The Seventh Circuit Court of Appeals recently upheld a district court decision which interpreted the Illinois tenancy by the entirety law as encompassing shares of a cooperative apartment building. In that case, a married couple owned shares of a cooperative apartment building and occupied that apartment. A creditor of the husband sought to have the shares turned over to the creditor in order to satisfy a judgment against the husband. The creditor argued that the tenancy by the entirety law applies only to real estate and not to shares of a cooperative apartment building which, under Illinois law, are deemed to be personal property. The court held that the Illinois tenancy by the entirety statute did not distinguish between personal property and real property. Thus, because the married couple occupied the apartment as their marital residence, their shares of the cooperative – which were owned by the couple as tenants by the entirety – were protected. Accordingly, the court thus refused to order the husband to turn over the shares of the cooperative to the creditor to satisfy its judgment against the husband.
Please do not hesitate to telephone us if you desire more information about tenancies by the entirety or how to hold title to your marital residence.