{"id":9752,"date":"2018-04-29T06:59:15","date_gmt":"2018-04-29T13:59:15","guid":{"rendered":"https:\/\/www.keytlaw.com\/azllclaw\/?p=9752"},"modified":"2018-05-06T10:17:55","modified_gmt":"2018-05-06T17:17:55","slug":"survivorship","status":"publish","type":"post","link":"https:\/\/www.keytlaw.com\/azllclaw\/2018\/04\/survivorship\/","title":{"rendered":"Joint Tenancy &#038; Community Property with Right of Survivorship Membership Interests"},"content":{"rendered":"<p style=\"text-align: justify;\">New Arizona Limited Liability Company Act (ALLCA) Section 29-3401.E provides that two or more natural persons may own an LLC membership interest as joint tenants with right of survivorship and a married couple may own an LLC membership interest as community property with right of survivorship.\u00a0 These types of LLC membership interests are created by one of the following methods:<\/p>\n<p><strong>Joint Tenancy with Right of Survivorship<\/strong><\/p>\n<p style=\"text-align: justify;\">1.\u00a0 A\u00a0written Operating Agreement expressly declares that two or more natural persons hold a transferable interest as joint tenants with right of survivorship or in joint tenancy with right of survivorship.<\/p>\n<p style=\"text-align: justify;\">2. A\u00a0written assignment of a transferable interest to two or more natural persons, who may include one or more assignors if the written assignment is signed by each joint tenant and contains the express written declaration that the joint tenants hold the assigned transferable interest as joint tenants with right of survivorship or in joint tenancy with right of survivorship.<\/p>\n<p style=\"text-align: justify;\">3. It is created in the Articles of Organization if the Articles are signed by each joint tenant and contain the express written declaration that the joint tenants hold the assigned transferable interest as joint tenants with right of survivorship or in joint tenancy with right of survivorship.<\/p>\n<p><strong>Community Property with Right of Survivorship<\/strong><\/p>\n<p style=\"text-align: justify;\">4.\u00a0A\u00a0written Operating Agreement expressly declares that that a married couple holds a transferable interest as community property with right of survivorship.<\/p>\n<p style=\"text-align: justify;\">5. A\u00a0written assignment of a transferable interest to a married couple, who may include one or both assignor spouses if the written assignment is signed by each spouse and contains the express written declaration that the married couple holds the assigned transferable interest as community property with right of survivorship.<\/p>\n<p style=\"text-align: justify;\">6. It is created in the Articles of Organization if the Articles are signed by each spouse and contains the express written declaration that the married couple holds the membership interest as community property with right of survivorship.<\/p>\n<p style=\"text-align: justify;\"><strong>Consequences of the Death of a Member Who Holds a Membership Interest with a Right of Survivorship<\/strong><\/p>\n<p style=\"text-align: justify;\">If a member who holds a membership interest with a right of survivorship dies, the surviving joint tenant with right of survivorship or surviving spouse who holds a community property right of survivorship does not necessarily become a member of the LLC with respect to the acquired interest.\u00a0 ALLCA Section 29-3401.H states:<\/p>\n<blockquote>\n<p style=\"text-align: justify;\">&#8220;Each co-owner of a transferable interest, whether the transferable interest is held as tenants in common, joint tenants with right of survivorship, community property or community property with right of survivorship, shall have only the rights of a transferee with respect to the interest, both during the lifetime and following the death of any other co-owner, unless and until the co-owner becomes a member in accordance with subsection C of this Section.&#8221;<\/p>\n<\/blockquote>\n<p>ALLCA Section 29-3401.C states:<\/p>\n<blockquote>\n<p style=\"text-align: justify;\">&#8220;After formation of a limited liability company, a person becomes a member by any of the following:<\/p>\n<p style=\"padding-left: 30px; text-align: justify;\">1. as provided in the Operating Agreement.<br \/>\n2. as the result of a transaction effective under Article 10 [mergers &amp; conversions] of this Chapter.<br \/>\n3. by agreeing to become a member, with the affirmative vote or consent of all the members.<br \/>\n4. as provided in Section 29-3701.A.3.