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| SPONSOR: | Park | DATE TYPED: | 03/11/01 | HB | 941/aHJC | ||
| SHORT TITLE: | Transfer of Property on Death Deed | SB | |||||
| ANALYST: | Valdes | ||||||
| Recurring
or Non-Rec |
Fund
Affected | ||||
| FY01 | FY02 | FY01 | FY02 | ||
| NFI | |||||
(Parenthesis ( ) Indicate Expenditure Decreases)
SOURCES OF INFORMATION
Attorney General
SUMMARY
Synopsis of HJC Amendment
This amendment makes a technical change which is not a substnative change to the bill. It changes "owner" to "record owner."
Synopsis of Original Bill
House Bill 941 would allow a person (grantor) to transfer real property to another (grantee) prior to the grantor's death, but which transfer would be effective only upon his death. The bill sets forth the language of the deed, which must be filed in the real estate records of the county clerk of the county in which the property is located. Title does not vest until the death of the grantor. The transfer would be revokable, and the bill provides a mechanism for revoking it. Such a transfer is not, however, revoked by a conflicting provision in a will. The rights of a surviving joint tenant prevail over those of the grantee of such a deed. If the assets of the grantor's estate are not sufficient to cover claims against the estate and the statutory allowances to the surviving spouse and children, the transfer abates as to those claims.
Significant Issues
Under current law, transfers at death will be controlled by the owner's will or by the law governing intestate succession.
TECHNICAL ISSUES
Section 1(K), page 4, provides that if the grantee beneficiary dies before the grantor and an alternate grantee beneficiary has not been named, the transfer lapses. The bill does not address the status of the
transfer if the alternate dies before the grantor. Does the transfer lapse then, as well, or do the alternate's heirs/devisees take title, pursuant to the rules of testate or intestate succession?
MFV/njw:ar