Thread: We downsized
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  #25  
Old 09-07-2020, 05:09 PM
merc lover merc lover is offline
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Join Date: Jul 2019
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I just thought of another item that may be a problem for your sister. Normally, when someone deeds land via a warranty deed, there is an exchange of MONEY and/or "other good and valuable consideration". In the constitution for the united States, it says ONLY contracts involving twenty-one silver dollars or more are contestable in a court of law.

In other words, did sis PAY your mother fair market value for the land or was it a GIFT? Ask the lawyer if federal gift tax is in play here. If sis is looking at owing uncle sugar a large amount of money in the form of gift taxes, she might be more willing to negotiate.

This about sums it up:

https://www.irs.gov/businesses/small-businesses-self-employed/gift-tax

Last edited by merc lover; 09-07-2020 at 06:56 PM.
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