Q&As

A property was held by a couple as legal and beneficial joint tenants. The parties separated and the property was sold. The proceeds of sale are held in the conveyancing solicitor's client account pending a resolution of the dispute over how to split those proceeds of sale. Does a joint tenancy continue over the proceeds of sale and would it therefore need to be severed? In the circumstances, when making a claim under Trusts of Land and Appointment of Trustees Act 1996, would the court fee be for a monetary or non-monetary claim?

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Produced in partnership with Chris Bryden of 4 King’s Bench Walk
Published on LexisPSL on 16/08/2016

The following Property Q&A Produced in partnership with Chris Bryden of 4 King’s Bench Walk provides comprehensive and up to date legal information covering:

  • A property was held by a couple as legal and beneficial joint tenants. The parties separated and the property was sold. The proceeds of sale are held in the conveyancing solicitor's client account pending a resolution of the dispute over how to split those proceeds of sale. Does a joint tenancy continue over the proceeds of sale and would it therefore need to be severed? In the circumstances, when making a claim under Trusts of Land and Appointment of Trustees Act 1996, would the court fee be for a monetary or non-monetary claim?

Where two parties hold a property as beneficial joint tenants, they are each entitled to the whole of the property. If one dies, their share is extinguished, and the other party retains ownership of the whole by way of survivorship. On a sale of the property, the parties are entitled to share equally in the sale proceeds, although this may potentially be subject to arguments in relation to equitable accounting. Such arguments should rarely apply, however, where the parties were beneficial joint tenants at the point of sale, given that each owned the whole.

The concept of a joint tenancy is not limited to ownership of property. A joint bank account will usually be held likewise as joint tenants, with the result that the survivor on the death of the other will be entitled to the whole of the funds which will fall outside the deceased’s estate. This will include monies held on trust by a conveyancing solicitor for the

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