The Smart Hunter’s Guide: Jointly Owning Hunting Land with an LLC

The Smart Hunter’s Guide: Jointly Owning Hunting Land with an LLC

When it comes to pursuing your passion for hunting, owning land can be a dream come true. However, not everyone chooses to purchase hunting land on their own. In such cases, jointly owning hunting land with friends or fellow hunting enthusiasts can be an excellent option.

One popular and strategic method to jointly own hunting land is through a Limited Liability Company (LLC). In this blog post, we’ll explore the different ways to jointly own hunting land and discuss the benefits of using an LLC to make your hunting dreams a reality.

Different Ways to Jointly Own Hunting Land in Wisconsin:

1. Tenants in Common:

One of the simplest ways to jointly own hunting land is as “tenants in common.” In this arrangement, each co-owner has an undivided interest in the property. Co-owners can own different percentages of the property, and if one co-owner passes away, their interest passes to their heirs as outlined in their estate plan. While this method provides flexibility, it can lead to disputes among co-owners. If a joint owner refuses to pay their share of expenses for the property, there is no easy way to force the reimbursement of those expenses on a future sale.

The key feature of joint tenancy is the “right of survivorship,” which means that if one co-owner passes away, their share automatically transfers to the surviving co-owners. While this method offers simplicity and avoids potential disputes, it may not suit hunting buddies who want to own unequal shares and pass their ownership down in their family, instead of to their co-owners.

1. Using an LLC for Joint Ownership:

A more organized and efficient way to jointly own hunting land is through an LLC. By forming an LLC, co-owners can create a separate legal entity to hold and manage the property.

Here are some key benefits of using an LLC for joint ownership:

• • Limited Liability Protection: The primary advantage of using an LLC is the limited liability protection it offers to its members. Each member’s personal assets are shielded from any potential lawsuits or claims related to the property. This means that if one of your hunting buddies gets into legal trouble or faces financial difficulties, their issues won’t affect the ownership of the land.
  • • Flexible Ownership Structures: An LLC allows for a customized ownership structure where members can have varying ownership percentages. This is particularly useful if not all members can invest the same amount in the property. The operating agreement of the LLC can be tailored to reflect the individual contributions and commitments of each member.
    • • Easy Management and Decision-Making: An LLC provides a clear framework for managing and making decisions regarding the hunting land. Members can outline the rules for usage, responsibilities for property maintenance, and dispute resolution procedures in the LLC’s operating agreement. This can help prevent conflicts and ensure the property is well-maintained.
      • • Transfer of Ownership: Transferring ownership of a share in an LLC is generally simpler than transferring ownership in other joint ownership structures. If a co-owner wants to sell their share or leave the LLC, the process can be well-defined in the operating agreement.

        Jointly owning hunting land can be a fulfilling experience, but it’s essential to choose the right ownership structure to protect your interests and enjoy a hassle-free experience. Forming an LLC is a strategic and organized way to jointly own hunting land, providing limited liability protection, flexibility, and clear rules for property management and decision-making. To explore this option further, consult with the business law attorneys at McCarty Law LLP. By doing so, you can embark on your hunting adventures with the confidence that your ownership structure is both efficient and protective. Happy hunting!

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        Jon L. Fischer

        Estate Planning and Elder Law Attorney at McCarty Law LLP

        Jon focuses his practice on estate planning, probate matters, and Medicaid planning as he aims to help clients in their time of need.

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