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Tenancy by the Entirety Illinois Memo

Decent Essays

WHAT IS THE LAW OF TENANCY BY THE ENTIRETY?
ANSWER: An estate held in tenancy by the entirety is limited to “homestead” property held by a husband and wife “during coverture.”
The Illinois statute authorizing transfer of property into tenancy by the entirety states as follows:
“Whenever a devise, conveyance, assignment, or other transfer of property, including a beneficial interest in a land trust, maintained or intended for maintenance as a homestead by both husband and wife together during coverture shall be made and the instrument of devise, conveyance, assignment, or transfer expressly declares that the devise or conveyance is made to tenants by the entirety, or if the beneficial interest in a land trust is to be held as tenants by …show more content…

2003), the Appellate Court held that evidence supported a finding that a husband’s sole intent in transferring residence into tenancy by the entirety was to avoid paying debts existing at time of transfer. In LaSalle Bank, the appellate court affirmed a judgment against the husband in September 3, 1999. Id. at 281. The husband transferred the property from him and his wife in joint tenancy to a tenancy by the entirety on September 20, 1999. Id.
The Appellate Court reasoned that the Trial Court’s finding that the husband transferred the property to tenancy by the entirety solely to avoid a judgment creditor was not against the manifest weight of the evidence because 1) the husband owned less than $4,000 of assets at the time he transferred the property into tenancy by the entirety,
2) the husband didn’t make the transfer “around 1998” when he was advised to do so by a family attorney in order to protect the estate and make the “transfer easier” upon his death, since his assets were tied up in the business,
3) the husband did not own the residence individually or as a tenant in common with his wife, in which case there may have been a legitimate reason to transfer the property to tenancy by the entirety other than to avoid a judgment debt.
3) the husband made the transfer to tenancy by the entirety at a time when to not make such a transfer would have rendered him insolvent, and
4) the transfer was made within days after the Appellate

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