Understanding Your Legal Remedies After a Co-Owner Sells Property Without Your Agreement

Quick overview: If a co-owner of real property in New York transfers or purports to sell the property without your consent, you still have several legal remedies. Which remedy fits depends on how title is held (tenant in common, joint tenants, tenants by entirety), whether the transfer was fraudulent, and whether the buyer was a bona fide purchaser. The courts can cancel improper deeds, force a sale and split proceeds, or order other equitable relief.

Detailed answer — what you can do and how New York law applies

Below is a step-by-step explanation of common legal remedies in New York and when they apply. This is educational only and not legal advice.

1) Determine how title is held

If you and the other owner hold title as tenants in common, each owner generally may convey or encumber only their own undivided share. A co-owner cannot validly transfer your share without your signature. If title is held as joint tenants with right of survivorship, a unilateral sale by one co-tenant can have different legal effects (it may sever the joint tenancy as to that owner). Married couples holding as tenants by the entirety have additional protections under New York law.

2) Immediate procedural tool: notice of pendency (lis pendens)

If you plan to sue to protect your interest in the property, you (through your lawyer) can file a notice of pendency (lis pendens). This alerts the world that there is an action affecting title or possession of the property, and it can deter further transfers. See CPLR §6501 on notice of pendency: CPLR §6501 (Notice of Pendency).

3) Quiet title / action to cancel a deed

If a deed or conveyance was forged, procured by fraud, or otherwise invalid, you can bring an action to cancel the deed or quiet title. The court can declare the deed void and remove the improper conveyance from the chain of title. This is common where one owner forged the others signature or procured a deed by deceptive means.

4) Partition action (sale or partition in kind)

If co-owners cannot agree about what to do with jointly owned real property, any co-owner may file for partition under New Yorks Real Property Actions and Proceedings Law (RPAPL). The court can:

• Order a physical division of the property (partition in kind), if practical;
• Order sale of the property and divide proceeds among the co-owners according to their ownership interests.

Partition law is codified in RPAPL Article 9 (for example, RPAPL §901 authorizes partition in certain cases): RPAPL §901 (Partition). A partition action is often the practical remedy when co-owners cannot work together or a stranger now holds an interest.

5) Equitable remedies: injunction, rescission, constructive trust, accounting

Court equity can provide flexible remedies. Depending on the facts, a court can:

• Issue a temporary or permanent injunction to prevent further disposition of the property or proceeds;
• Set aside a conveyance obtained by fraud or duress;
• Impose a constructive trust on sale proceeds (if a co-owner sold the property and mingled proceeds); and
• Order an accounting of rents, profits, or sale proceeds and distribute them between owners.

6) When a buyer claims to be a bona fide purchaser (BFP)

If a purchaser bought in good faith, paid value, and had no notice of defects, the buyer may have rights that complicate setting aside the sale. That is why timing matters: prompt action (including filing a notice of pendency and bringing suit quickly) is important to protect your interests.

7) Criminal remedies and forged signatures

If the transfer involved forgery, fraud, or false notarization, you may have criminal remedies as well as civil ones. Report suspected forgery to the police; consult an attorney to coordinate civil and criminal responses.

8) Practical outcomes you can expect

• If the court finds the deed invalid (fraud, forgery), the deed may be canceled and title restored.
• If the property is sold by court order (partition sale), proceeds will be divided among owners according to ownership percentages, after payment of liens and costs.
• If the buyer is a BFP, the court may award money damages or a share of proceeds rather than undoing the entire transfer, depending on the circumstances.

Hypothetical example to illustrate

Imagine you and your neighbor own a house as tenants in common. Without telling you, your neighbor signs a deed transferring the whole house to a third party, and the deed is recorded. You discover the recorded deed. Practical next steps: (1) consult a real estate attorney; (2) ask counsel to run a title search and examine the deed; (3) if fraud or forgery is suspected, report it to the police; (4) have counsel file a notice of pendency and either (a) move to cancel the deed/quiet title if the conveyance is invalid, or (b) file a partition action if the third party asserts ownership and you prefer sale and division of proceeds.

How long will it take and what does it cost?

Time and cost vary widely. Partition and quiet title actions can take many months or over a year, especially if the other side fights. Court costs, attorney fees, appraisal fees, and, if sold, real estate commissions, will reduce net proceeds. Many cases resolve by negotiation or buyout rather than lengthy litigation.

Helpful Hints

• Act quickly. Promptly consult an attorney and consider filing a notice of pendency to protect your interest in the property. See CPLR §6501.
• Identify how title is held (tenants in common, joint tenants, tenants by entirety). This affects remedies.
• Gather all paperwork: deeds, mortgage documents, property tax bills, communications, and any documents showing ownership shares.
• Order a title search to confirm the chain of title and any recorded transfers or liens.
• If you have title insurance, contact the insurer right away. Title insurance can cover certain losses from defective title.
• If you suspect criminal conduct (forgery, fraud), report it to law enforcement and preserve evidence.
• Consider whether negotiation or mediation could produce a faster, less costly resolution (e.g., buyout or agreed sale).
• If you sue, expect the court to consider practicality: physical division (partition in kind) is preferred only when fair and practicable; otherwise the court usually orders a sale. See RPAPL §901.

Next step: Talk with a New York real property attorney as soon as possible. They can assess the deed, the chain of title, whether a buyer is a bona fide purchaser, and recommend the best action (quiet title, partition, injunction, or other relief).

Disclaimer: This article explains general legal concepts under New York law for educational purposes only. It is not legal advice and does not create an attorney-client relationship. Laws change and every situation is different; contact a licensed New York attorney for advice tailored to your situation.