Page 8 - Home Buyers and Sellers Handbook English - California

Other ways of vesting title include as:

1. A Corporation*: A corporation is a legal entity, created under state law, consisting of one or more
shareholders but regarded under law as having an existence and personality separate from
such shareholders.

2. A Partnership*: A partnership is an association of two or more persons who can carry on business for profit
as co-owners, as governed by the Uniform Partnership Act. A partnership may hold title to real property in
the name of the partnership.

3. Trustees of a Trust*: A trust is an arrangement whereby legal title to property is transferred by the grantor
to a person called a trustee, to be held and managed by that person for the benefit of the people specified
in the trust agreement, called the beneficiaries. A trust is generally not an entity that can hold title in its own
name. Instead, title is often vested in the trustee of the trust. For example: Bruce Buyer trustee of the Buyer
Family Trust.

4. Limited Liability Companies (LLC)*: This form of ownership is a legal entity and is similar to both the
corporation and the partnership. The operating agreement will determine how the LLC functions and is
taxed. Like the corporation, its existence is separate from its owners.

*In cases of corporate, partnership, trust ownership or LLC - required documents may include corporate articles
and bylaws, partnership agreements, LLC operating agreements and trust agreements and/or certificates.

Reprinted with permission from the California Land Title Association.

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