<\/p>\n<\/blockquote>\n<p><strong>Bottom Line<\/strong><\/p>\n<p style=\"text-align: justify;\">Creating membership interests held jointly by members as joint tenants with right of survivorship or community property with right of survivorship does not happen automatically.\u00a0 Even under current Arizona LLC you create these types of ownership interests by proper documentation signed by the joint owners or married couple.<\/p>\n<p style=\"text-align: justify;\">I create joint tenancy with right of survivorship membership interests and community property with right of survivorship membership interests by including the proper language in the LLC&#8217;s Operating Agreement that is signed by the joint tenants or the married couple.\u00a0 My Operating Agreements also provide that on the death of a joint tenant or married member the interest of the deceased that is acquired by the survivor is automatically given full membership status.<\/p>\n<p><!--more--><\/p>\n<p style=\"text-align: justify;\"><strong>Subscribe to Our Free ALLCA Email List to Learn about Arizona\u2019s New LLC Law<\/strong><\/p>\r\n<p style=\"text-align: justify;\"><a href=\"https:\/\/www.keytlaw.com\/azllclaw\/list\/\">Click on this link to join our free ALLCA email newsletter list<\/a> to learn about Arizona\u2019s new limited liability company law.<\/p>\n<p style=\"text-align: justify;\"><strong>How to Hire Richard Keyt to Prepare a Custom Operating Agreement<\/strong><\/p>\r\n<p style=\"text-align: justify;\"><strong>Option 1: Form a New LLC with a Custom Operating Agreement<\/strong>: When you hire me, Arizona LLC attorney <a href=\"http:\/\/www.keytlaw.com\/attorneys-staff\/richard-keyt\/\">Richard Keyt<\/a> who has formed 10,000+ and has 406 <a href=\"https:\/\/birdeye.com\/keytlaw-llc-147983304225680\" target=\"_blank\" rel=\"noopener noreferrer\">five star Google &amp; Facebook reviews)<\/a>, to form a new LLC I will prepare a custom Operating Agreement.\u00a0 Complete our online <a href=\"https:\/\/azllc.com\/llcq\/\" target=\"_blank\" rel=\"noopener noreferrer\">LLC formation questionnaire<\/a> or call me at 480-664-7478 and give me your information. We form new LLCs and get them approved by the Arizona Corporation Commission the same day we are paid and you approve the LLC formation questionnaire you submit to us.\u00a0 See the \u201c<a href=\"https:\/\/azllc.com\/contents\/\" target=\"_blank\" rel=\"noopener noreferrer\">contents of the Bronze ($497), Silver ($897) &amp; Gold ($1,397) LLC packages<\/a>.<\/p>\r\n<p style=\"text-align: justify;\"><strong>Option 2: Purchase a Custom Operating Agreement<\/strong>:\u00a0 If your Arizona LLC's Operating Agreement was drafted for the obsolete Arizona LLC law or if it doesn't have an Operating Agreement its members should hire us to draft a custom Operating Agreement by submitting our online <a href=\"https:\/\/azllc.com\/oaq\/\" target=\"_blank\" rel=\"noopener noreferrer\">Operating Agreement questionnaire<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>New Arizona Limited Liability Company Act (ALLCA) Section 29-3401.E provides that two or more natural persons may own an LLC membership interest as joint tenants with right of survivorship and a married couple may own an LLC membership interest as community property with right of survivorship.\u00a0 These types of LLC membership interests are created by one of the following methods: Joint Tenancy with Right of Survivorship 1.\u00a0 A\u00a0written Operating Agreement expressly declares that two or more natural persons hold a transferable interest as joint tenants with right of survivorship or in joint tenancy with right of survivorship. 2. A\u00a0written assignment of a transferable interest to two or more natural persons, who may include one or more assignors if the written assignment is signed by each joint tenant and contains the express written declaration that the joint tenants hold the assigned transferable interest as joint tenants with right of survivorship or in joint tenancy with right of survivorship. 3. It is created in the Articles of Organization if the Articles are signed by each joint tenant and contain the express written declaration that the joint tenants hold the assigned transferable interest as joint tenants with right of survivorship or in joint tenancy with right of survivorship. Community Property with Right of Survivorship 4.\u00a0A\u00a0written Operating Agreement expressly declares that that a married couple holds a transferable interest as community property with right of survivorship. 