Two siblings own a vacation property as tenants in common. One sibling rents the property to a third party without consulting the other and collects all rental income for themselves. The other sibling later demands half the rental income, asserting their ownership interest in the property. Is the renting sibling required to share the rental income, and why?
Yes, the renting sibling must share the rental income because cotenants are entitled to an accounting of profits generated from the property.
Yes, if the non-renting sibling has contributed to the property's expenses, such as maintenance or taxes.
No, the renting sibling is not required to share the income because each cotenant has the right to independently use or profit from the property.
No, unless the non-renting sibling can prove harm or exclusion from the property.
In a tenancy in common, each cotenant has the right to possess the entire property, but when one cotenant leases the property to a third party and profits from that lease, they are legally required to account for and share the rental income with the other cotenants. This is because the rental income arises directly from the shared ownership interest. Other answers are incorrect due to misinterpretations of cotenancy principles, including rights of possession, harm, or expense sharing, none of which absolve the obligation to account for profits earned from the property.
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Multistate Bar Examination
Real Property
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