Co-ownership

Meanings
With, together, jointly, one that is associated in an action with another having a usually lesser share in duty or responsibility

Definitions
(1)Co-ownership is where two or more people share the cost of buying a property, including the deposit, establishing and repaying the loan and the ongoing costs such as rates and insurance. The most common way for multiple owners to set up a co-ownership of property is through a Draftdocs Co-Ownership Agreement where each individual has a share in the property that they can sell or will to whoever they choose. (2)Co-ownership is a legal concept where two or more co-owners share the legal ownership of a property. (4)Estates there in are held by one person in severalty, that is, in his own right only, without any other person being joined or connected with him in the ownership (5) A company is similar to a sole trader or partnership, except that it exists as a separate legal entity from the owners (who are called shareholders). This means that in most circumstances, personal assets of the owners cannot be touched to pay for the debts of the company.

Co-ownership
When two or more persons buy a property together, that property will be held in one of two ways, either as 'joint tenants' or as 'tenants in common'. This article will be useful reading for anyone considering the purchase of property with anyone else, whether their wife, brother, grandparent or friend and so on and also those who already own joint property. Properties of Co-Ownership: 1- All property purchases are subject to contract and title, and a surveyor's inspection for condition and market value as part of the application assessment. 2- Eligibility criteria for purchasers also apply, and these are regularly reviewed.

Partnership Distinguished From Co-Ownership

Basis of Difference

Partnership

Co-Ownership

1. Contract

Co-ownership may or Partnership always arises out may not be based on agreement. It can also of contract.

arise by operation of law, such as by inheritance. On -the death of father, sans and daughters become co-owners of property.

2. Number of Partners

The limit for There is no ceiling maximum number on the maximum of partners is 20 limit of co owners. in a firm and 10 for banking. A partner is an agent of the other partners. He can bind them for his acts in the ordinary course of business A partnership is always entered into for business, it involve sharing of profits and losses. A co-owner is not the agent of the other co owner/coowners; every coowner is responsible for his own deeds only. A co-ownership does not involve sharing of profits and losses.

3. Agency Relationship

4. Sharing of Profits and Losses

5. Transfer of Interest

A partner cannot A co-owner can transfer his right transfer his right and

and interest to any person without consulting his partners. 6. Right of Investment If a partner spends money for the business, he can demand its repayment.

interest without the consent of the other co-owners.

If a co-owner spends money for the improvement of the property, he has no legal claim (lien) for its refund.