What Is A Partition Lawsuit?
A Partition is a lawsuit filed by a co-tenant to divide his or her interests in property from the whole property.
There are 2 kinds of partitions: (1) Partition in Kind; and (2) Partition by Sale.
In a Partition in Kind, courts will attempt to physically divide the property up depending on the respective ownership interests of the co-tenants.
In a Partition by Sale, the property is either sold in a private sale or in a public auction sale conducted by a court-appointed commissioner. In a public auction sale, the property generally goes to the highest bidder and the cash proceeds are distributed among the co-tenants according to their respective ownership interests in the property. A judge has the power to reject a winning bid that is below market value.
Any owner of a property may file a Partition Lawsuit at any time.
In many cases, it is better for all owners if they can agree to sell the property in a private sale at the fair market value, instead of having the property sold in a public auction sale where the property may not be sold at fair market value.
If a property owner files a Partition Lawsuit or threatens to file a Partition Lawsuit, it is important for the other co-owners to hire a Hawaii Partition Lawyer to protect their property rights and to defend them in the Partition Lawsuit.