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Partition Actions: Weighing The Pros And Cons

Apr 10, 2024 | Partition Action

Are you thinking about a partition action but feeling unsure if it’s the right choice for you? Whether you are interested in selling your property interest or claiming your share, we will go over some of the pros and cons of a partition action here. Our goal is to help you make an informed decision that suits your needs and circumstances. We’ll cover topics like family relationships, expenses, legal proceedings, and the importance of having a qualified partition action attorney on your side. After reading this blog, our hope is that you gain a better understanding of all the issues, make an informed decision, and feel confident about your choice!

Legal Implications Of Partition Actions

When two or more people own real estate together, tenancy disputes can happen, which may ultimately necessitate filing a partition action to divide the property. With a partition action, co-owners can ask the court to either split the property in-kind or sell it and split the money from the sale among themselves. There are a number of legal factors that must be considered before filing any paperwork with the court.

A partition action results in the division of the property and the determination of ownership. In the case of a partition action, the court will look at various factors to arrive at the most equitable decision. The court begins with a review of the title documents, such as the deeds, surveys, and other similar papers. They will ask questions like: Who was the original owner? Was the property inherited as part of an estate will? What are each party’s responsibilities? How is the property divided up? The court may also review purchasing contracts or agreements that transpired between co-owners, as well as the contributions made over the course of the ownership agreement. Depending on the facts of the case, the court will then decide which direction to take with regards to the division of the property.

There are two main types of partition actions: partition in kind and partition by sale.

With a partition in kind, a co-owner can ask the court to divide the property physically into separate pieces. This is more likely to occur in situations where the property is easily divisible, such as a large parcel of land, or a building that can be divided into multiple units.

With a partition by sale, the property could be sold, and the proceeds would be split equally among the co-owners. This is a more likely outcome in situations where the property is not easily divided or the co-owners cannot agree on a division.

Depending on the specifics of the case, the court may choose to utilize either approach to determine whether the property should be sold in cases where there is no clear-cut way to divide the property or to choose a type of partition that allows for the property to be divided in an equitable manner.

Advantages Of Partition Actions

When it comes to resolving property disputes, partition actions can offer several advantages:

  1. One of the key advantages of a party initiating a partition action is the clear and efficient process it offers for resolving ownership disputes. Co-owners can get past ongoing disagreements by starting a partition action.
  1. Another reason is that partition actions give the landowners a “clean break.” Partition ensures that everyone receives their fair share, whether it is through dividing physical property or distributing the proceeds from its sale. Regardless of the circumstances, everyone’s ownership is terminated, effectively ending any future disputes over ownership.
  1. In situations where one or more co-owners are unwilling or unable to work out a compromise or find a different solution, a partition action can force an uncooperative co-owner to the negotiating table in order to divide the property or find another solution. When there is an imbalance of power or when the negotiation has otherwise reached a deadlock, this can be very important.

Disadvantages Of Partition Actions

A partition action can be a useful remedy to resolve a property dispute between co-tenants, but it also has several drawbacks that should be analyzed before going forward with a partition action.

  1. A partition sale does not guarantee the full market price of the property. You may be forced to sell your property under less than ideal market conditions, which will result in a lower sale price than what you might have been able to command otherwise, which of course means less money in your pocket.
  1. A partition action can take an emotional toll on the relationship between the co-owners, especially if your co-owner is a family member. Property disputes may become more tense due to the adversarial nature of a partition action. This can cause lasting animosity or harm to personal relationships.
  2. A partition by sale action could potentially have tax implications. If the property is sold, capital gains taxes may be due. Co-owners should consult a tax professional as to their individual tax responsibilities, as well as any possible tax exemptions or deductions that may be available.
  3. Partition actions are like any other legal action in that they will probably come with costs. Pursuing legal remedies through the courts can be costly. Frequently, the benefits outweigh the costs, resulting in a net gain that justifies the expense. The money spent then feels more like an investment. However, before pursuing a partition action, it is critical to understand the financial implications.

How An Experienced Partition Actions Attorney Can Help

If, at the end of the day, you make the decision to move forward with a partition action, your most immediate and, arguably, most important decision will be retaining an attorney to represent you. Partition action lawyers provide invaluable legal advice and representation to individuals who want to file for partition of real property. Here are some of the benefits you can expect from hiring a partition attorney:

  • They offer valuable legal advice on all matters related to the partition of real estate due to their extensive knowledge of the law, and years of experience handling such cases.  Although those who are going through it for the first time might not be familiar with partition law, partition lawyers have handled countless cases like yours and are more than qualified to help you through the process.
  • They help you navigate the complex legal process. These cases involve intricate property law issues and lengthy state statutes and regulations. A good partition attorney will help guide you through every step of the process, ensuring that all the necessary documents are filed in the right place, and that all deadlines are met.
  • They can effectively advocate for your best interests. They will make sure your rights are protected and will do their best to help you achieve a favorable outcome. This could involve reaching a settlement, presenting the case in court, or looking out for your interests during mediation or arbitration.

Contact The Law Offices Of Patel & Cardenas To Assist You With Your Property Law Needs

At the Law Offices of Patel & Cardenas, we have experience representing thousands of clients in property disputes and can help you if you are in the greater New Jersey or New York City area. We have over 30 years  of combined experience with real estate matters and can help you reach a fair settlement in your case. Call today for a free consultation, and allow us to help with your partition action! 

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