5. A\u00a0written assignment of a transferable interest to a married couple, who may include one or both assignor spouses if the written assignment is signed by each spouse and contains the express written declaration that the married couple holds the assigned transferable interest as community property with right of survivorship. 6. It is <a href=\"https:\/\/www.keytlaw.com\/azllclaw\/2018\/04\/survivorship\/\"> [&#8230;]<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"footnotes":""},"categories":[830],"tags":[],"class_list":["post-9752","post","type-post","status-publish","format-standard","hentry","category-new-arizona-llc-act"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.7 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Joint Tenancy &amp; Community Property with Right of Survivorship Membership Interests - Arizona LLC Law %<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.keytlaw.com\/azllclaw\/2018\/04\/survivorship\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Joint Tenancy &amp; Community Property with Right of Survivorship Membership Interests\" \/>\n<meta property=\"og:description\" content=\"New Arizona Limited Liability Company Act (ALLCA) Section 29-3401.E provides that two or more natural persons may own an LLC membership interest as joint tenants with right of survivorship and a married couple may own an LLC membership interest as community property with right of survivorship.\u00a0 These types of LLC membership interests are created by one of the following methods: Joint Tenancy with Right of Survivorship 1.\u00a0 A\u00a0written Operating Agreement expressly declares that two or more natural persons hold a transferable interest as joint tenants with right of survivorship or in joint tenancy with right of survivorship. 2. A\u00a0written assignment of a transferable interest to two or more natural persons, who may include one or more assignors if the written assignment is signed by each joint tenant and contains the express written declaration that the joint tenants hold the assigned transferable interest as joint tenants with right of survivorship or in joint tenancy with right of survivorship. 3. It is created in the Articles of Organization if the Articles are signed by each joint tenant and contain the express written declaration that the joint tenants hold the assigned transferable interest as joint tenants with right of survivorship or in joint tenancy with right of survivorship. Community Property with Right of Survivorship 4.\u00a0A\u00a0written Operating Agreement expressly declares that that a married couple holds a transferable interest as community property with right of survivorship. 5. A\u00a0written assignment of a transferable interest to a married couple, who may include one or both assignor spouses if the written assignment is signed by each spouse and contains the express written declaration that the married couple holds the assigned transferable interest as community property with right of survivorship. 6. It is [...]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.keytlaw.com\/azllclaw\/2018\/04\/survivorship\/\" \/>\n<meta property=\"og:site_name\" content=\"Arizona LLC Law\" \/>\n<meta property=\"article:publisher\" content=\"http:\/\/www.facebook.com\/keytlaw\" \/>\n<meta property=\"article:author\" content=\"http:\/\/www.facebook.com\/keytlaw\" \/>\n<meta property=\"article:published_time\" content=\"2018-04-29T13:59:15+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2018-05-06T17:17:55+00:00\" \/>\n<meta name=\"author\" content=\"Richard Keyt\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Richard Keyt\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/2018\\\/04\\\/survivorship\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/2018\\\/04\\\/survivorship\\\/\"},\"author\":{\"name\":\"Richard Keyt\",\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/#\\\/schema\\\/person\\\/9d6c74d30296559f95e238fa25182391\"},\"headline\":\"Joint Tenancy &#038; Community Property with Right of Survivorship Membership Interests\",\"datePublished\":\"2018-04-29T13:59:15+00:00\",\"dateModified\":\"2018-05-06T17:17:55+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/2018\\\/04\\\/survivorship\\\/\"},\"wordCount\":669,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/#organization\"},\"articleSection\":[\"New Arizona LLC