How Does a Partition Action Work to Resolve a Dispute Among Multiple Owners in Michigan? | Michigan Partition Actions | FastCounsel
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How Does a Partition Action Work to Resolve a Dispute Among Multiple Owners in Michigan?

Detailed Answer

When two or more parties own real estate together in Michigan and cannot agree on its use or disposition, they may file a partition action in circuit court. Under Michigan law, this process lets a judge force a fair division or sale of the property. The governing statutes begin at MCL 600.3301.

1. Filing the Complaint

A co-owner (plaintiff) files a complaint naming all other co-owners (defendants). The complaint must describe the property, ownership interests, and the relief sought: either a physical division (partition in kind) or a sale of the property for division of proceeds (MCL 600.3304).

2. Service and Response

The plaintiff must serve each co-owner with the summons and complaint. Defendants typically have 21 days to answer or contest the form of partition.

3. Feasibility Hearing

The court holds a hearing to determine if a partition in kind is practical. For irregular or small parcels, physical division may not be feasible. The court considers market value impacts, property layout, and co-owners’ interests.

4. Appointment of a Commissioner

If the court orders partition, it often appoints a disinterested commissioner or referee (MCL 600.3362). The commissioner inspects the property, drafts a plan for division or sale, and reports back to the court.

5. Partition in Kind vs. Partition by Sale

  • Partition in Kind: The property is physically divided into separate parcels, each allocated to co-owners according to their ownership shares. This preserves real estate assets.
  • Partition by Sale: If physical division is impractical or unfair, the property is sold at public auction or private sale. Net proceeds are divided among co-owners by their respective interests.

6. Final Report and Distribution

After completing the division or sale, the commissioner files a report. The court reviews and, if approved, issues a final order of partition. The court directs distribution of parcels or sale proceeds. Costs and fees are generally deducted before distribution (MCL 600.3330).

Timeline and Costs

A partition action often takes several months to over a year, depending on property complexity and court schedules. Each party bears their own attorney fees, although the court may allocate costs between co-owners.

Disclaimer: This article is for educational purposes only and does not constitute legal advice. Consult a qualified attorney to discuss your specific situation.

Helpful Hints

  • Consider mediation before filing to save time and costs.
  • Gather deeds, surveys, and title information early.
  • Visit the property with a surveyor to identify boundary lines.
  • Discuss possible buy-out options with co-owners.
  • Budget for court fees and commissioner expenses.
  • Keep detailed records of communications with co-owners.

The information on this site is for general informational purposes only, may be outdated, and is not legal advice; do not rely on it without consulting your own attorney.