when a joint tenant dies their rights to the asset automatically pass to the surviving joint tenants regardless of any other will or directive from the deceased 
requirements for jtwrosthe creation of a jtwros requires that the owners share what is known as four unities a jtwros cannot be created if any one of these four unities isn t established the parties are then treated as tenants in common 1the language must be extremely clear when a jtwros account is created for instance mr x and mrs y are to be designated joint tenants with rights of survivorship and not as tenants in common this is necessary because a joint tenancy is automatically assumed to mean tenants in common in certain jurisdictions all members of a brokerage account are afforded the power to conduct investment transactions within the account joint tenant with right of survivorship jtwros vs tenancy in common tic a joint tenant with right of survivorship differs from a tenancy in common while each party in a jtwros has a right of survivorship over the asset those in a tic do not have the same legal right unless otherwise indicated this means when a tenant dies their ownership stake is passed on to an heir or other beneficiary of their choosing while parties in a jtwros must have an equal stake in the asset or property tenants in common aren t bound by this rule instead this agreement allows parties to have different stakes in the property for instance three people may own a home together if one individual has a 75 claim in the house the other two are only able to have a 25 stake in the property 3unlike a jtwros there are several ways for parties to terminate a tic they include buying out the other party selling the asset and one or more heirs selling their stake creditors with claims against a deceased account owner s assets including a joint tenant with right of survivorship may be settled using any of their previously owned assets 4advantages and disadvantages of jtwrosthere are a number of benefits to entering into a jtwros despite these advantages this type of arrangement does come with certain drawbacks we ve listed some of the most common advantages and disadvantages of being a joint tenant with right of survivorship below entering into a jtwros avoids probate which is the legal process where a person s will is proven in court and accepted to be a valid legal document 5 the deceased owner s heirs cannot inherit their property once a jtwros is established this means that the last living owner of the property owns all of the assets they then become part of this individual s estate survivorship also provides the remaining party s with other benefits in addition to avoiding probate surviving parties are allowed to continue using the asset without any interference from outside parties including a deceased party s heirs each party in a jtwros must contribute to the property equally in addition to holding an equal share and equal access to it this means they must put in an equal share of any bills such as property taxes maintenance or repairs 1 this takes the burden off one individual and spreads it out between everyone in the relationship the most obvious disadvantage is that individuals can t pass or will their ownership stake to their heirs those who want to own property but don t want to give survivorship to the other owner s shouldn t consider this kind of agreement everyone should ensure they have a stable and solid relationship before they enter into an agreement like a jtwros if relations between parties go south it can impact the agreement individuals should be sure they can afford the asset before they enter into a jtwros financial strains can put a damper on the agreement especially when one individual is doing their part for instance if one individual can t keep up with their financial obligations to repair a home or make payments on a mortgage it could have a negative effect on the other party avoids probateallows survivors to use assets without outside interferencegives each party equal financial responsibility in addition to an equal stakeparties can t will their ownership stake to heirsrelationships can be strainedone party can be negatively impacted if the other doesn t live up to their responsibility