Three friends — Alex, Beth, and Carlos — purchase a vacation property in Ocean City, Maryland as joint tenants with right of survivorship. Alex later sells his interest to a third party, Dana, without telling Beth and Carlos. Under Maryland law, what type of ownership interest does Dana hold after the sale?
Correct Answer
B) Dana holds a tenancy in common interest, while Beth and Carlos continue as joint tenants with each other
Under Maryland property law, when one joint tenant conveys their interest to an outside party, the joint tenancy is severed as to that interest only. The new purchaser (Dana) takes as a tenant in common with the remaining co-owners. However, the remaining original joint tenants (Beth and Carlos) continue to hold their interests as joint tenants with each other. This partial severance rule is consistent with Maryland common law principles governing joint tenancy.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The bundle of rights describes the rights associated with property ownership, allowing owners to use, control, enjoy, exclude others from, and dispose of the property.
Community property is a form of ownership recognized in certain states where property acquired during marriage is considered equally owned by both spouses, regardless of who earned the money or whose name is on the title.
Condominium ownership involves owning a unit of airspace within a multi-unit building plus an undivided interest in the common elements shared with other unit owners. Each unit is separately taxed and financed.
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