Archive for the ‘Title’ Category

Involuntary Alienation

Monday, February 23rd, 2009

The involuntary transfer of title is usually accomplished through one of six methods:

  • Eminent domain. The government’s four basic powers are taxation, police powers, escheat and eminent domain. The power of eminent domain refers to the government’s ability to take property from private ownership, normally through the process of condemnation. For more information, see the”Eminent Domain” article.
  • Escheat. The government’s power of escheat refers to its prerogative of receiving the property of any person who dies intestate (without a will) and without any heirs. Depending on the location, the property will revert either to the state or the local county.
  • Descent. The laws of descent—also called intestacy laws—are used to govern the disposition of real property of a person who has died intestate (without a will), but with heirs. The court appoints an administrator who will settle the debts of deceased person and dispose of any remaining assets. The deceased’s remaining property are normally distributed to heirs according to that state’s laws of descent.
  • Lien enforcement. Property may be taken from its current owners by one of the lien holders with claims against the property’s title. Such foreclosures are normally initiated and conducted for delinquent real estate tax liens or defaulted mortgage liens. Most mechanics’ liens and judgment liens normally are not allowed to initiate foreclosure proceedings.
  • Accretion. The gradual removal of land through either natural or human causes is called accretion. Loss of land through natural causes is typically labeled erosion.
  • Adverse possession. Also called title by prescription or loosely referred to as squatter’s rights, this is the process by which a person can take property from its owner, without that owner’s consent.

States have varying statutes that the taker must meet to adversely possess another person’s property, but the four basic requirements are as follows:

  1. Continuous use. The person who wishes to take the land must have occupied and/or used the property continuously for a minimum time period, specific to each state. [Note that usage without occupancy may give that person an easement by adverse prescription, rather than full ownership of the property.]
  2. Adverse. The person’s use must be done without the owner’s consent and/or against the owner’s complaint. If the owner decides to give the person limited permission, then the right to adverse possession may be terminated.
  3. Open and notorious. The person’s continuous use must be in the open, without attempt to hide or camouflage. It must be visible to all who care to look.
  4. Exclusive. The person, family or group adversely using the property must possess it exclusively, without sharing it with either the owner or other parties.

Transfer of real estate

Monday, February 23rd, 2009

The transfer of real estate by will often involves the following parties, terms and elements:

  • Devisor. The person (deceased) who is giving real property through the will is called a devisor. The operative element here is real estate. The devisor and testator are often the same person. It is simply that when real estate property is involved, that portion of the process is considered the devising and involves the devisor and devisee.
  • Devisee. The person who is receiving real property through the will is the devisee. The devisee and beneficiary to a will may be the same person. The basic difference is whether the property being received is real property or personal property. In the portion of the will that deals with real property, the receiver is the devisee.
  • Devise. The process of disposing real—as opposed to personal—property through a will is technically called the devise. The will may involve a devise and a bequest; the difference is that the devise handles the disposition of real property, while the bequest handles the disposition of personal (non-real) property.

Title Transfers and Wills

Monday, February 23rd, 2009

One of the three methods of voluntary alienation, or the voluntary transfer of title to real estate, is through a will. The legalese term that applies to this scenario is “testate,” which is used to refer to the death of a person with a will.

Depending on whether the will is transferring personal property or real property, different terms and processes are involved. Before reviewing the differences between the transfer of personal property and real property through a will, let’s review the common elements and parties involved with the disposition of either type of properties:

  • Testator. The deceased person who created the will or for whom the will was created is called the testator; however, this person may also be called the testatrix, if female. The testator is the person whose property is being disposed through the will.
  • Executor. The person named in the will to administer the terms of the will is called the executor. This person may also be called the executrix, if female.
  • Administrator. If the deceased person has died intestate (without a will), the probate court may appoint an administrator to oversee the distribution of the deceased person’s estate. An administrator may also be appointed if the will does not specify an executor. The female version is often called an administratrix.
  • Probate. The process by which probate court settles the estate of a deceased person is called probate. Probate court is typically required when someone with assets dies without a valid will.