Jul82025
Probate Q&A Series

What are my rights for tenancy by entirety property and challenging a power of attorney in North Carolina?

1. Understanding Tenancy by the Entirety Rights

In North Carolina, spouses can hold real property as tenants by the entirety. This form of ownership provides a special set of rights and protections:

  • Equal and Undivided Interest: Each spouse owns the whole property, not a divisible share. Neither spouse can sell, mortgage or encumber the property without the other’s written consent.
  • Right of Survivorship: When one spouse dies, ownership automatically passes to the surviving spouse without probate.
  • Creditor Protection: If one spouse alone owes a debt, a creditor generally cannot seize tenancy by entirety property to satisfy that debt.
  • Termination Events: Only divorce, mutual agreement, death of a spouse or a court order (for example, in equitable distribution) can end a tenancy by the entirety.

As a spouse, you retain the right to live in, use and manage the property. You can petition a court for relief if your spouse tries to encumber or transfer property without your consent. In a divorce, the court will divide the property under Chapter 50, but until then, you remain protected.

2. Challenging a Power of Attorney

North Carolina follows the Uniform Power of Attorney Act (Chapter 32C). Under this law, an agent must act within the authority granted by the principal and under strict fiduciary duties. You can challenge a power of attorney on several grounds:

  • Lack of Capacity: The principal must have mental capacity when signing. You can seek court review under G.S. 32C-1-116.
  • Undue Influence or Fraud: If someone coerced or misled the principal, you can seek judicial review of the power of attorney.
  • Breach of Fiduciary Duty: An agent must act in the principal’s best interest. You can seek judicial relief under G.S. 32C-1-116.
  • Revocation by Principal: A principal can revoke a power of attorney at any time under G.S. 32C-1-110. If you have proof of revocation, the agent’s authority ends as provided by law.
  • Agent Exceeds Authority: Agents may only act within the scope defined. You can seek judicial relief if an agent exceeds that authority.

To start a challenge, gather evidence—medical records, witness statements or financial documents. Then file a petition or other appropriate proceeding with the court in the county where the principal resides. The court can review the agent’s conduct and grant appropriate relief.

3. Key Points to Remember

  • Tenancy by the entirety protects one spouse from unilateral transfers and personal creditors of the other spouse.
  • Neither spouse can encumber or sell property held as tenants by the entirety without written consent.
  • To challenge a power of attorney, act promptly. Seek judicial review under the Uniform Power of Attorney Act (Chapter 32C).
  • Grounds for challenge include lack of capacity, fraud, undue influence or breach of fiduciary duty.
  • Court remedies may include appropriate equitable or other judicial relief.

Contact Pierce Law Group for Help

Protecting your rights in tenancy by the entirety and challenging a power of attorney requires careful legal steps. Pierce Law Group’s attorneys have extensive experience guiding clients through North Carolina probate and fiduciary disputes. Reach out to us for a consultation:

We can help you understand your rights and secure the best possible outcome.

Category: Probate Q&A Series
Last Updated: April 7, 2026

Author: Pierce Law

Pierce Law Group is a North Carolina law firm focused on probate administration, real estate partition matters, and surplus funds claims across North Carolina. We know these situations often come with stress, family dynamics, and time-sensitive decisions—so we prioritize clear communication, steady guidance, and a practical plan from day one. Our goal is to make a complicated process feel manageable, while protecting what matters most to you.