Anything other than land that can be subject to ownership is personal property. The characteristic that defines personal property is that it can be moved.
Real property is property that is fixed or attached to real estate, including buildings, ponds, and roads. However, items and fixtures that can be removed without damaging a building are often included in the definition of real property.
There are two basic categories of personal property, tangible and intangible. Intangible property cannot be handled physically, for example:
- Deeds of title
- Ownership rights
- Stocks
- Trust fund accounts
Property that can be physically handled is tangible property, which can include:
- Jewelry
- Furniture
- Clothes
- Vehicles
Property laws may change depending on whether an item is categorized as personal or real. In addition, property laws can vary by jurisdiction.
Variances in definitions occur in many different areas of law, including contract law. One example of this that overlaps with property law is that all sales of real property have to be in writing.
Not every personal property sale, however, has to be in writing. Other examples of legal implications of personal property can include:
- Descriptions of property contained within a title deed
- Personal property contracts
- Distributions of property when a business is sold
- Personal property tax consequences
- Divisions of property in a divorce or separation circumstance
- Property distributions in an estate planning context
Some items of property that are categorized as personal can become real property if they are attached to a building or if, for example, materials are made into a fence or gate attached to property.
For estate planning purposes, an individual’s property can all be divided into real property and personal property. To find out more about personal property in California, it is important to schedule a legal consultation in California.
In California, What Is Personal Property in a Will?
As noted above, anything that is not classified as real estate or is related to land usage is considered personal property in California. Common examples of personal property that individuals include in their wills are jewelry, clothing, and other household items. In some situations, the item may not have much monetary value but does hold great sentimental value for the testator and their family.
Bigger and more expensive items can also be included as personal property. Common examples of these are vehicles, tractors, and other large machinery. As noted above, personal property also includes financial items, such as bank accounts, stocks, and others.
For the purposes of a will, mobile homes are not considered to be tangible property. The definition of these specific categories and what is included is provided by California state statutes.
California lawyers can answer any questions a person has about how the state defines personal property, including tangible and intangible personal property.
How Can I Resolve Conflicts and Language Issues in California?
In some California wills, what is considered personal property and real property is specifically defined. The meaning of personal property may, in some situations, create contests between family members.
A conflict that involves a will is referred to as a will contest. Will contests typically involve beneficiaries, or those who receive property under a will, having a disagreement about terms in the will.
Contesting a will means that someone challenges the validity or authority of the will and its provisions. Common examples of issues that cause will contests include:
- Which family member is entitled to which item of property
- Issues with specific property, such as heirlooms
- A dispute about the amount of money that is given to a specific person
- Other types of disputes about the intentions of the testator
In cases where someone believes the distribution under the will is not fair or not in accordance with the testator’s actual intentions, the court will examine accompanying language to determine the testator’s intent to the best of its ability.
One example of this issue would be if an individual left all of their personal property to Child A but also stated they wanted Child B to inherit their 1986 Chevy Silverado. Although the will states Child A gets all personal property, because the document specifically mentioned a piece of property to be given to Child B, the court would likely determine that means the testator wanted Child B to have the truck.
A court may also use qualifying terms to help determine the intent of the testator. Any terms that limit the type, location, or specify certain items are common ways for courts to resolve disputes.
In California, How Can I Avoid Misunderstandings Through Estate Planning? Are There Any Alternative Distribution Methods?
Being as specific and as detailed as possible when creating a California estate plan is the best way to avoid any future misunderstandings. This means avoiding open-ended or vague language.
When someone is drafting their will, they will often include a list of personal property. It is important to specify which item goes to which beneficiary.
If someone has a large amount of personal property, however, this may not be the most effective option, as they may acquire and get rid of property during their life. It can also be hard to guess which items will still be in an estate when someone passes away.
One way to help with this is to, instead, attach a personal property memorandum to the will, which can be rewritten as many times as needed. This is a letter to the executor of the estate about where specific items go when the will is executed. It can only be used, however, with tangible personal property.
Monetary gifts must be written in the will document. Real estate has to be transferred through the will or through another proper document, such as a Lady Bird deed, or a transfer on death deed.
If a testator anticipates that disputes may arise, they should have witnesses to their will and consider having it notarized. This will show that the wishes of the testator as written in the document were, in fact, theirs.
There are some alternative distribution methods that can be explored, such as living trusts. With a living trust, all of the personal property in the trust would be owned by the testator during their lifetime and would automatically transfer to the named beneficiaries upon their death, thus avoiding probate.
Do I Need an Attorney in California To Help Me Write a Will?
If you are considering any type of estate planning in California, it is essential to consult with a California will lawyer. Your lawyer can provide you with detailed advice based on your unique situation, explain applicable California law, and ensure your wishes are recorded.
You can use LegalMatch today at no cost to find California will lawyers near you who are ready to help and answer your questions. Simply complete the online submission form, which will likely only take you around 15 minutes, and, within a business day, you may start receiving responses from attorneys in your area of California who are ready to help you start estate planning.
Whether you have a very small estate or a large, complex estate, it is important to plan ahead and make sure your family and friends are cared for as you wish after you pass away.
