The Right of Survivorship Among Co-Owners (ch49)

2 common forms of vesting for married couples"

-community property with right of survivorship - joint tenancy

Joint Tenancy

A form of concurrent ownership, which occurs when two or more persons own a single estate in land, with right of survivorship. Must have equal shares, right to partition.

Vesting

A method of holding title to real estate, including joint tenancy, tenancy in common, community property and community property with the right of survivorship.

community property with right of survivorship

Method of property ownership by a married couple that specifically provides for transfer of the interest of the first to die to the spouse, instead of the interest being willed or passed by intestate succession.

Ratify

The later adoption or approval of an act performed on behalf of a person when the act was not previously authorized

Right of Survivorship

Upon the death of a joint tenant or tenant by the entirety the interest does not pass to the tenant's heirs but to the other join tenant(s).

Tenancy in Common

form of co-ownership in which the shares may be unequal and there is no right of survivorship "a tenant in comon may will their interest in the property to others on their death since a tenancy in common interest carries no right of survivorship with it"

Why could joint tenancy be better than community property?

joint tenancy provides spouses with more flexibility by allowing for avoidance of some community debts during the marriage and on death

Community Property

property obtained during the course of the marriage; ownershio interests are equal

What happens when a person from joint tenancy dies? (2+ ppl)

right of survivorship extinguishes the decease's interst and leaves the remaining join tenants with the entire ownership interest they held as joint tenants

Unilateral severance of join tenancy

terminates the right of suvivorship that the co-owner's interest; therefore the rest of the co-owners need to decide how they want to deal with their property after death (will, inter vivos trust, severance)

Fully stepped=up cost basis

the tax basis of community property a surviving spouse receives on the death of a spouse is stepped up to the property's fair market value on the date of death

Set Aside

to annul by court a document transferring an interest in treal estate (usually when things are done behind someons back)