Legal Question in Wills and Trusts in New Jersey

Stock held as ''tenents in common''

I am Power of Attorney for my Dad and will be the Executor of his estate. My Dad's estate will be split 50:50 between me and my sister.

My Dad purchased/owns Bank of America common stock on a ''tenents in common'' basis with my sister. When my Dad passes away, do these shares automatically go to my sister? Or do they become a part of my Dad's estate?


Asked on 3/29/05, 11:58 am

2 Answers from Attorneys
Jonathan Chester The Law Office of Jonathan S. Chester, Esq., LLC

Re: Stock held as ''tenents in common''

Assuming your father and sister are equal tenants-in-common, then half of the stock will be in your father's probate estate, and the other half will be in your sister's name (i.e. his Will will only dispose of his half). So your sister could end up with 75% of the stock (50% she gets outright and half the balance [or 25%] under your father's Will).

For tax purposes, it is assumed that 100% of the stock is taxable in your father's estate, unless your sister can prove she contributed toward the cost of the stock.

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Answered on 3/29/05, 12:59 pm
Walter LeVine Walter D. LeVine, Esq.

Re: Stock held as ''tenents in common''

I concur with Jon, that based upon the tenants in common registration you sister is considered owning half the shares (unless the certificate specifies some other percentages) and she keeps them, plus gets 1/2 of your father's shares under the Will.

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Answered on 3/30/05, 1:06 am


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