How a Kentucky co-owner can compel sale of jointly owned real estate
Short answer: If co‑owners won’t buy you out, you can file a partition action in Kentucky courts to force either a physical division (partition in kind) or a court‑ordered sale (partition by sale). Kentucky law governing partition actions is in the Kentucky Revised Statutes, Chapter 381.
Detailed Answer
What a partition action is and where to start
A partition action is a lawsuit brought by one or more owners of real property (typically tenants in common or joint tenants) asking the court to divide the property or order a sale and distribute the proceeds. Under Kentucky law, any person with an interest in land may seek partition. See KRS Chapter 381 for the statutory framework: KRS Chapter 381 (Partition).
When the court will order a sale instead of dividing the land
Court decisions generally prefer a partition in kind (physical division) when it is practicable and fair. But the court will order a sale when division is impractical, would cause great prejudice, or would significantly reduce the property’s value (for example, a single family house on one lot that cannot be fairly divided). If co‑owners can’t agree on a buyout, a sale is a common outcome.
Step‑by‑step: Forcing a sale in Kentucky
- Collect ownership and lien documents. Gather deeds, the current title report, mortgage and lien information, tax bills, and any agreements among owners.
- Try a last clear attempt at settlement. Send a written buyout demand with a deadline and a proposed valuation method (appraisal). Courts favor attempts at settlement and some disputes resolve here.
- File a complaint for partition in the county where the land lies. The complaint names all current owners and any lienholders. The complaint asks the court for partition in kind or, if that is impractical, a sale and distribution of proceeds.
- Serve all parties. Co‑owners, mortgagees, and lienholders must be properly served so the court can bind them by its orders.
- Request appointment of commissioners or a commissioner. The court commonly appoints one or more commissioners to attempt to divide the land or to manage a sale. The commissioner reports back to the court about the feasibility of partition in kind.
- If sale is ordered, secure terms for sale. The court or commissioner will set the manner of sale—public auction or private sale with court confirmation—and the timing. A court may require advertising or bidding procedures to protect fair market value.
- Pay liens, costs, and distribute proceeds. Sale proceeds normally satisfy mortgages, liens, costs of sale and legal fees, then distribute the remainder among co‑owners according to their ownership shares or as the court directs.
Who bears the costs and how are proceeds divided?
Typical order of priority at sale: payment of mortgage(s) and lien(s), payment of sale expenses (commissioner, advertising, auction costs), and court‑approved attorney’s fees or costs. Remaining proceeds are divided among owners according to their ownership interests. If one owner substantially causes unnecessary litigation, the court has discretion to apportion costs or award fees against that party.
Practical timing and what to expect
A straightforward partition action can still take months; contested cases take longer. Expect appraisal(s), hearings, possible discovery (document requests or depositions), and a commissioner’s report. If the property produces rent or is being occupied by a co‑owner, you can ask the court for an accounting or for rents to be collected and held pending sale.
Common complications and how to handle them
- Mortgages or liens: Mortgage lenders may have foreclosure rights. The sale must handle these liens or they stay with the property depending on the circumstances.
- Unequal contributions or improvements: If one owner paid more for improvements, the court can adjust distributions to reflect equitable contributions.
- Possession disputes: If an occupying co‑owner refuses access, the court can appoint a receiver or order rents paid to the court.
- Title defects: Clouds on title should be cleared during the action so sale proceeds and distribution are clean.
Alternatives to a forced sale
- Mediation or negotiation: An appraiser or mediator can help set a buyout price so one owner can purchase the others.
- Buyout with a court‑ordered price mechanism: Ask the court to set a valuation method (e.g., two appraisals average) that allows buyout within a time window before sale.
- Partition by physical division: If land can be fairly divided, request partition in kind under the statute.
Hypothetical example
Three siblings own a lake lot as tenants in common. One sibling wants to sell. The others refuse to buy her share. She files a partition action in the county where the lot is located, asks the court to appoint a commissioner, and requests a partition by sale because dividing the single lot would be impracticable. The court appoints a commissioner, the property is sold at public sale, liens and sale costs are satisfied, and the net proceeds get split according to ownership shares.
Key statute reference
Primary statutory authority: KRS Chapter 381 (Partition). See the chapter at: https://apps.legislature.ky.gov/law/statutes/chapter.aspx?id=381. Consult specific sections in the chapter for procedural details and commissioner rules.
Practical next step: If you decide to proceed, collect deeds, tax bills, mortgage statements, and any written agreements among owners. Consult a Kentucky attorney experienced in real property/partition litigation to review your facts and file the complaint properly in the correct county court.
Disclaimer: This article explains general principles of Kentucky law and is for educational purposes only. It is not legal advice and does not create an attorney‑client relationship. For advice about a specific situation, consult a licensed Kentucky attorney.
Helpful Hints
- Gather title documents and mortgage statements before filing. That saves time and avoids surprise liens at sale.
- Get a professional appraisal early to support a buyout demand or the court’s valuation process.
- Send a clear written buyout offer with a deadline. Courts view reasonable settlement efforts favorably.
- Consider mediation to avoid litigation costs and the delay of a court sale.
- If the property produces income (rent), ask the court for an accounting or for rent to be collected into the court registry.
- Talk to a real estate attorney before attempting to sell or advertise the property yourself — unilateral sales by one co‑owner can lead to liability.
- Expect the court to require notice to mortgage lenders and other lienholders; unresolved liens can reduce your share of proceeds.
- Keep records of payments, improvements, and contributions; the court may adjust distributions for unequal investment.