Can I be given a percentage ownership of a company without signing a contract?
Question Details: A family member gave me 5% of a real estate LLC and put my name on the contract, without me signing anything. I'm not sure if I want it, and certainly don't want to be liable for taxes. Is he able to do this without me agreeing in writing and how do I remove myself if I choose to do so?
Hi there,
Just writing it down in a document does not complete the transfer of ownership. You would have to accept the transfer in some form. You can refuse acceptance of the share of the company, either physically or in writing, prior to their delivery. If you don't want the ownership, put it in writing to your family member and that should serve as notice that the transfer was not complete and you do not own the portion of the company.
Do not accept delivery of the shares. Follow up with a written refusal to accept the gift.
