What happens when the deceased was a joint owner of one or more indivisble shares of the boat? | ScriptaLegal
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Frequently asked questions > Maritime > General informations > What happens when the deceased was a joint owner of one or more indivisible shares of the boat?

What happens when the deceased was a joint owner of one or more indivisible shares of the boat?

Pursuant to the Canada Shipping Act, 2001, in the case of a joint ownership where, for example, an individual and his or her spouse together hold, 64 indivisible shares of a vessel, these indivisible shares of ownershp of the vessel will not be included in the deceased's patrimony. The shares of ownership of the deceased in the vessel will be assigned to the other joint owner, notwithstanding the provisions of deceased's Will, or failing a Will, the provisions of the Civil Code of Quebec in respect of legal devolution.

This principle will apply until the last surviving joint owner will eventually become the sole owner of the vessel.

In this case, it is necessary to set out an agreement between the undivided joint owners obliging each surviving joint owner to redeem the share or shares held by the deceased in the vessel in order to protect the rights of his heirs.

However, in the case of a joint ownership where, for example, an individual holds 21 shares, his or her spouse holds 21 shares and their friend holds 22 shares in the vessel (for a total of 64 shares), the general and legal succession rules will apply when one of the joint owners dies.

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