Disclaimer: This article provides general information under Vermont law; it is not legal advice. Always consult a qualified attorney for guidance on your specific circumstances.
Detailed Answer
Under Vermont law, a minor (under age 18) cannot independently consent to the sale or transfer of real property. To protect the minor’s interest and comply with statute, you generally must use one of the following methods:
1. Probate Court Approval and Guardianship Authority
If a guardian has not been appointed, a parent or interested party can petition the Vermont Superior Court, Probates Division, to appoint a guardian with specific authority to sell or transfer the minor’s real estate. Once appointed, the guardian must obtain court approval for the transaction. Vermont law grants the court power under 14 V.S.A. § 2544 to authorize a guardian to sell real property when necessary for the minor’s welfare. See 14 V.S.A. § 2544: legislature.vermont.gov/statutes/section/14/051/02544.
2. Uniform Transfers to Minors Act (UTMA) Custodianship
Under the Vermont UTMA (14 V.S.A. §§ 2810–2828), a donor can transfer property into a custodial account for the minor. A custodian manages the asset until the minor reaches the age of termination (typically 21). The custodian may sell or reinvest real property for the minor’s benefit without court involvement. Key provisions include:
- Custodian’s powers and duties: 14 V.S.A. § 2814 (§ 2814).
- Age of termination: default at 21, unless the governing instrument states otherwise (14 V.S.A. § 2816: § 2816).
3. Trust Arrangement
You may establish a revocable or irrevocable trust naming a trustee who holds and manages the minor’s real property. The trust instrument specifies when and how the trustee may sell or distribute proceeds for the minor’s benefit. A trust can offer flexibility on distribution age and investment decisions.
4. Joint Ownership with an Adult
In some cases, a parent or guardian can hold title as joint tenant with right of survivorship alongside the minor. However, if the adult co-owner seeks to sell, the court may still require approval to protect the minor’s share. This method can streamline management but carries risk if interests diverge.
5. Court-Ordered Partition or Sale
If the minor co-owns property with others and parties disagree, any co-owner can petition the Vermont Superior Court, Civil Division, for a partition sale under 12 V.S.A. § 6351. The court may order sale and divide proceeds; the minor’s portion will be held in a blocked account until age 18 or another court-approved age.
Helpful Hints
- File petitions early: Probate proceedings can take several months.
- Gather supporting documentation: death certificates, wills, or trust instruments.
- Work with a local probate attorney to draft petitions and notices.
- Consider UTMA before transfers: it may avoid court costs and delays.
- Keep detailed records of all transactions and court orders.
- Monitor statutory deadlines for annual reports or accountings.
- Plan for the minor’s best interest: invest proceeds conservatively.