[WSBARP] Calculating Ownership Percentages

[Eric Nelsen]

I don't think there is a default rule that is definitive in this situation. Could be either. Do you have any information about the amount of funds contributed by each party? If so, the proportion of contribution will control over any (weak) presumption based on interpretation of the deed language.

There are two competing weak presumptions, and multiple conflicting TIC and community property principles. One presumption is that a conveyance to multiple people not married to each other, such as "B and C," produces equal tenants in common in the grantees. But another presumption is that property acquired during marriage is presumptively community property, which means that a conveyance to a married couple "A and B" alone is NOT presumptively TIC.

The problem is that the TIC presumption is financial in nature, while the CP presumption is about status of property in the marriage. There is also case law stating that "community property" is not an estate or a separate entity, so a third party like C doesn't have a direct "relationship" to a community. If C's "relationship" was to the community then 50-50 would seem logical. But it makes just as much logical sense under these competing rules to say that conveyance to "A and B, husband and wife, and C, an unmarried person" creates a TIC relationship between C and A, and between C and B, resulting in equal thirds; but that as between A and B, their 2/3 interest is community property and their property rights between themselves (not in relation to C) is governed by CP rules and not TIC rules.

It all goes out the window anyway, if there is any evidence of the actual financial contribution by each person. The "equal ownership" TIC presumption is defeated by evidence of unequal financial contributions. If "A and B" contribute community property funds, then their interest could be calculated against C's separate contribution. If A and B had separate property savings and they each contributed, then perhaps it would result in 3 separate TIC interests. But the actual proportion would be governed by the amount of each contribution.

Sincerely,

Eric

Eric C. Nelsen
Sayre Law Offices, PLLC
1417 31st Ave South
Seattle WA 98144-3909
206-625-0092
eric at sayrelawoffices.com<mailto:eric at sayrelawoffices.com>

From: wsbarp-bounces at lists.wsbarppt.com <wsbarp-bounces at lists.wsbarppt.com> On Behalf Of Julie Martiniello
Sent: Monday, December 1, 2025 9:41 AM
To: WSBA Real Property Listserv <wsbarp at lists.wsbarppt.com>
Subject: [WSBARP] Calculating Ownership Percentages

Hello All,

If the following is on the vesting deed, how would you calculate each person's ownership percentage?

coveys and warrants to "A and B, husband and wife and C, an unmarried person"

Do A and B share 50% and C has 50% or does each person have 1/3?

--

[https://dimensionlaw.com/wp-content/uploads/2025/01/Julie-Martiniello-Signature.png]
Our office will be closed for Thanksgiving from November 26-28 and for the holidays from December 24 through January 1.

PRIVILEGED AND CONFIDENTIAL:  This email (including any attachments) is intended only for the use of the individual or entity named above and may contain privileged or confidential information. If you are not the intended recipient, or the employee or agent responsible to deliver it to the intended recipient, you are notified that any review, dissemination, distribution or copying of this email is prohibited. If you have received this email in error, please immediately notify us by email, facsimile, or telephone; return the email to us at the email address below; and destroy all paper and electronic copies.

PRIVILEGED AND CONFIDENTIAL:  This e-mail (including any attachments) is intended only for the use of the individual or entity named above and may contain privileged or confidential information. If you are not the intended recipient, or the employee or agent responsible to deliver it to the intended recipient, you are notified that any review, dissemination, distribution or copying of this e-mail is prohibited. Attempts to intercept this message are in violation of 18 USC 2511(1) of the Electronic Communications Privacy Act, which subjects the interceptor to fines, imprisonment and/or civil damages. If you have received this e-mail in error, please immediately notify us by e-mail, facsimile, or telephone; return the e-mail to us at the e-mail address below; and destroy all paper and electronic copies. Any settlement offer contained herein is made pursuant to Washington ER 408, and without admitting fault or liability on the part of this firm's client(s) or its agents.  IRS CIRCULAR 230 DISCLAIMER:  To ensure compliance with requirements imposed by the IRS, I inform you that any U.S. tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code; or (ii) promoting, marketing or recommending to another party any transaction or tax-related matter addressed herein.
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbarp/attachments/20251201/f6f84c83/attachment.html>