Articles Posted in Partition Action

Underwood-Blog-Images-2-1-300x300While litigation guarantees are recommended in a lot of contested real estate issues in court, it is not required in a partition action. Read on to find out more about the nuances of litigation guarantees and their relationship with partition actions. 

What is a partition action? 

A partition action or a partition lawsuit is when one co-owner, or when one person with interest in the property wants to sell the property, but the other co-owners or others with interest in the property do not want to sell their ownership rights. 

Underwood-Blog-Images-1-2-300x300Yes. In California, you have a right to recover attorney’s fees by statute. But that doesn’t mean that you can recover 100% of your fees, even in uncontested partitions. Courts will employ numerous equitable considerations in awarding costs, and the complexities of prolonged litigation may render some expenditures on your attorney unrecoverable. The focus of this blog post will therefore be those common issues that arise when attempting to recoup your costs. 

The Authority for Awarding Attorney’s Fees in Partition Actions 

Code of Civil Procedure, section 874.010 states that “[t]he costs of partition include: (a) [r]easonable attorney’s fees incurred or paid by a party for the common benefit.” 

Underwood-Blog-Images-1-1-300x300Yes. Partnership property is subject to partition on the dissolution, accounting, and wind-up of partnership matters, just like other types of property. As real estate presents unique issues, however, there are many important things to know about the process to ensure that it is done correctly. The purpose of this blog post is to address some of the issues involved with partitioning property belonging to a partnership. 

What is a Partnership? 

Partnerships are a type of corporate entity with its own set of rules and regulations. By code, a partnership is born by the association of two or more individuals to carry on as co-owners of a business for profit, whether or not the persons intended to form a partnership. (Corp. Code § 16202.) 

Underwood-Blog-Images-2-300x300Yes. A party may be able to receive credits and/or offsets for upgrading a property in a partition action under many circumstances. In a partition lawsuit, two parties disagree about what to do with the jointly-owned property. 

In those circumstances, one party can seek the sale of the property and then have the equity divided between all of the owners. Once the property is sold, the parties can make claims to the money left from the proceeds from the house.   

One issue that often arises, however, is whether an improvement to the property—as opposed to a repair—is subject to an offset as part of the partition action. For example, if one party remodels a bathroom, would they have the right to an offset for that work? 

A lawyer writing on a paperwork on his desk in front of his client.Partition by a private sale is a method of selling jointly owned property, either by joint tenants or tenants in common,  under the court’s supervision via a court order or a court-ordered referee. 

What is a partition lawsuit?

A partition action or a partition lawsuit is when one co-owner, or when one person with interest in the property wants to sell the property, but the other co-owners or others with interest in the property do not want to sell their ownership rights. 

Two lawyers having an agreement and signing a paperwork.Partition receivers and partition referees serve very similar roles in partition lawsuits. Their roles are to act as a third party with no ties to any of the co-owners interests in property via a partition lawsuit and to help the court and the judge to distribute the property or proceeds from the sale of the property fairly and equitably. Read on to find out the important differences between the two. 

What is a receiver?

A receiver, on occasion, assists the co-owners of the property, and the court in achieving a successful sale or appraisal for the property is partitioned. Receivers are court-appointed in California that oversees actions such as business disputes, divorce cases, judgment collection, and of course, real estate partition cases. 

A lawyer on his desk signing a document.When there is a court-ordered partition by division, there are several steps that both the court and parties take to ensure that the property is physically divided both equally and equitably. Read on to find out the different avenues the court takes when deciding a partition by division lawsuit. 

How does the Court Account for partition by Division?

First, the court operates on the assumed guideline that all parties should have the property divided in the most equal and equitable ways possible. The court in the Canepari v. Pascale court case found that there is a rebuttable presumption that the partitioned property should be equally divided. This means that if each co-owner or tenant holds a 50 percent interest in the property, then the property in question is divided as physically possible to a 50/50 divide. 

A courtroom full of empty chairs.Generally speaking, no, jury trials are not available in partition actions because partition action lawsuits are generally based on equity and therefore do not need a jury trial to decide each party’s rights.

However, in some specific scenarios, it is within the court’s discretion to allow factual issues or claims to the property to be heard by a jury in an equitable action, as is the plaintiff’s constitutional right. Read on to find out the avenues in which jury trials are available for those seeking or defending partition action lawsuits. 

What is a partition action?

An unbalanced scale on a deskUnless the guarantor has an interest in the property, such as a joint tenancy, tenancy in common, or tenancy by the entirety, then no, a guarantor in the property can not sue for partition.

This seems complicated, but if you break down that a guarantor simply acts as collateral against a property mortgage, and those who are eligible to bring a partition action lawsuit must have an actual interest in the property, it starts to make more sense. Read on to find out more about how these two concepts interact in the world of real estate law.

What is a guarantor?

While it is possible for a co-owner to lawfully adversely possess the other tenant’s interest in the property under California law, in practice, it is quite difficult and cumbersome.

Can a co-owner lawfully adverse possess the other tenant’s interest in the property? Blog Image for Underwood Law Firm, P.C.If you co-own or are a co-tenant of a shared piece of real estate property, possession is not enough for the court to determine that the other party will lose their rights or their interest in your shared real estate property.

Read on to find out the elements that must be taken and proven in court to have a co-owner lawfully and successfully adversely possess the other tenants’ interest in the property. 

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