Posted by Bob Smith on August 04, 2007 at 14:14:26:
A ToD deed isn’t like a remainder estate. D. Doe has no vested interest. J. Doe can deed the property to anybody, and when they do so D. Doe’s potential interest is extinguished. J. Doe can give a ToD deed to somebody else, replacing D. Doe. D. Doe’s interest is more like that of a contingent beneficiary of a living trust, which becomes irrevocable upon death. Until then, they have no interest in the trust’s corpus and can be removed (as contingent beneficiary) at any time.
I recently came upon an Ohio deed entitled, “Transfer On Death Deed”. The granting clause reads, “J. Doe” grants, with general warranty covenant, to “J. Doe” (address), transfer on death to “D. Doe”.
It doesn’t appear that “D. Doe” has any vested interest either as a Grantee or a remainderman. It seems to be more like a real estate will. Is this the same as a Life Estate reservation?
Re: Life estate/Transfer on death definition - Posted by John Mechant
Posted by John Mechant on July 18, 2007 at 13:04:53:
If J. Doe owned the RE free and clear it was her right to deed it to anybody she wanted, so your observation that “it doesn’t appear that D. Doe has any vested interest” appears to me to be incorrect.
Chances are that if J. Doe has now died and that deed has been recorded in deed records, D. Doe does indeed have a pretty solid interest in that RE.
And a “reservation” would refer to something NOT sold or conveyed.