In principle, the assets of the must first be used to pay off debts before being distributed to heirs. However, an exception may when the estate is clearly solvent.
When the estate is clearly , the liquidator may make advance payments to the heirs after that all creditors and specific legatees can be . These advance payments are then deducted from the share due to the heirs receive them.
On the other hand, when the solvency of the is uncertain or the assets are likely to be insufficient to all the debts, a distribution to the heirs may compromise rights of the creditors.
The liquidator should then distributing the assets before determining the debts of the estate and that the sums necessary for their payment are available.
If an estate is insolvent, the assets must be allocated to the payment of creditors in accordance with rules and order prescribed by law. Heirs cannot receive to the detriment of creditors who must be paid.
The final distribution of assets to heirs normally takes place after the settlement of debts and establishment of the final account of the estate.