributing it in accordance with the wishes expressed by the testator
- Manage the estate settlement process effectively (especially if there are several legatees), including the granting of any individual legacies
- Deal with any disputes
Our Gifts and Philanthropy team is here to listen attentively to you, give you transparent advice and support you in strict confidence in all your reflections and procedures.
© Peter Caton pour Action contre la Faim
WHAT TYPES OF WILLS ARE THERE?
A will is a written legal document by which a person expresses their final wishes and defines how they want their estate to be distributed after their death. This procedure can be modified or revoked at any time. There are several types of wills, but here are the main two :
AUTHENTIC WILL
This is a so-called public act carried out before a notary and two witnesses or two notaries, who must be from two different notary firms. The testator dictates their wishes to the notary, who drafts their client’s will. In legal and material terms, it is the safest option, as it is drafted and authenticated by a notary.
HOLOGRAPHIC WILL
This is a handwritten document entirely written, dated and signed by the testator. It can be written on a blank piece of paper or any other durable medium. However, photocopied files and printed documents are not recognised by French law. Therefore, though it is not mandatory, having it notarised is recommended. If the testator so wishes, the notary can file it in the Central Registry of Last Wills and Testaments, so that it can easily be found again.
‘My loved ones were already supporting the association. I believe it is important to mobilise, to come together around shared values and major organisations in order to act.’
Marie, Calvados (14)
WHAT ARE THE TAX IMPLICATIONS OF A LEGACY?
Inheritance taxes may apply to legacies, whether the legatee is a natural person or an organisation authorised to receive these resources.
EXEMPTION FROM INHERITANCE TAXES ON LEGACIES
Recognised public utility associations are totally exempt from inheritance taxes when the legacy involves the following:
- Works of art to be part of a collection, monuments or objects of a historical nature, books, printed materials or manuscripts
- Associations that have been declared as such for at least three years on the date the legacy is received and whose sole purpose is assistance and charity (a foundation or congregation)
- Donations of money or property to allow for the purchase of works of art, monuments or objects of a historical nature
- Gifts or legacies to religious associations
Action contre la Faim, recognised as a public utility association since 18 April 1994, is therefore exempt from any inheritance tax, gift duty, transfer tax or legacy flat tax. You can therefore be safe in the knowledge that all of the amount left in the legacy will be received by the association, without any tax deductions.
WHO CAN I LEAVE A LEGACY TO?
ASSOCIATIONS AUTHORISED TO RECEIVE LEGACIES
Not all organisations can receive legacies. The types of associations that can receive them include :
- Recognised public utility organisations, such as Action contre la Faim
- Religious associations
- General interest associations declared for at least 3 years either of a philanthropic, educational, scientific, social, humanitarian, sports, family or cultural nature, or that contribute towards highlighting artistic heritage, protecting the natural environment or promoting the French culture, language and scientific knowledge
- Associations whose sole purpose is assistance, charity, scientific research or medical research
ASSOCIATIONS’ ACCEPTANCE OF LEGACIES
The types of associations listed above receive legacies freely, meaning without prior authorisation from the administrative authority, partly because of the role played by the notary. However, the association receiving the legacy must make a declaration with the prefect of the département where its headquarters are located.
NOTARY’S ADVICE
The succession of a legacy is settled by a notary. It is the notary’s responsibility to notify the beneficiary association of the bequest, to make a declaration to the prefect of the département where the association’s head office is located, and to provide proof of the association’s acceptance, as soon as he comes into possession of your testamentary dispositions. Maître C., notary in Tulle (19), testifies:
“I’m consulted by people who want to make a will. When they don’t have a family or don’t know, I explain that they can bequeath to an association or foundation, without saying which one, as I can’t guide the choice. Often these are estates where there is no family, so the assets have to be reconstituted. Then I have to inform the association of the amount they will inherit. There are also administrative delays for associations and foundations, as the boards of directors have to be convened to validate the bequest, but this is inherent in the capacity of the legatee. If the association is well defined in the will, you know who to turn to. It’s quite simple. Maître C., Tulle (19)
On request, the Liberalités et Philanthropie team can send you the official documents justifying Action contre la Faim’s capacity to receive donations.
Bequeath to a charitable organization
All assets may be bequeathed to one of the associations listed above :
- Real estate, vacant or occupied: buildings, apartments, houses, land, commercial premises
- Moveable assets: sums of money, bank accounts (current or savings accounts), life insurance policies, portfolios of financial assets, works of art, furniture, jewelry, copyrights, industrial patents, etc.
It should be noted that the Civil Code stipulates that only a portion of the estate, known as the available portion, may be bequeathed by a person to a third party. This part of the estate, which the testator can dispose of freely, is calculated according to the number of direct or reserved heirs (children, or in the event of death, grandchildren, etc.), who cannot be disinherited.
How do I make a bequest to a charitable organization?
If you wish to leave a legacy to an association, it is essential to draw up an authentic will (drawn up by a notary) or a holographic will (drawn up by yourself). If you choose to draw up your own will, we recommend that you hand it in to your notary to ensure that it is properly executed.
As a donor, your legacy to our association is :
- A stronger statement of your values of sharing and solidarity
- The promise of decisive new, more effective and more sustainable action to help the most vulnerable
- A gesture that commits us to bringing your project to fruition in the best possible conditions, while respecting each of your wishes and your personal history.
- A guarantee of financial rigor in the management of your inheritance, controlled by an auditor
Would you like to pass on to future generations the means to combat and eradicate hunger? Would you like to give even greater meaning to your existence by affirming your values? We’re here to listen to you and help you build your project step by step.
If you would like to find out more, or if you have any questions, please do not hesitate to contact us:
Manon BESSON
Head of Liberalities and Philanthropy
Rachel ROQUE
Head of Liberalities and Life Insurance
By e-mail : servicelegs@actioncontrelafaim.org
Phone number : 01 70 84 84 84 / 07 89 31 55 80
By post : receive our free, confidential brochure on bequests.
