Domestic Partnerships & Tenancies by the Entirety

A same-sex couple residing in New Jersey entered into a marriage in Canada, a civil union in Vermont, and became registered domestic partners under New Jersey law.  The partners transferred their home into a tenancy by the entirety from a joint tenancy with right of survivorship after the marriage and civil union but prior to the registration.  They then claimed a 100% exemption from property tax based on the total disability of the veteran partner.  The parties had been receiving a 50% exemption based on the veteran’s proportionate ownership of the joint tenancy.

The court in Hennefeld v. Township of Montclair, No. 007682-2004, 2005 WL 646650 (N.J. Tax Ct. Mar 15, 2005), held that the couple could not hold the residence in a tenancy by the entirety because comity does not require New Jersey to recognize the Canadian marriage or the Vermont civil union.

However, the couple is entitled to the 100% exemption under the New Jersey domestic partnership act from the date of their registration as domestic partners.

Special thanks to Prof. William P. LaPiana for bringing this case to my attention.