Legal Question in Real Estate Law in California

Re: Grant deed

Many attorneys, such as myself, would be happy to provide an initial consultation without charge. Have your friend or all three call to discuss. 800-685-6950.

Re: Grant deed

Not an easy question. Was the deed recorded? There could be some tax issues to be addressed. One could buy out the other two, if they can agree on a price. The person living in the house would not be required to pay rent, as a part owner.

Any time there is more than one beneficiary, the group will need help sorting things out. Have them call me.

Re: Grant deed

OK, first, the deed. Was the deed delivered during the grantor's lifetime and recorded? A deed delivered or recorded after the death of the grantor may be entirely void or void against persons without knowledge of the deed. If the deed were both delivered and recorded during the grantor's lifetime, it is presumably valid, and the three siblings would own as tenants in common,

and unless the deed stated otherwise, each would own 1/3.

Tenants in common are sort of legal, automatic roommates in that each of them has the right of full and simultaneous possession of the entire property. No tenant in common need pay rent to any other unless he has "ousted" the other from possession. Tenants in common share rents and other income from the property, except to the extent that income (such as from growing and selling farm produce) is the result of the labor of one owner.

Whether one should buy out the others or the house sold and the money divided is a matter for negotiation, based upon the personal desires of the three and whatever they can agree upon.

Should they be unable to agree, the legal action necessary to force a resolution is called a "partition" lawsuit. The court is asked to order the division of the property among the co-owners. At one time, this was usually accomplished by physical division -- carving up the farm. In modern society with subdivision laws and smaller urban landholdings, the more common way is "partition by sale" in which the court administers a sale procedure and the net proceeds are split among the former co-owners in a proportion found to be equitable by the court or a court-appointed referee.

The partition process is slow and expensive, and therefore often the mere filing of a partition suit will cause reluctant owners to bargain in good faith for an out-of-court settlement.

I haven't touched upon possible probate issues, since I don't practice in the area of wills and estates, but I should mention that the heirs should make certain that all the legal aspects of administering the estate of the deceased are handled lawfully.