Disclaimer: This article is for informational purposes only and does not constitute legal advice.
Detailed Answer
In Idaho, co-owners of estate real property—whether tenants in common or joint tenants—share equal rights to possess and use the land. When one co-owner pays for improvements (for example, installing a new roof or upgrading plumbing), Idaho law allows that co-owner to seek reimbursement from the other co-owners through an equitable accounting or a partition action.
1. Equitable Accounting Under Idaho Code § 6-203
Idaho Code § 6-203 requires a co-owner who collects rents, profits, or occupies property to account to the other co-owners. Courts extend this principle to improvements: if one co-owner enhances the property’s value, they can ask the court to credit the cost or fair market value of those improvements when calculating each party’s share.
Key steps:
- Demand an accounting in writing, specifying the cost and nature of the improvements.
- If the other co-owners refuse, file a petition in district court for an accounting and credit under Idaho Code § 6-203.
- Provide proof of payment—receipts, contracts, invoices—and evidence of increased property value.
2. Partition Action With Credit for Improvements
Under Idaho Code Chapter 2 of Title 6 (Partition of Real Property), any co-owner can ask the court to partition property. If physical division is impractical, the court orders a sale. In that proceeding, the court may:
- Order an accounting of rents, profits, and contributions.
- Allow one co-owner credit for reasonable expenditures on repairs or improvements that enhance market value.
Relevant statute: Idaho Code Chapter 2, Title 6.
3. Equitable Lien for Improvements
If co-owners refuse to reimburse voluntarily, the contributing co-owner can assert an equitable lien on the property. The lien secures repayment of the improvement costs. To establish an equitable lien, you must show:
- A direct benefit conferred on the property.
- An agreement—express or implied—for reimbursement.
- A resulting inequity if the lien is not recognized.
Court approval of an equitable lien typically occurs within a partition or lien enforcement action in district court.
Helpful Hints
- Keep detailed records of all payments, contracts, and communications about the improvements.
- Obtain independent appraisals to document increased property value.
- Send a written demand for reimbursement before filing any court action.
- Consider mediation to resolve disputes cost-effectively.
- Act promptly—Idaho’s statute of limitations for breach of contract or unjust enrichment claims is five years (see I.C. § 5-219).
- Consult a licensed Idaho attorney to guide you through filing procedures in district court.