co-owner Archives

How do you sever a joint tenancy in California? (Code of Civil Procedure section 683.2)

Published on: August 10, 2022 | By Underwood Law Firm, P.C.

Underwood-Blog-Images-3-300x300 Joint tenancy is a special type of co-ownership recognized in California. It is commonly associated with married couples, ensuring that when one of them dies, their entire interest in the property passes to the other spouse. This is called the right of survivorship, and it is the defining trait of a joint tenancy.

The right of survivorship, however, can be an uncomfortable concept for co-owners, particularly when those owners are not related and are merely business partners. For that reason, co-owners can attempt to sever the joint tenancy to extinguish the right of survivorship.

The Underwood Law Firm, P.C. is familiar with all types of cotenancies, including joint tenancies, and the various means of severing them under the law.

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What is a Partition Action? (Code of Civil Procedure § 872.210)

Published on: August 8, 2022 | By Underwood Law Firm, P.C.

What is a Partition Action?

A partition action is a court-ordered process where a property owner forces a sale of jointly owned real estate. Essentially, a partition action exists to allow people who own real estate together to take their share of the equity and go their separate ways. But, as simple as this seems, partition actions can often become complex lawsuits. Disputes commonly arise as to what type of partition may be sought and the process for determining ownership interests.

For example, “Julie” bought a house with her boyfriend, “Shawn,” thinking that they would get married one day. Later, after they had bought the house, Julie realized that her boyfriend was not the right person for her. Because Julie wanted to move on in her life, she also wanted to sell the house she bought with her boyfriend. Her boyfriend, however, was mad at Julie for breaking up with him and so refused to agree to sell the house. Because they were not married, Julie could not go to a divorce lawyer, and because they both did not agree to sell, a realtor could not help Julie. Julie felt trapped. Julie then, however, found a partition lawyer and was able to get the house sold so she could move on with her life. A partition lawyer got the job done.

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What is the difference between a grant deed and a quitclaim deed? (Civil Code § 1113)

Published on: August 5, 2022 | By Underwood Law Firm, P.C.

Underwood-Blog-Images-1-1-300x300 The deed to a property is the most important document a property owner has. It describes the title and its associated rights while operating as the grant of the property itself. But not all deeds are created equal.

While grant deeds and quitclaim deeds are the most common tools for transferring title, they carry different warranties and convey fundamentally different property interests. These differences are immensely important, as they determine what rights a property owner actually has. The Underwood Law Firm, P.C. encounters both types of deeds with frequency and has the familiarity and skill to help titleholders understand their rights.

What is a deed?

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A Guide to Tenants-in-Common in California (Civ. Code § 682)

Published on: July 29, 2022 | By Underwood Law Firm, P.C.

underwood-guide-to-tenants-in-common-300x300 Co-owning property as tenants in common is the favored form of joint ownership in California. (Wilson v. S.L. Rey, Inc. (1993) 17 Cal.App.4th 234, 242 (S.L. Rey).) Yet, property held in tenancy in common brings with it a unique set of potential issues that are not present in the other forms of joint ownership recognized by the state. (see California Civil Code, § 682.)

Different ownership interest percentages between co-owners can affect one’s responsibilities for common expenses and levels of disbursement on a sale. A fiduciary relationship between joint owners can disrupt a co-owner’s ability to acquire an encumbrance. Payments for improvements to the property may not be recoverable in an accounting action if deemed “unnecessary.” These are just some of the issues we will attempt to address in this post about the financials of tenancies in common.

Developing Co-Owned Property

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Does RUPA apply to joint ventures? (Corp. Code § 16101)

Published on: July 27, 2022 | By Underwood Law Firm, P.C.

Underwood-Blog-Images-1-3-300x300 Yes. While joint ventures are a distinct type of business entity, they share many similarities with general partnerships in California. In fact, “the resemblance between a partnership and joint venture is so close that the rights as between adventurers are governed by practically the same rules that govern partners.” (Milton Kauffman, Inc. v. Superior Court (1949) 94 Cal.App.2d 8, 17.) That being said, there are some differences between the two. This post will address those differences and discuss the common issues that arise among them.

What is a joint venture?

Under California law, a joint venture “exists where there is an agreement between the parties under which they have a community of interest, that is, a joint interest, in a common business undertaking…” (County of Riverside v. Loma Linda Univ. (1981) 118 Cal.App.3d 300, 313.) In essence, “a joint venture is an undertaking by two or more persons to carry out a single business enterprise for profit.” (Unruh-Haxton v. Regents of University of California (2008) 162 Cal.App.4th 343, 370.)

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Can You Partition Partnership Property? (Corp. Code § 16202)

Published on: July 8, 2022 | By Underwood Law Firm, P.C.

Underwood-Blog-Images-1-1-300x300 Yes. 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.)

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Can a guarantor in the property sue for partition?

Published on: June 3, 2022 | By Underwood Law Firm, P.C.

An unbalanced scale on a desk Unless 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?

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Can You Contest The Title in a Partition Action? (CCP § 872.210)

Published on: November 13, 2021 | By Underwood Law Firm, P.C.

A chess board where the king fell down
In many ways, partition actions are relatively straightforward. Generally, in a partition action, the two property owners cannot agree on its use, and one of the owners asks the court to sell the property so each can go their separate ways.

The question arises of whether one of the two persons actually owns the property in the first instance. When there is a question of whether one of the parties is an owner, can you contest the title in a partition action? The answer is “yes,” as one of the primary purposes of a partition action is a determination of title.

Generally, at trial, the court must determine whether the plaintiff has the right to partition. (CCP § 872.210(a).) A question of ownership of property, as presented in a partition action, may be one of fact or law, depending on whether the determination of the issue involves a decision on conflicting facts or the application of the law to a stated set of facts. (Lieb v. Superior Court (1962) 199 Cal.App.2d 364.)

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So, You Bought a House with Your Boyfriend

Published on: October 19, 2021 | By Underwood Law Firm, P.C.

artwork illustration of a house with 2 persons splitting up with a broken heart.
As a millennial, we’ve faced financial challenges different from all those before us. We graduated college with more debt into the harsh job market of the Great Recession and then have had to compete during one of the hottest housing markets ever. So, many of us have had to do things differently.

We’re having children later, getting married later, and maybe buying real estate before getting married. What happens, then, when you buy a property with someone that you’ve decided is not going to be part of your long-term plans, and now you cannot agree on what to do with it?

You’ve fought, you’ve negotiated, and now you just want to move on.

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How Does a Partition Lawsuit Work? (CCP § 874.720)

Published on: October 15, 2021 | By Underwood Law Firm, P.C.

Business woman relaxing on her office desk with paperworks on.
This article provides insight into how the partition process works so that you can know what to expect and hopefully navigate the process more smoothly. The typical steps for a partition lawsuit are described below.

Sometimes, when you inherit real estate together with another family member, or you buy an investment with a partner, the relationship deteriorates, and the parties cannot agree on what to do with the property. When you reach that situation, then a partition lawsuit is something you should consider.

The Partition Lawsuit Steps

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