(Philippine law and practice; general information, not legal advice.)

1) The core rule—and why “exceptions” happen anyway

A. The nationality principle (default rule)

For a Filipino who dies abroad, Philippine law generally governs:

Who the heirs are
How much each heir gets (including legitimes/forced shares)
Whether a will may dispose freely or is restricted by legitimes

This is the “nationality principle” in Philippine conflict-of-laws: succession (testate or intestate) is governed by the national law of the decedent, regardless of where the property is located or whether it is movable or immovable.

B. Why “exceptions” still appear in real life

Even if Philippine law governs succession, estate settlement is also about enforcement—and enforcement depends on:

Jurisdiction (what a Philippine court can control),
Situs of assets (what country’s authorities/banks/registries will release or transfer), and
Local mandatory rules abroad (rules that foreign jurisdictions apply even if Philippine law says otherwise).

So, the “exceptions” are usually not exceptions to the idea that Philippine law governs succession—rather, they are exceptions/limits in:

What can be settled in the Philippines,
What needs foreign proceedings, and
What is taxed in the Philippines.

2) Exception set #1: Where you can file estate settlement in the Philippines (venue & jurisdiction)

A. If the Filipino died abroad and was not residing in the Philippines

A major practical exception: the Philippines is not automatically the venue.

Under the Rules of Court on settlement of estate:

If the decedent was a resident of the Philippines, venue is the province/city of residence at death.
If the decedent was a non-resident (common for OFWs, emigrants, dual residents abroad), venue is any province/city where the decedent left property in the Philippines.

Exception effect: If the Filipino left no property in the Philippines, there is no practical basis to open an estate settlement case in the Philippines (because there is nothing local to administer, transfer, or collect against).

B. Philippine courts cannot directly transfer foreign-titled assets

Even if a Philippine court issues an order adjudicating heirs, that order does not automatically bind:

foreign land registries,
foreign banks,
foreign probate courts, or
foreign corporate registrars.

Exception effect: A Philippine estate settlement can be “complete” locally but still insufficient to access foreign assets unless foreign requirements are satisfied.

3) Exception set #2: Philippine succession law vs. foreign situs control (especially real property abroad)

A. Real property abroad is the classic enforcement exception

Philippine law says succession is governed by Philippine national law—but foreign immovable property (land/condo/house abroad) is commonly controlled by the lex situs (law of the place where the property sits) for:

title transfer mechanics,
required probate documents,
restrictions on foreign ownership,
marital/community property recognition,
forced heirship rules that the situs treats as mandatory.

Exception effect: In practice, heirs often need foreign probate / ancillary proceedings in the country where the land is located, even if Philippine law “governs” succession.

B. Mandatory foreign rules can override your intended distribution

Some jurisdictions impose rules that operate regardless of the decedent’s nationality, such as:

forced heirship/elective share regimes,
spousal rights,
creditor priority rules,
family provision claims,
inheritance reserved portions.

Exception effect: A will consistent with Philippine legitimes may still be altered in effect abroad—or vice versa—because the foreign jurisdiction applies mandatory protections.

4) Exception set #3: Wills executed abroad—formal validity, reprobate, and “foreign probate” problems

A. Wills executed abroad: formal validity is flexible, but not unlimited

A Filipino may execute a will abroad and it may be recognized if it complies with:

Philippine law formalities, or
the law of the place where it was executed (a key conflict-of-laws accommodation for form).

Exception effect: A will can be valid even if it does not look like a “Philippine-style” will—if it is formally valid where made.

B. If the will was probated abroad: you usually need reprobate in the Philippines (for PH assets)

If there are Philippine assets and the will was proved/allowed in a foreign court, Philippine practice generally requires a Philippine court proceeding to allow the foreign will (often called reprobate). This is not a re-trial of everything, but the proponent must typically prove:

due execution (as required by the applicable law),
testator’s capacity,
authenticity,
and the fact of foreign allowance (if already probated abroad), with competent evidence (often authenticated/apostilled documents, plus sometimes expert testimony on foreign law when relevant).

Exception effect: Foreign probate does not automatically transfer Philippine assets. You still need a Philippine allowance process for the will to operate over Philippine property.

C. If there is no will, foreign “heirship certificates” may not be enough for PH registries

Some countries issue administrative heirship documents rather than court probate. Philippine institutions (RD, banks, transfer agents) often still require:

Philippine judicial settlement, or
a legally sufficient extrajudicial settlement (when allowed), plus
tax clearance requirements.

Exception effect: Heirs may have “proof” abroad but still be unable to transfer PH assets without Philippine-compliant settlement documents.

