The Notice of Severance of Joint Tenancy is a legal document used in California to formally sever a joint tenancy between two or more individuals. This process changes the ownership of the property from joint tenancy to tenants in common, which means that each party owns a separate share of the property rather than a unified whole.
Individuals may choose to file this form for various reasons. Common scenarios include divorce, separation, or a desire to change how property is held. Severing a joint tenancy can also be a strategic decision for estate planning or financial reasons.
To complete the form, the following information is typically required:
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Names of the parties involved (Grantor and Grantee).
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A description of the property being severed.
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Prior instrument references, including book and page numbers.
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Signatures of the parties involved, along with notarization.
It is important to ensure all information is accurate and complete before submission.
The completed form should be filed with the county recorder's office where the property is located. This ensures that the severance is officially recorded and recognized under California law.
Once the Notice of Severance is filed, the joint tenancy is officially severed. The parties will then own the property as tenants in common, which means they can sell or transfer their individual shares without needing consent from the other owners.
Are there any legal implications to consider?
Yes, severing a joint tenancy can have significant legal implications, especially concerning inheritance rights. After severance, if one owner passes away, their share of the property does not automatically transfer to the other owner(s). Instead, it becomes part of the deceased's estate and is distributed according to their will or state law.
While the form is applicable in many situations, it is essential to consider any existing agreements between joint tenants. If there is a written agreement that restricts severance, it may not be valid to use this form without consent from all parties involved.
Although individuals can complete and file the form independently, seeking legal assistance is advisable. A lawyer can provide guidance on the implications of severance, ensure the form is completed correctly, and help navigate any potential disputes that may arise.