Purchasing real estate always comes with risks. Will the market go up or down? Will costly renovations be required? What happens if I can no longer afford to make payments?
While these are well-covered, one aspect that is less discussed is the risks of joint-owned property. Specifically, what happens when two or more people have different plans for a property that is jointly owned?
Couples break up. Families grow apart. Wills are contested. If you cannot resolve the real estate conflicts that these can cause, a partition action might be necessary. But what is a partition action? Read on to find out exactly what you need to know.
What Is a Partition Action?
In a nutshell, a partition action is a legal process used to divide jointly-owned property among co-owners when they cannot agree on its division voluntarily.
In the context of estate planning, a partition action may arise when heirs or beneficiaries inherit property together and cannot reach a joint sale agreement.
It can also arise if a couple divorces or separates. If you think this is necessary, you should always consult an expert, qualified estate attorney services before you file.
The Partition Action Process
If you cannot reach an agreement, it’s time to file a partition action. This is called a demand for partition, which a court will review. After this, there are several types of partition actions the judge may enforce. There are pre-partition agreements, also known as interlocutory judgments.
This is a temporary partition that will be in force until the case is finalized and ruled on. You can read more on understanding interlocutory judgments here. From here, the courts will appoint a commissioner to oversee the process.
This might involve the physical partition of property ownership, wherein one party has the rights to one half and the other to the other half. The court might rule on a sale of the property, with the proceeds being split between parties.
This requires real property management and a very clear understanding and consensus on who has rights to what. Always consult a lawyer with proven experience in partition actions.
Getting It Right
The outcome of your partition agreement will depend on many factors. In order to secure a favorable outcome, make sure to consult legal experts who can fight your case and help you put together a strong argument for your ownership rights.
Make sure to document everything about the property, your ownership of it, and the proceedings of the partition. All of this will help your case.
Finally, make sure to always be open to communication with other parties. It’s never too late to reach a settlement that works for everyone.
Use the Protections That the Law Offers You
Understanding what is a partition action is essential if you wish to go down this long, expensive, and often emotionally painful road.
By understanding your rights and the consequences of enforcing those rights, you can make an informed decision about your assets and your wealth.
For more tips on how to really use the protections that the law offers you, we have got you covered. Make sure to consult our expertly curated Legal pages for actionable advice you can trust.