5) Exception set #4: Extrajudicial settlement is not always available (and overseas deaths make compliance harder)

A. When extrajudicial settlement is allowed in PH

Philippine extrajudicial settlement of estate is generally possible only if:

the decedent left no will,
there are no outstanding debts (or they are provided for),
all heirs are of age (or minors are properly represented and protected),
and the legal requirements like publication are complied with.

B. Overseas complications create practical “exceptions”

Even if legally allowed, overseas deaths commonly create obstacles:

Heirs are abroad and cannot easily sign Philippine notarized documents.
Signatures must be notarized abroad and properly authenticated/apostilled for Philippine use.
Minors, illegitimate-child recognition issues, or disputed spouses block extrajudicial routes.

Exception effect: Many “should be extrajudicial” estates end up judicial because documentary compliance becomes messy or because third parties (banks, registries) demand court orders.

6) Exception set #5: Estate tax—foreign assets may be excluded if the decedent was a non-resident (big exception)

A. Residence at death matters for Philippine estate tax scope

Philippine estate tax generally distinguishes:

Resident decedent: gross estate is typically worldwide (all property wherever situated).
Non-resident decedent: gross estate is generally limited to property situated in the Philippines.

For Filipinos dying abroad, the decedent is often treated as non-resident at death depending on the facts (long-term living abroad, family home abroad, intention to reside abroad, etc.).

Exception effect: A Filipino dying abroad may have substantial foreign assets that are not part of the Philippine gross estate for Philippine estate tax if the decedent is treated as a non-resident—while Philippine-situs assets remain taxable.

B. Intangibles and the “reciprocity” concept (typically for non-resident aliens—but watch for situs issues)

Philippine rules on the situs of intangible property and possible exemptions can be technical, and financial institutions may still require clearances.

Exception effect: Even when foreign assets are outside PH tax scope, PH heirs may still need Philippine documentation to transfer PH assets—and foreign jurisdictions may separately tax foreign assets.

C. Double taxation is not automatically solved

A Filipino dying abroad with foreign assets may face:

foreign inheritance/estate tax (depending on the country),
Philippine estate tax (at least on PH-situs assets; possibly worldwide if treated as resident),
plus administrative costs in both systems.

Exception effect: Estate settlement often requires coordinated planning and sometimes professional tax advice across jurisdictions.

7) Exception set #6: Family law status issues that change who inherits (common for overseas Filipinos)

Overseas life events create heirship disputes. These aren’t “exceptions” to succession law, but they create exceptions to assumptions about heirs.

A. Marriage abroad: generally recognized if valid where celebrated, but with Philippine public policy limits

A marriage celebrated abroad can be recognized in the Philippines if valid under the foreign law, subject to restrictions (e.g., prohibitions relating to capacity, bigamy, etc.).

Exception effect: A spouse abroad may or may not be a lawful spouse for Philippine succession, depending on facts.

B. Divorce abroad: recognition can be pivotal

Recognition of a foreign divorce in the Philippines (especially involving mixed marriages and evolving jurisprudence) affects:

whether a “spouse” remains an heir,
whether property regime issues alter the estate,
and whether a subsequent marriage is valid.

Exception effect: Heirs may need a separate recognition proceeding (or equivalent legal determination) before estate settlement can be finalized.

C. Illegitimate children / acknowledgment issues

Heirship rights of illegitimate children exist under Philippine law but often require proof of filiation (documents, recognition, admissions, etc.).

Exception effect: Foreign birth records, acknowledgments, or paternity findings may need proper authentication and may still be contested under Philippine evidentiary rules.

8) Exception set #7: Property regimes of spouses and overseas-acquired assets

Even before dividing an estate among heirs, you must identify:

what belongs to the conjugal/absolute community (if applicable), and
what belongs exclusively to the decedent.

For Filipinos, property relations are often tied to Philippine family law rules (depending on marriage date and applicable regime), but foreign jurisdictions may label or treat assets differently (community property states, survivorship rules, etc.).

Exception effect: A foreign asset titled jointly, or with survivorship features, may pass outside “probate” abroad—even if Philippine legitime rules would ordinarily want it counted or considered in the estate.

9) Exception set #8: Foreign bank accounts, securities, and custodians—document-driven barriers

Foreign financial institutions commonly require:

local probate or court appointment of a personal representative,
notarized/apostilled heirship documents,
compliance with anti-money laundering, identity verification,
sometimes a “small estate” administrative procedure.

Exception effect: Even if heirs have a Philippine extrajudicial settlement, the foreign bank may refuse it and demand local authority documents.

