What Are Ohio Laws on Joint Tenants With the Rights of Survivorship?

Ohio law does not automatically assume that joint tenants have rights of survivorship.

Since Ohio hasn't recognized tenancy by the entirety since 1985, it's common for married couples to hold property as joint tenants with the right of survivorship instead. But Ohio law also specifies that a joint tenancy deed or contract must actually state that it includes rights of survivorship. Otherwise, state law will treat it as a basic joint tenancy without those rights. A joint tenancy can refer to real estate or other property, such as bank accounts.

Qualifications

To qualify as a joint tenants, the owners must purchase or invest in the asset and enter into the deed or contract simultaneously. They hold the same title and agree to an equal interest in the property. For instance, if there are two joint tenants, each owns 50 percent of the asset. If there are four joint tenants, each owns 25 percent.

Entitlements

Although two joint tenants only own 50 percent of the asset, joint tenancy gives them the right to the entire use of it. For example, if you and your spouse own a bank account under a joint tenancy contract, and if that account holds $10,000, you each have the right to spend that $10,000; you and your spouse are not limited to $5,000 each. With a home, each of you are entitled to use of the entire dwelling. Because you have an equal but unallocated interest in the home --- you don't own certain rooms while your spouse owns the others --- neither of you can sell or transfer your "share" to another party without the consent of other unless you specifically allow for that in your deed or contract. The other owner must agree to sell or transfer her share also.

Probate Implications

Provided that your deed or contract contains specific language giving each tenant the right of survivorship, or if you entered into it before April 4, 1985, it supersedes Ohio's probate laws. You can't leave your interest in your home to someone else in your will. If you try to, when you die, "right of survivorship" means that your share goes directly to the other tenant without having to pass through the probate process. If you die without a will, your share can't go to your other heirs. It automatically transfers to the other tenant and becomes a part of his estate when he passes away. Only then is it subject to probate.

Tips

If it's your intention that your joint tenancy should include rights of survivorship, state this precisely in your contract or deed. Because Ohio law relies on what the deed or contract actually says, rather than blanket legislation assuming that all joint tenants have rights of survivorship, you can also override the restrictions on sale or transfer of the property if you want to. But you must include certain words to that effect in the deed, such as "free alienability of ownership interest." If you do want to keep restrictions on transfer or sale of ownership interest, state that "no transfer of an individual interest can be made" or "transfer cannot be made without the permission or consent of the other owner."

References

• Ohio State University; Estate Planning Considerations for Ohio Families; Paul Wright, et al.; November 2003 (PDF)
• Re/Max Valley Real Estate: Re/Max Real Estate FAQ
• LAWCHEK: Ownership of Real Estate
• Ohio Legal Services; Dictionary of Legal Terms -- Joint Tenancy; Ohio State Bar Association; 2007
• Social Security Online; Restrictions on the Disposal of Real Property Interest; July 2005