Co-Ownership Flashcards
What is a Concurrent Estate?
Multiple people can own the same property at the same time
“2 or more parties have rights to a real property at the same time”
What is a Life Estate?
A party conveys property to someone else but the party preserves the right to stay in property for duration of their life
When a person dies, oral promises and declarations that they have made are rendered inadmissible if it cuts against their interest.
What term applies here?
Dead Mans Statute
What is it called when the unities of a joint tenancy are disrupted? What happens?
Severance
The joint tenancy is converted into a tenancy in common
In a Joint Tenancy, where parties interests are more fully merged, there are 4 unities required. What are they?
Time: acquired at the same time
Title: acquired through same transfer instrument
Interest: equal share of the same type
Possession: shared
What does “right of survivorship” mean?
If one tenant dies, the other joint tenant becomes the owner
Which main type of concurrent estate has the “right of survivorship”? Which does not?
Does = Joint Tenancy
Does Not = Tenancy in Common
In RE Estate of Michael:
Shows us that the law is trending more towards which type of concurrent estate?
Tenancies in Common
What unity is required in a Tenancy in Common?
Possession
Tenancies in common have no right of survivorship. How would a person transfer their share of the property after their death?
By using a will
Giles v. Sheridan:
Giles purchased a duplex, and paid most of the down payment, and had a portion of the deed made out to Sheridan (Joint tenants). Giles gave a 1/20th interest of her portion to her nephew. Giles later died and confusion ensued.
In its decision, the court noted that Giles paid more, possession had changed, and interest was paid differently - meaning the some of the unities of a “joint tenancy” had been exploded. How was the case resolved?
The joint tenancy was SEVERED, and it became a tenancy in common
Describe condo ownership.
Each unit is owned in Fee Simple Absolute
BUT, the exterior walls, basement, hallways, other areas, are owned by tenants in common
Customarily comes with an owner’s association or governing board
O’Buck v. Cottonwood Condo Association:
The Condo Board of Directors established a rule against having a TV antenna on the roofs. The O’Bucks had 4 TVs, having moved in particularly because of antennae availability.
The O’Bucks sued, but lost. Why?
Associations can make rules for the common areas (including the roof)
Associations have the power to ban outside antennas on aesthetic grounds too
Tenancies by Entirety, although mostly extinct (the states that have kept it have altered it), resembles “Joint Tenancy” but with what main difference?
There is a 5th unity - Marriage
Adds a new way to sever (divorce)
Which type of Concurrent Estate gives spouses an undivided 1/2 share in the property regardless of who’s name is on it?
How many States have it?
Who is most protected?
Community Property
9 States (including Wisconsin)
Stay at home spouses
When a Marital Estate is separated at the time of divorce, parties are estopped from bringing things back to the table that have been divided.
When is there an exception?
When it comes to light that one spouse was hiding property
In RE Marriage of Roberts:
Is a law degree property as part of a marital estate?
No.
Although in some states, an accountant may be able to calculate the value of the degree (Like NY)
If one spouse frivolously withers away an estate (often due to drug or alcohol issues), then they can end up with less. What is this called?
Dissipation
When one spouse has to reimburse the other for expenditures they made in the marriage it is referred to as __________________.
Reimbursement Allimony
Prahinski v. Prahinski:
In a divorce, the wife claimed that the goodwill of a the husbands law practice is part of the value of the estate.
Why did this argument fail?
Goodwill of a law practice cannot be separated from the practice of a specific lawyer
Whatever goodwill Prahinski’s practice has, is inherently tied to Prahinski, and cannot be separated
The law anticipates that one person can own a property in the present, another by design can come to own it in the future.
This concept is known as?
Future Interests
T/F: Deeds, sales contracts, title insurance, wills, and more can convey future interests
True
T/F: A trust is a property agreement.
False
It’s a more modern way to handle things that come up in future interests
When speaking of Future Interests, the interest exists in the present, but the _____________ happens in the future.
Possession
T/F: A future interest is a legal contract and can be put in a will or given as a gift, and there is even a market for Future Interests.
True
Explain the two general types of future interests.
Reversion = A to B for life, then back to A (A is the reversioner)
Remainder = A to B for life, then to C (C is the remainderman)
These are examples of “life estates” involving future interests, there can also be other “conditional” types.
Causing a loss or damage to the property while it was in your possession (as opposed to squandering it), is known as?
Waste
Waste can be voluntary, permissive, or ameliorative. Describe the differences.
Voluntary = Affirmative action by current possessor
Permissive = When someone fails to do something (like fix leaks) and further issues result
Ameliorative = When it appears to be waste, but actually improves the value of the property (like clearing it and building something new)
Melms v. Pabst is a 1890s case about a mansion being taken down. What was the result?
WI Supreme Court says the property will be worth more in the future by being cleared
