If it comes time to cease a co-ownership of a property, there are a few matters to consider such as the form in which the co-ownership takes. 

Co-ownership of a property can be held in two forms, either as joint tenants or tenants in common. The holding of a property in joint tenants means the property is held jointly and upon the death of one of the owners, the surviving owner will automatically receive the half interest in the deceased’s share of the property regardless of their Will. This is what we refer to as the right of survivorship.

Holding a property as tenants in common means the property is held by the co-owners in a percentage share and upon the death of one of the owners, the ownership of the deceased’s share will not automatically pass to the surviving owner, but rather be determined upon the deceased’s Will.

You will need to consider how the co-owners hold the property before determining whether a severance of a tenancy is required. The first way to cease a joint tenancy of a co-ownership is through severance, in which the joint tenancy is converted to a tenancy in common. This can occur by the provisions of the Land Title Act or under the Principles of Common Law, which includes alienation, partial alienation, or mutual agreement or conduct. A joint tenancy can also be terminated by an order of the court for the sale or partition of the property.

Forfeiture of the Common Law rule will occur in the instance of the unlawful killing of one joint tenant by the other joint tenant. This will result in the severance of the joint tenancy.

There is a lot to take in when considering the severance of a tenancy of a property. If you would like assistance when considering whether severing ownership of a property is required, our professional property lawyers are here to help.