Final answer:
When a co-owner passes away, the ownership interest is typically transferred to the remaining co-owners through the right of survivorship.
Step-by-step explanation:
When a co-owner passes away, the ownership interest is typically transferred to the remaining co-owners. This is known as the right of survivorship. The surviving co-owners will then become the sole owners of the property.
For example, let's say there are three friends who co-own a house. If one of the friends passes away, the ownership interest of that friend would be transferred to the other two friends. They would now own the entire house jointly.
It's important to note that the specific rules regarding ownership interests can vary depending on the type of co-ownership and the laws of the jurisdiction. In some cases, the deceased co-owner's interest may pass to their heirs or beneficiaries instead.