<html xmlns:v="urn:schemas-microsoft-com:vml" xmlns:o="urn:schemas-microsoft-com:office:office" xmlns:w="urn:schemas-microsoft-com:office:word" xmlns:m="http://schemas.microsoft.com/office/2004/12/omml" xmlns="http://www.w3.org/TR/REC-html40">
<head>
<meta http-equiv="Content-Type" content="text/html; charset=us-ascii">
<meta name="Generator" content="Microsoft Word 14 (filtered medium)">
<style><!--
/* Font Definitions */
@font-face
{font-family:Calibri;
panose-1:2 15 5 2 2 2 4 3 2 4;}
@font-face
{font-family:Tahoma;
panose-1:2 11 6 4 3 5 4 4 2 4;}
@font-face
{font-family:Consolas;
panose-1:2 11 6 9 2 2 4 3 2 4;}
@font-face
{font-family:"Times New Roman \, serif";
panose-1:0 0 0 0 0 0 0 0 0 0;}
/* Style Definitions */
p.MsoNormal, li.MsoNormal, div.MsoNormal
{margin:0in;
margin-bottom:.0001pt;
font-size:11.0pt;
font-family:"Calibri","sans-serif";
color:black;}
a:link, span.MsoHyperlink
{mso-style-priority:99;
color:#0563C1;
text-decoration:underline;}
a:visited, span.MsoHyperlinkFollowed
{mso-style-priority:99;
color:#954F72;
text-decoration:underline;}
p
{mso-style-priority:99;
mso-margin-top-alt:auto;
margin-right:0in;
mso-margin-bottom-alt:auto;
margin-left:0in;
font-size:11.0pt;
font-family:"Calibri","sans-serif";
color:black;}
pre
{mso-style-priority:99;
mso-style-link:"HTML Preformatted Char";
margin:0in;
margin-bottom:.0001pt;
font-size:10.0pt;
font-family:"Courier New";
color:black;}
p.MsoAcetate, li.MsoAcetate, div.MsoAcetate
{mso-style-priority:99;
mso-style-link:"Balloon Text Char";
margin:0in;
margin-bottom:.0001pt;
font-size:8.0pt;
font-family:"Tahoma","sans-serif";
color:black;}
span.HTMLPreformattedChar
{mso-style-name:"HTML Preformatted Char";
mso-style-priority:99;
mso-style-link:"HTML Preformatted";
font-family:Consolas;
color:black;}
span.EmailStyle20
{mso-style-type:personal;
font-family:"Calibri","sans-serif";
color:windowtext;}
span.EmailStyle21
{mso-style-type:personal;
font-family:"Calibri","sans-serif";
color:#1F497D;}
span.BalloonTextChar
{mso-style-name:"Balloon Text Char";
mso-style-priority:99;
mso-style-link:"Balloon Text";
font-family:"Tahoma","sans-serif";
color:black;}
span.EmailStyle24
{mso-style-type:personal-reply;
font-family:"Calibri","sans-serif";
color:#1F497D;}
.MsoChpDefault
{mso-style-type:export-only;
font-size:10.0pt;}
@page WordSection1
{size:8.5in 11.0in;
margin:1.0in 1.0in 1.0in 1.0in;}
div.WordSection1
{page:WordSection1;}
--></style><!--[if gte mso 9]><xml>
<o:shapedefaults v:ext="edit" spidmax="1026" />
</xml><![endif]--><!--[if gte mso 9]><xml>
<o:shapelayout v:ext="edit">
<o:idmap v:ext="edit" data="1" />
</o:shapelayout></xml><![endif]-->
</head>
<body bgcolor="white" lang="EN-US" link="#0563C1" vlink="#954F72">
<div class="WordSection1">
<p class="MsoNormal"><span style="color:#1F497D">In general, an improper <u>gift</u> of community property is absolutely void.
<u>Estate of Yiatchos</u>, 60 Wn.2d 179, 373 P.2d 125 (1962), <u>rev’d in part on other grounds, vacated in part sub nom</u>.
