Jennie and John had been best friends since they were kids. So, when they both inherited a little bit of money from their grandparents, they decided to pool their resources and buy a piece of property together.
They found the perfect spot – a piece of forest land near their homes – and bought it together. They built a little cabin on the property and spent all their free time there, exploring the woods and fishing in the stream.
But after a couple of years, things changed. Jennie got married and had a baby, and she wanted to sell the property so she could have more money for her family. John, on the other hand, wanted to keep the property and hold onto it for investment purposes.
So, what happens now?
In the absence of a consensual settlement or a written agreement governing the relationship, the only recourse for solving the problem is to the courts. In such cases, the Partition of Property Act becomes applicable.
What Does it Mean to Partition Property?
If you own property in British Columbia with someone else and want to add or remove their name from the title, you will need to go through the process of partitioning the property or seeking a sale of the land. Partitioning is a legal process that involves dividing up the property so that each owner has their own separate share.
Partition can be voluntary, as when owners agree to divide the property equally, or it can occur through court action.
Voluntary Partitioning
Voluntary partition involves the drafting of a written agreement in which the ownership of the property is transferred to one of the co-owners. This agreement must be signed by all parties involved, and it is generally recommended that each co-owner obtain their own independent legal representation.
Once the agreement is signed, the transfer of ownership can be registered with the local land title office. Voluntary partition can be an effective way for co-owners to resolve differences and move on with their lives.
Court Ordered Partition
Court-ordered partition is a process by which a court divides property among co-owners. This can occur when property is inherited and multiple people have an ownership interest, or when property is held in joint tenancy or tenancy in common and the owners can no longer agree on how to use the property.
The court will consider various factors in determining how to divide the property, including the contributions of each party, the value of the property, and the needs of each party.
The court will also take into account any previous agreements between the parties. In some cases, the court may order that the property be sold and the proceeds divided between the parties. In other cases, it may order that one party retain ownership of the property and compensate the other party for their interest in it.
The process can be complicated and can take some time, so it is important to work with a lawyer to make sure everything is done correctly.
Key Takeaways
If you’re thinking about partitioning and/or selling your co-owned property, there are a few things you should keep in mind.
First, you will ideally agree with the other co-owners with respect to how the sale proceeds of the property will be divided between the owners. Second, you will want to have any subsequent agreement prepared and carried out by lawyers. In the absence of agreement with the other co-owners, you will have to resort to the court process set out by the Partition of Property Act.
Having an experienced real estate lawyer working with you can help you navigate this complicated process. Our knowledge of real estate planning and litigation means that we are well positioned to provide you with timely advice and help you reach a solution by way of negotiation or through the courts.
Get in touch with Solimano Law today.
Disclaimer – The information contained herein is of a general nature. It is not intended to be legal advice and it is not intended to address the exact circumstances of any particular individual or entity. No one should rely on or act upon such information without receiving appropriate professional advice and without a thorough examination of their particular situation. Please contact our office if you have any questions with respect to the content of this entry, this website, or our Terms and Conditions .