Maryland Sale in Lieu of Partition Attorney
If you’re involved in a dispute regarding property that you own with someone else, a sale in lieu of partition attorney can help you determine the best course of action.
At Lusk Law, LLC, we help clients fix problems and resolve disputes with their best interests in mind. To learn more about the services we offer, contact our team today by calling (443) 535-9715 or filling out our online contact form.
What Does “Sale in Lieu of Partition” Mean?
To be specific, “partition” means a parting or division of something. “In lieu of” means “instead of” or “in place of.” So, “sale in lieu of partition” is the selling of a property instead of dividing it.
In other words, a sale in lieu of partition is an action that divides a property fairly between the owners by means of a sale. This happens when one owner of a property wants to sell and the other doesn’t or when there is a disagreement between the owners as to how much one will pay the other. Ideally, both parties would likely benefit from resolution through mediation, but an agreement is not always possible, and a sale in lieu of partition is the only viable option.
How a Maryland Sale in Lieu of Partition Works
Let’s says that a parent dies and leaves a plot of land to a son and daughter. The son wants to sell the property and the daughter does not. The son tells his sister that she can buy out his part of the property, but the daughter does not have the money the son is demanding. The two have reached an impasse, and the son files a sale in lieu of partition to force the sale of the property.
If the court orders a sale of the property, the property’s value is assessed by three to five court-appointed commissioners. These commissioners are paid by the property owners from the proceeds of the sale. The court can also appoint a trustee to handle the sale instead of commissioners.
Whether the court appoints commissioners or trustees determines how the property will be sold. Sales through commissioners are typically conducted via judicial auctions, while sales through trustees are handled via an open market sale. Judicial auctions tend to result in smaller proceeds than open market sales. Both means of sale have their own set of expenses to be factored in.
Attempting an Agreement Before Resorting to Sale in Lieu of Partition
A sale in lieu of partition means incurring costs that will be paid by both owners. It also represents a disagreement that both parties might carry into a personal relationship. In other words, it should be done only when an agreement is an impossibility.
If you’ve reached the point that you’re considering a sale in lieu of partition, it means that you likely disagree with the co-owner of your property or business or are simply unable to meet their demands.
To resolve a dispute, you might first consider mediation with the co-owner of the property before taking an action for sale in lieu of partition.
Working through a mediator is more cost-effective than processing a sale in lieu of partition. In some cases, mediation can lead to a resolution that doesn’t require a sale. However, if both parties do agree to a sale in mediation, the property can be sold on the open market, which will result in greater proceeds than a sale through judicial auction.
If you hope to preserve a relationship with the co-owner of the property, mediation might also be preferable to sale in lieu of partition. Legal actions are often contentious affairs, while mediation represents an agreement between two parties.
In some cases, an agreement is simply an impossibility and a sale in lieu of partition becomes a necessity. Regardless of how your dispute resolves, the real estate attorneys at Lusk Law, LLC, can help.
Contact the Maryland Sale in Lieu of Partition Attorneys at Lusk Law, LLC
We help clients with a wide range of legal needs, including mediation and representation in property-related disputes in Maryland. We can serve as mediators, represent you in negotiations with the co-owner of your property or represent your interests in a sale in lieu of partition. Our team can also evaluate your case and counsel you on the best way to proceed with your property.
Whether you’re involved in a dispute with a co-business-owner or a co-owner of a personal property, we encourage you to contact Lusk Law, LLC, to speak to our firm. Give us a call at (443) 535-9715 or fill out our online contact form to get started.
Our Legal Services
How to Review a Commercial Lease Agreement
It is good to know how to review a commercial lease agreement because it serves as a foundation of your relationship with your tenant. Given the economy, a prospective…
A Comprehensive FAQ on How to Hire a 1099 Contractor
If you have a short-term need for extra staffing, you may need to engage a contractor, but before you do, it’s important to understand how to hire a 1099…