<u>Yiatchos v. Yiatchos</u>, 376 U.S. 306, 84 S. Ct. 742, 11 L. Ed. 2d 724 (1964);
<u>see also</u> <u>In re Marriage of Schweitzer</u>, 132 Wn.2d 318, 937 P.2d 1062 (1997). A
<u>sale</u> of community property without spousal consent is voidable, and there is a question as to whether a bona fide purchaser without notice can retain possession of the sold item. Note, however, that this case law is largely developed with regard to
<u>personal</u> property.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Simply because of the nature of real estate transfers, with deeds and public recording and so forth, the distinction between gift and sale becomes less important compared to the name the community property was
publicly held in (H only? Any indication of marital status on the deed?), the recording of other instruments of public record indicating a marital interest, etc. For that third party, if they have any knowledge of the marriage, they likely can't achieve BFP
status. It's not just what's in the record, but also a question of whether the buyer
<u>could</u> have determined marital status with the exercise of reasonable diligence.
<u>Campbell v. Sandy</u>, 190 Wash. 528, 69 P.2d 808 (1937); <u>Dane v. Daniel</u>, 23 Wash. 379, 63 P. 268 (1900).<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">I pulled the case citations from the WSBA Community Property Deskbook.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<div>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">Sincerely,<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">Eric<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">Eric C. Nelsen<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">SAYRE LAW OFFICES, PLLC<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">1417 31st Ave South<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">Seattle WA 98144-3909<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">phone 206-625-0092<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">fax 206-625-9040<o:p></o:p></span></p>
</div>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<div>
<div style="border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0in 0in 0in">
<p class="MsoNormal"><b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif";color:windowtext">From:</span></b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif";color:windowtext"> wsbarp-bounces@lists.wsbarppt.com [mailto:wsbarp-bounces@lists.wsbarppt.com]
<b>On Behalf Of </b>Kary Krismer<br>
<b>Sent:</b> Wednesday, January 17, 2018 1:24 PM<br>
<b>To:</b> wsbarp@lists.wsbarppt.com<br>
<b>Subject:</b> Re: [WSBARP] Bargain sale or Gift of Community Property<o:p></o:p></span></p>
</div>
</div>
<p class="MsoNormal"><o:p> </o:p></p>
<p>I would agree with Eric about looking at the actual deed to see the price paid for excise tax. If Roberto cannot do that easily, he can email me directly with an address or grantor/grantee and I could easily look it up.<o:p></o:p></p>
<p>As to case-law I thought I would find something in my 30+ year-old law school outlines, which I haven't looked at for over 10 years! What I was looking for wasn't there, but there is the 1910 case of Daly v. Rizzutto involving out of state owners, and the
court held that a BFP would prevail because there would be no way of knowing that the property was community property. If this was for $10, then not a BFP, but if it was for something more reasonable it's possible any CP restrictions on transfer might disappear.
<o:p></o:p></p>
<pre>Kary L. Krismer<o:p></o:p></pre>
<pre>John L. Scott/KMS Renton <o:p></o:p></pre>
<pre>206 723-2148<o:p></o:p></pre>
<div>
<p class="MsoNormal">On 1/17/2018 12:42 PM, Eric Nelsen wrote:<o:p></o:p></p>
</div>
<blockquote style="margin-top:5.0pt;margin-bottom:5.0pt">
<p class="MsoNormal"><span style="color:#1F497D">I'm not sure I'm following the facts. I'm reading that two years before his death, H sold some Washington real estate to a third party for basically nothing--amounts to a gift. My answer assumes I got that right.</span><o:p></o:p></p>
<p class="MsoNormal"><span style="color:#1F497D"> </span><o:p></o:p></p>
<p class="MsoNormal"><span style="color:#1F497D">You say "$10"--that's a common recital of consideration in a deed and bears no relationship to the actual sale price. I would verify the actual sale price through the county assessor records and/or the Real Estate
Excise Tax Affidavit filed with the deed. Even a real estate agent might be able to call up the information relatively quickly, or maybe you could find sale information on Zillow.</span><o:p></o:p></p>
<p class="MsoNormal"><span style="color:#1F497D"> </span><o:p></o:p></p>
<p class="MsoNormal"><span style="color:#1F497D">If the property sold by H was community property, see
<a href="http://app.leg.wa.gov/RCW/default.aspx?cite=26.16.030">RCW 26.16.030(2) and (3)</a> and associated cases. One spouse alone has no authority to transfer community real property without joinder of the spouse. Joinder typically means also signing the
deed, but the spouse can also waive the right, acquiesce, ratify after the fact or be estopped from challenging the transfer, depending on the facts. See WSBA Community Property Deskbook Section 4.7 (4th ed. 2014).</span><o:p></o:p></p>
<p class="MsoNormal"><span style="color:#1F497D"> </span><o:p></o:p></p>
<p class="MsoNormal"><span style="color:#1F497D">I'd go down that road first, before fighting the more difficult issues of capacity and undue influence. If you feel like talking through the issues in more detail, feel free to call me, or email me off the list.</span><o:p></o:p></p>