Act\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/2018\\\/04\\\/survivorship\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/2018\\\/04\\\/survivorship\\\/\",\"url\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/2018\\\/04\\\/survivorship\\\/\",\"name\":\"Joint Tenancy & Community Property with Right of Survivorship Membership Interests - Arizona LLC Law %\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/#website\"},\"datePublished\":\"2018-04-29T13:59:15+00:00\",\"dateModified\":\"2018-05-06T17:17:55+00:00\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/2018\\\/04\\\/survivorship\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/2018\\\/04\\\/survivorship\\\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/2018\\\/04\\\/survivorship\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Joint Tenancy &#038; Community Property with Right of Survivorship Membership Interests\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/#website\",\"url\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/\",\"name\":\"Arizona LLC Law\",\"description\":\"Information about Forming &amp; Operating Arizona LLCs\",\"publisher\":{\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/#organization\",\"name\":\"KEYTLaw, LLC\",\"url\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/wp-content\\\/uploads\\\/logo.png\",\"contentUrl\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/wp-content\\\/uploads\\\/logo.png\",\"width\":500,\"height\":500,\"caption\":\"KEYTLaw, LLC\"},\"image\":{\"@id\":\"https:\\\/\\\/www.keytlaw.com\\\/azllclaw\\\/#\\\/schema\\\/logo\\\/image\\\/\"},\"sameAs\":[\"http:\\\/\\\/www.facebook.com\\\/keytlaw\",\"https:\\\/\\\/x.com\\\/azestateplanner\",\"http:\\\/\\\/www.linkedin.com\\\/pub\\\/richard-keyt\\\/5\\\/a88\\\/a30\\\/\",\"https:\\\/\\\/www.youtube.com\\\/user\\\/keytlaw\"],\"description\":\"We are Arizona attorneys who have formed 9,000+ Arizona LLCs. 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We also prepare wills, trusts and estate plans to protect our clients' most valuable assets - their loved ones.","email":"rk@keytlaw.com","telephone":"480-664-7478","legalName":"KEYTLaw, LLC","foundingDate":"2001-06-01","numberOfEmployees":{"@type":"QuantitativeValue","minValue":"1","maxValue":"10"}},{"@type":"Person","@id":"https:\/\/www.keytlaw.com\/azllclaw\/#\/schema\/person\/9d6c74d30296559f95e238fa25182391","name":"Richard Keyt","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/be46af086de7d79cb650301f8e2188550999d39b68ef6226ddae375f7b4c0778?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/be46af086de7d79cb650301f8e2188550999d39b68ef6226ddae375f7b4c0778?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/be46af086de7d79cb650301f8e2188550999d39b68ef6226ddae375f7b4c0778?s=96&d=mm&r=g","caption":"Richard Keyt"},"description":"The author of this article is Richard Keyt, an Arizona limited liability company and estate planning attorney who has formed 9,800+ LLCs. His Silver &amp; Gold LLC packages include the $85 expedited filing fee, a custom Operating Agreement and 170 ebook called the \"Arizona LLC Operations Manual.\" Read Rick's 400 five star Google &amp; Birdeye reviews. Connect with Richard at 480-664-7478 or send him an email message at rk@keytlaw.com. Make a free office, phone or Zoom meeting appointment using his online calendar.","sameAs":["https:\/\/www.keytlaw.com\/","http:\/\/www.facebook.com\/keytlaw","http:\/\/www.linkedin.com\/pub\/richard-keyt\/5\/a88\/a30\/","https:\/\/x.com\/azestateplanner","http:\/\/www.youtube.com\/keytlaw"],"gender":"male","jobTitle":"Estate Planning & LLC Attorney","worksFor":"KEYTLaw, LLC"}]}},"views":7833,"_links":{"self":[{"href":"https:\/\/www.keytlaw.com\/azllclaw\/wp-json\/wp\/v2\/posts\/9752","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.keytlaw.com\/azllclaw\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.keytlaw.com\/azllclaw\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.keytlaw.com\/azllclaw\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.keytlaw.com\/azllclaw\/wp-json\/wp\/v2\/comments?post=9752"}],"version-history":[{"count":0,"href":"https:\/\/www.keytlaw.com\/azllclaw\/wp-json\/wp\/v2\/posts\/9752\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.keytlaw.com\/azllclaw\/wp-json\/wp\/v2\/media?parent=9752"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.keytlaw.com\/azllclaw\/wp-json\/wp\/v2\/categories?post=9752"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.keytlaw.com\/azllclaw\/wp-json\/wp\/v2\/tags?post=9752"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}