Understanding the Steps in the Real Estate Partition Process in California

California is known for its booming real estate market. While some people are sole real estate owners, some real estate pieces have multiple owners. Unfortunately, when multiple individuals own real estate, complications can arise. Disputes can arise over the property’s management, use, and disposition. When real estate co-owners cannot agree on how to divide the property, the issue of partition may come up. Generally, a partition action is a legal proceeding that allows a co-owner of real estate to force the sale or division of the property among co-owners. While this may sound like a simple process, it is complex. Below is a look at the real estate partition process in California.

What Is a Partition Action?

Before going into the steps involved in the partition process, it is crucial to understand the meaning of partition action. A partition action is a legal process whereby a co-owner of real estate seeks to divide the property according to each owner’s interest. To establish a right to partition, the party must prove their ownership interest. According to California Code of Civil Procedure section 872.210, any co-owner of real estate, whether through inheritance, life estate, or term estate, can commence a partition action.

Steps Involved in the Real Estate Partition Process in California

The following are the steps involved in the real estate partition process in California;

1. Filing a Complaint

The first step in a California real estate partition action is filing a complaint with the court. As noted above, to have the right to file a partition complaint, the petitioner must be a co-owner of the subject property. Therefore, together with the request for partition, the filer should include evidence that they are a co-owner of the subject property.

2. Obtaining an Interlocutory Judgment

The next step after filing the complaint is obtaining an interlocutory judgment, which is a non-final judgment issued before the close of trial during litigation. This judgment is entered after the court finds that the plaintiff is entitled to a partition.

3. Appointing a Partition Referee

Next, the court appoints a partition referee, who is a neutral third party whose work is to help with matters related to the partition action. The appointment of a referee is within the court’s discretion, but the parties to the partition action can nominate someone to serve as a referee. The referee’s duties include making recommendations and preparing a report for the court.

4. Deciding How to Partition the Property

The court must then decide the best method for partitioning the property. Common methods include partition by sale, which involves selling the property and dividing the proceeds among co-owners; partition in kind, which involves physically dividing the property into separate parts according to each owner’s interest; and partition by an appraisal, which involves one owner buying out the other co-owner’s shares based on a fair market appraisal.

5. Final Judgment and Accounting

Finally, the court will order a final judgment of partition, and the real estate will be partitioned according to the proper method determined by the court. If the property is partitioned through a sale, there must be an accounting to distribute the proceeds among the co-owners in compliance with the requirements of the law.

Contact Us for Legal Help

If you need help asserting a partition action or are a defendant in a partition action, contact our skilled lawyers at SAC Attorneys LLP.