<p class="MsoNormal"><span style="color:#1F497D"> </span><o:p></o:p></p>
<div>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">Sincerely,</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D"> </span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">Eric</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D"> </span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">Eric C. Nelsen</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">SAYRE LAW OFFICES, PLLC</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">1417 31st Ave South</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">Seattle WA 98144-3909</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">phone 206-625-0092</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;color:#1F497D">fax 206-625-9040</span><o:p></o:p></p>
</div>
<p class="MsoNormal"><span style="color:#1F497D"> </span><o:p></o:p></p>
<div>
<div style="border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0in 0in 0in">
<p class="MsoNormal"><b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">
<a href="mailto:wsbarp-bounces@lists.wsbarppt.com">wsbarp-bounces@lists.wsbarppt.com</a> [<a href="mailto:wsbarp-bounces@lists.wsbarppt.com">mailto:wsbarp-bounces@lists.wsbarppt.com</a>]
<b>On Behalf Of </b>Roberto Castro<br>
<b>Sent:</b> Wednesday, January 17, 2018 12:10 PM<br>
<b>To:</b> <a href="mailto:wsbarp@lists.wsbarppt.com">wsbarp@lists.wsbarppt.com</a><br>
<b>Subject:</b> [WSBARP] Bargain sale or Gift of Community Property</span><o:p></o:p></p>
</div>
</div>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Listmates<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">I am striking out finding case law in WA dealing with a bargain sale or gift of highly appreciated property for a pittance ($10) of community property without knowledge of spouse or children of the couple; this purported transaction occurred
2 years before H’s death. I have an estate where H &W lived in AZ and two years prior to H’s death he purported to make a bargain sale of highly appreciated property in WA to a non-family member without knowledge of W or the children of the marriage. You
can imagine the uproar and issues of capacity and undue influence. Any case law or thoughts is appreciated.<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Thank you.<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Regards,<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Roberto H Castro<o:p></o:p></p>
<p class="MsoNormal">Attorney<o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt">312 E. Trow Avenue</span></i><o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt">P.O. Box 747</span></i><o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt">Chelan, WA 98818</span></i><o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt"> </span></i><o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt">5 South Wenatchee Avenue, Ste 210</span></i><o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt">Wenatchee, WA 98801</span></i><o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt"> </span></i><o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt">509.679.3668 (D)</span></i><o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt">509.266.7104 (F)</span></i><o:p></o:p></p>
<p class="MsoNormal"><i><span style="font-size:9.0pt"><a href="mailto:rcastro@rcastrolaw.com">rcastro@rcastrolaw.com</a></span></i><o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal"><b><span style="font-family:"Times New Roman , serif","serif"">Notice</span></b><span style="font-family:"Times New Roman , serif","serif"">: Attorney-client privilege Information. If this e-mail is received in error please immediately
advise and destroy the information if you mistakenly received sent. We don’t want this communication being shared in social media or get togethers (small or large), etc. since this communication is only intended for the recipient. In legal terms, this
may contain privileged and protected either as attorney work product or as an attorney-client communication.
</span><o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Please be further advised that the unauthorized interception or retrieval of e-mail may be a criminal violation of the Electronic Communications Privacy Act.<o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Times New Roman , serif","serif""> </span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Times New Roman , serif","serif"">The receipt of an e-mail or answering a call does not create an attorney-client relationship. To create an attorney-client relationship, just come to the office or ask us to send
you an agreement that once signed by yourself and the attorney sets forth the terms and nature of the engagement. If you are unusure whether an attorney-client relationship exists, please let us know immediately and let’s get that resolved before moving forward.
Thank you.</span><o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman","serif""><br>
<br>
<br>
<o:p></o:p></span></p>
<pre>_______________________________________________<o:p></o:p></pre>
<pre>WSBARP mailing list<o:p></o:p></pre>
<pre><a href="mailto:WSBARP@lists.wsbarppt.com">WSBARP@lists.wsbarppt.com</a><o:p></o:p></pre>
<pre><a href="http://mailman.fsr.com/mailman/listinfo/wsbarp">http://mailman.fsr.com/mailman/listinfo/wsbarp</a><o:p></o:p></pre>
</blockquote>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman","serif""><o:p> </o:p></span></p>
</div>
</body>
</html>