A: Your question suggests a real estate purchase. Oral contracts for the sale or transfer of land are subject to the statute of frauds in most states. This requires such agreements to be in writing and signed by the parties to be enforceable. Although there are some limited exceptions, I recommend trying to get your verbal agreement memorialized in writing as soon as possible.
A: Here are some of the key reasons why it can be beneficial to hire a lawyer when forming an LLC:
- Expertise navigating legal requirements - Forming an LLC involves meeting specific legal and regulatory requirements under state law. A business lawyer can help ensure you take all the necessary steps to properly create and register your LLC so that it obtains legal recognition and protections.
- Assistance with operating agreement - Lawyers can draft a customized operating agreement that outlines the ownership structure, member responsibilities, profit/loss distributions, voting rights, and other rules governing your LLC. This agreement is important for establishing how your LLC will operate.
- Advice on tax implications - LLCs can choose different tax treatments (like being taxed as a sole proprietorship, partnership, S-corp or C-corp). A lawyer can help you understand the tax implications of these options.
- Ongoing legal advice - After forming the LLC, you may need guidance on legal issues like liability protection, employing workers, licensing, contracts, intellectual property, etc. A lawyer can provide trusted counsel.
- Compliance with regulations - Lawyers stay up-to-date on all current LLC regulations and can help ensure your LLC remains compliant as laws evolve. Non-compliance can result in penalties or loss of LLC status.
The bottom line is that an experienced business lawyer can help you avoid potential mistakes when forming an LLC and provide ongoing guidance to maintain the legal protections an LLC provides. Their expertise makes the lawyer fees worthwhile for many small business owners.
A: Here are some of the main pros and cons of using a quitclaim deed:
- It's a relatively quick and easy way to transfer property title. The process is simpler than other deed types because no warranty of title is provided.
- It can help avoid probate if transferring title from a deceased owner. The property can be transferred without going through probate court.
- It's generally less expensive than other deeds. A quitclaim deed is usually considered the simplest and cheapest deed option.
- It clears up potential title clouds. It can resolve ambiguities in the property's title history.
- It provides no warranty of title. The person transferring the property does not guarantee they actually own the property.
- No liability protection for the recipient. If there are defects in the property title, the recipient has no legal recourse against the grantor.
- It may not transfer all interests. Mineral rights, easements, mortgages, and other encumbrances may still exist after the transfer.
- The grantor must have valid interest to quitclaim. If the grantor doesn't actually have rights to the property, the deed may be void.
- It can facilitate fraud if misused. Care should be taken that the grantor has rights to the property.
In summary, a quitclaim deed can be a fast and low-cost option to transfer property title, but provides less protection than other deeds. It's important to be sure the grantor has valid rights to avoid potential title issues. Consulting a real estate attorney can help navigate the pros and cons.
A: The main form used to transfer property between spouses is called a Quit Claim Deed. This allows you to transfer interest without going through a full real estate transaction.
The Quit Claim Deed must be signed by the current owner(s) of the property, notarized, and then filed with the county recorder office where the property is located. There is typically a small filing fee.
You will need the full legal description of the property and the Property ID Number or Parcel ID to complete the Quit Claim Deed form properly. This can be found on your current deed, property tax statement, or through the county assessor's office.
Both spouses will need valid photo ID when signing the Quit Claim Deed in front of a notary public.
If there are already loans secured by the property, the lender may need to provide approval to add the spouse, so check with your mortgage company first.