הלכה על בבא בתרא 8:2

A number of points must be clarified regarding the Torah’s order of yerushah. The Mishnah (Bava Batra 8:2) explains that the lineal descendants of any person with priority to succession take precedence over the next in line after that person. For example, the grandchild (son of a son) of the deceased has priority over the daughter of the deceased. If a man dies with no living son, the inheritance passes to any deceased son’s lineal descendants (the grandchildren or great-grandchildren of the deceased), and only if there are no such descendants does it pass to a daughter.