There are three ways to partition a property: (1) divide the property, (2) sell the property and divide the proceeds or (3) have the property appraised and one owner purchase the interest of the other. Property will not be divided unless it can be done in a manner that is fair to all co-owners. The object of a partition action is to allow parties to use a portion of a piece of property, or interest therein, separately. This will naturally arise when there is some form of dispute involving the property amongst the owners.
Ownership disputes involving California real estate are very common. These disputes occur between families, co-investors, co-owners and even siblings which frequently lead to litigation over who owns, or has claims to, real property. When such disputes arise and the parties cannot agree on how to divide the property or resolve their dispute, the best course of action may be to file a Partition action which are designed to divide property interests amongst co-owners.
Selling the property and dividing the proceeds is the most common firm of relief sought by a party seeking a partition. The parties can voluntarily agree to partition the property in one of the three ways described above. Unfortunately, voluntary partitions are difficult to come by so the filing of a lawsuit is generally necessary. This invariably becomes necessary when one co-owner becomes difficult to work with or refuses to engage in any form of good faith resolution of any pending disputes involving the property. Partition claims become necessary in a variety of contexts including disputes between owners over ownership or maintenance of the property, when another co-owner is incapacitated or deceased and their estate or heirs are unwilling to take on their obligations involving the property, to address liens against the property, co-tenancies of condominiums, . Matters nor appropriate for a partition action include community property, easement rights and rights to use or enjoy property, actions which would terminate or defeat the purpose of a trust
Whenever the Court is considering a partition action, it must take into account several factors including:
- The facts and circumstances relevant to the creation of the rights of others involved in the claim;
- Repair and maintenance expenses, including whether any party paid more than their proportional share;
- Payment of taxes on the property and whether those taxes have made an interest in the property overly burdensome;
- The intent of the person who created the interests in the property and the needs of continuous or ongoing interests in the property.
Any parties who claim an interest in property, who have liens recorded against the property or which are known (or apparent) to the party filing the claim and any persons with future interests the property. Any person with a lease interest in the property need not be joined as a party to a partition claim. Persons with minor interests in the property may or may not need to be joined.
If you are having trouble with another co-owner of a piece of property and would like to consider your options in bringing a partition action, please contact our office. We can discuss your options with you including whether a partition claim is right for your situation.