What does escheat refer to in law?

Escheat refers to the process by which property reverts to the state or local government when an individual dies without a will and without any heirs to inherit the property. This legal doctrine ensures that unclaimed or abandoned property does not remain in limbo but instead becomes part of the public trust, allowing the state to manage it.

When a property owner passes away and there are no relatives or designated beneficiaries, the state has the right to take ownership of that property through escheatment. This is important because it provides a method for the state to handle property that might otherwise be left unadministered, potentially causing disputes or lingering legal complications.

In contrast, redistribution of property among heirs involves a clear chain of succession where heirs are identified and the estate is divided according to the will or laws of intestacy. The process of claiming property through adverse possession requires that an individual has used the property in a manner that is open, notorious, exclusive, and continuous for a statutory period. Legal separation of ownership from liabilities refers to a business or legal structure where the assets are owned independently from personal liabilities but does not apply directly to the concept of property escheating to the state.