Partition Actions in Florida
What is a Partition?
A partition is a lawsuit between co-owners of real or personal property who have a disagreement on how to handle the property. A partition can be brought by one owner against all other owners. Typically, a partition action asks the Court to order the sale of property and divide the proceeds between all co-owners.
Are There Defenses to a Partition?
Upon request of a co-owner, the Court will almost always order property be partitioned by sale. The only absolute defense to a partition action is that the moving party is not an owner of the property or the moving party waived their right to partition by prior agreement.
How is the Partition Made?
The Court will first determine if the property can be physically divided. This is more common for vacant undeveloped land. The Court will almost always find it impractical to physically divide property with residential or commercial structures, and will instead order the sale of the property. The sale can occur by either judicial auction, private sale made by an appointed magistrate, or sale by agreement of the parties.
How are Sale Proceeds Divided in a Partition?
When a property is sold and proceeds are collected, the general rule is each party be dispersed the sale proceeds in proportion to their respective interests in the property. For example, if Joe and Jane each own an equal 50% interest in property, Joe and Jane are each individually entitled to 50% of the sale proceeds.
In certain cases, a party may be entitled to a share of the sales proceeds which exceeds their proportionate interest in the property. This may occur if a party finances substantial improvements to the property or contributes above their proportionate interest in expenses maintaining the property.
Who Pays for the Partition?
Under Fla. Stat. 64.081, every party is bound to pay a share of the costs, including attorney’s fees. Based on equitable principles, the Court will determine how much each party must contribute to the attorney’s fees and costs of the action, but the court may order that the costs and fees be paid out of the sale proceeds of the partitioned property.
Contact a Partition Attorney
If you need to file or defend against a partition action, its best to speak with a real estate attorney. Contact Attorney Caleb Maggio at Olsen Law Group today.