Legal Implications of Joint Ownership
The chance of a potential lawsuit is on the rise. With just your name on the deed or title, you are the only one that could be liable in a lawsuit. When someone else’s name is on the deed or title, there is a greater chance of having the asset exposed to loss. If your joint owner becomes mentally or physically incapacitated or passes away and can no longer sign their name, especially if real estate is involved, you’ll have to get approval from the probate court (called Living Probate) and pay court and attorney fees before you can sell or refinance the jointly-owned property.
These are only a few reasons joint ownership may not be the right choice for your estate plan. Is joint ownership worth the risk?
Are you willing to risk the liability to the loss of control or, worse yet, loss of the asset with joint ownership when there are other options that will work to protect the asset from probate or creditors without the risks of joint ownership?
If you’re involved in a jointly-owned business or want to speak with us about joint ownership, call us at 724-837-3553 to set up a time to talk about your options.