10) Exception set #9: Ancillary administration and “multiple estates” (one person, many proceedings)

A very common structure for a Filipino dying abroad with assets in multiple places:

A. Principal vs ancillary proceedings

Principal administration often occurs where the decedent was domiciled/resident at death (foreign country).
Ancillary administration occurs where assets are located (e.g., Philippines for Philippine assets, and other countries for other assets).

Exception effect: There may be separate proceedings in each asset location, and each court primarily controls assets within its territory.

B. Creditors and claims differ by country

Each jurisdiction has its own:

notice to creditors,
deadlines,
priority rules,
and procedures for contesting claims.

Exception effect: “No debts” for Philippine extrajudicial settlement may be untrue once foreign creditors appear—or vice versa.

11) A practical “exceptions checklist” by asset type

A. Philippine real property (land/condo in PH)

PH settlement is effective and usually required.
Transfer needs estate tax compliance and registry requirements.
Foreign probate alone is not enough.

B. Foreign real property

Often requires foreign probate/administration or local transfer procedure.
Philippine judgments may have limited effect.

C. Bank accounts abroad

Bank sets its own documentation threshold; often requires local probate authority.
Apostille/authentication and identity verification are key.

D. Shares in Philippine corporations / broker accounts in PH

Transfer agent may demand Philippine settlement documents + tax clearances.
If foreign will: reprobate often needed.

E. Intangibles with unclear situs (IP rights, online accounts, crypto)

Control depends on platform/custodian terms, keys, and local court authority.
Crypto often becomes a “possession/control” issue rather than situs.

Exception effect: You may “own” it under Philippine succession rules but be unable to access it without the right technical/legal control mechanism.

12) Common scenarios and how the “exceptions” play out

Scenario 1: OFW dies abroad, no will, has a house in PH and a bank account abroad

PH: heirs can settle PH house via extrajudicial (if qualified) or judicial.
Abroad: bank likely demands local probate/heirship procedure.
Tax: PH estate tax applies at least to PH assets; foreign account may be outside PH tax scope if decedent is non-resident, but foreign rules may tax it.

Scenario 2: Filipino executed a will abroad, probated abroad, but left condo in Manila

Heirs still typically need Philippine allowance/reprobate to make the will operative over PH property.
Then transfer requires Philippine tax clearance and registry steps.

Scenario 3: Filipino owns land abroad in a jurisdiction with strong forced heirship or spousal rights

Philippine legitimes govern “as a rule,” but foreign law may enforce its own mandatory shares or claims.
Expect foreign proceedings and possibly a distribution different from what Philippine expectations suggest.

13) Risk points (where estates get stuck)

No clear proof of heirs (marital status, children, recognition issues).
Conflicting wills or unclear revocation history.
Foreign documents not apostilled/authenticated or not properly translated where required.
Banks/registries refusing extrajudicial settlements and demanding court orders.
Tax noncompliance delaying transfers of PH assets.
Multiple jurisdictions with inconsistent rules and timelines.

14) Practical guidance (without turning this into a template)

A. If you must prioritize steps

Inventory assets by country and type (real property, bank, shares, insurance, retirement, digital).
Confirm heirship facts (valid marriage/s, children, legitimacy/recognition, prior spouses, divorces).
Identify whether there is a will and where it was executed and/or probated.
Choose the correct settlement path:
- extrajudicial (if allowed and feasible), or
- judicial settlement / administration, and
- reprobate if there’s a foreign-probated will affecting PH assets.
Plan for foreign-side requirements for foreign assets (often unavoidable).

B. Expect parallel tracks

One track for Philippine assets (Philippine settlement + tax + registry transfer).
One or more tracks for foreign assets (foreign probate/heirship procedures).

15) Key takeaways (the “exceptions” in one view)

Philippine law generally governs succession for Filipinos, even if they die abroad and own foreign assets.
Philippine courts cannot directly transfer or compel release of foreign assets—foreign procedures often control.
Foreign real property is the biggest practical exception: situs law dominates transfer mechanics and mandatory rights.
Foreign probate does not automatically work in the Philippines for Philippine assets: reprobate/allowance is often needed.
Estate tax scope can be narrower if the decedent is a non-resident at death: Philippine tax may apply mainly to PH-situs property.
Overseas family law complications (marriage/divorce/children) frequently change heirship and can block extrajudicial settlement.

If you want, I can also write a companion piece in the same style on “Step-by-step estate settlement workflow for overseas Filipino estates (PH + foreign)” or a risk matrix showing which asset types usually require which proceeding (PH judicial, PH extrajudicial, reprobate, foreign probate, etc.).