In a Joint Tenants in Common agreement, what happens upon the death of one party?

In a Joint Tenants in Common agreement, when one party passes away, their share of the asset does not automatically transfer to the surviving co-owners. Instead, the deceased's portion is considered part of their estate and is distributed according to their will or, if there is no will, according to state inheritance laws. This means that the surviving co-owners retain their respective ownership interests, while the deceased's share will go to their heirs or beneficiaries.

The concept of joint tenancy differs from joint tenancy with right of survivorship, where the surviving owners would inherit the deceased's share directly. In the case of joint tenants in common, each owner has a distinct share that can be sold or bequeathed, emphasizing that ownership can be unevenly divided and doesn't automatically transfer upon death. Thus, the correct understanding lies in recognizing that the survivors' rights remain solely to their existing shares, with the deceased's assets entering probate and going through the legal process for distribution.