On May 21, 2021, the Iowa Supreme Court issued an opinion In The Matter and Conservatorship of Marvin M. Jorgensen, No. 18-1235 (Iowa Sup. Ct. May 21, 2021). Marvin Jorgensen suffered a stroke in 2016 that left him unable to manage his nearly 18,000 acres of Iowa farmland. Prior to the stroke, Marvin leased approximately half of his farmland to his children and to several grandchildren in “handshake” agreements that were never put in writing. After the stroke, a Conservatorship was opened for Marvin and the Conservator entered into new written leases with family members which continued with Marvin’s practice
More Legal News & Information... →The Governor recently signed SF 2175 into law which replaces Iowa Code Chapter 651 which deals with Partition of Real Estate. The biggest change in the new law is the establishment of a partition procedure for “heirs property”. For the first time a new law allows the equitable remedy of “owelty” which provides for a payment of money to equalize the value of property received in a partition in kind action. Under the new Chapter, an individual who inherits property as a tenant in common with other relatives and who does not want to sell the property, in all likelihood
More Legal News & Information... →A new law was recently signed by the Governor which authorizes tax-preferred First-Time Homebuyer Savings Accounts beginning in the year 2018. Under the law, when an individual sets up a FTHSA account, he or she may exclude from their Iowa adjusted gross income yearly deposits of $2,000. Married taxpayers who file a joint return may exclude up to $4,000.00 a year if the money is deposited into a joint FTHSA. Any interest earned on a FTHSA account, will not be included in a taxpayer’s income. At the time that the FTHSA is opened, an individual can designate a sole beneficiary.
More Legal News & Information... →Many residential developments (homes, condos and townhomes) have restrictive covenants which set out restrictions regarding the use of properties located in the development. Most restrictive covenants set forth the term of years that the restrictive covenants will be in effect. As set out below, such terms do not always apply to restrictive covenants that are also “use restrictions”. Chapter 614.24 of the Iowa Code was initially adopted in 1965 and provides for the termination of all “use restrictions” on a property after a period of 21 years. The term “use restrictions” has never been defined in the Code until the
More Legal News & Information... →This month I want to introduce you to the Revocable Living Trust which is also known as a Revocable Trust, Living Trust, or Inter Vivos Trust. A Revocable Living Trust is a document which is used to manage one’s property during life and to distribute one’s property at the time of death. The person who creates the Trust is referred to as the trustor, grantor or settlor. The person who holds the property and who is in charge of the management of the Trust is the trustee. The individuals and entities which receive distributions from the Trust are the beneficiaries.
More Legal News & Information... →I am not suggesting that one must be a skeptic but rather that constructive doubt is useful in my profession. I need to have an understanding of the differences among (1) what I think, (2) what I believe, and (3) what I know. With regard to thinking, it involves the development of a process by which I gather information. It is being open-minded, being non-judgmental and does not evaluate the information or documentation assembled. With regard to what I believe, it involves looking at the information and the documentation assembled and sorting through the information and documentation to analyze which
More Legal News & Information... →Spring has finally arrived and sales of homes are picking up. Most homeowners opt to list their homes with a realtor. The commission due to a realtor on the sale of a home is generally seven percent (7%) of the sales price. This can be a significant expense. For example, the 7 percent commission on the sale of a $250,000.00 home is $17,500.00. Another option is to list your home for sale by yourself and to retain an attorney to assist you with the sale. The attorney can assist by preparing the various disclosures which are required to be provided
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