When Co-Owners Disagree: How Alabama Law Handles Forced Sales of Family Property
Not legal advice. This article explains general Alabama law and how courts commonly handle disputes over jointly owned property. Consult a licensed Alabama attorney to get advice for your exact situation.
Detailed Answer
If some family members want to sell a piece of real estate but others refuse, Alabama law gives a powerful remedy: a partition action. A partition action lets one or more co-owners ask a court to divide jointly owned land or to order its sale if division is not practical.
Who can file? Any person who holds a legal interest in the property as a co-owner (typically a tenant in common) may file a partition action. The court treats each owner according to their legal ownership share.
Where the law is found: Alabama’s partition laws appear in the Code of Alabama governing partition actions (see Ala. Code, Title 6, Chapter 6). For statutory text and specific provisions, see the Code of Alabama: partition provisions. Code of Alabama, Title 6, Chapter 6 (Partition).
Typical outcomes in a partition case
- Partition in kind (division): The court can physically divide the land so each owner receives a separate portion. The court prefers division when the property can be fairly split without undue harm to value or use.
- Partition by sale: If dividing the property fairly is impractical, would destroy unequal value, or leave parcels unusable, the court can order the property sold and distribute the sale proceeds among owners according to their ownership shares.
Factors the court considers
Judges examine whether a fair division is possible. They consider:
- Size, shape, and physical characteristics of the land
- Improvements like houses, septic systems, or utility access
- Whether dividing would reduce the total value
- Existing liens or mortgages attached to the property
Procedure highlights
While procedures vary by court, a typical partition action follows these steps:
- File a partition complaint naming all owners and any lienholders.
- Serve the complaint so those parties can respond.
- The court may order an appraisal and sometimes appoint a commissioner or referee to propose a division or sale plan.
- If the court orders sale, it supervises the sale process and then distributes net proceeds among owners according to their shares, after paying liens, taxes, and sale costs.
Special ownership situations
- Tenancy in common: Most non-spousal co-ownerships are tenants in common; any tenant in common can seek partition.
- Joint tenancy or title with survivorship: If the title includes a right of survivorship, the ownership interest may change on death. Survivorship does not necessarily block a partition while both owners are alive.
- Tenancy by the entirety (married couples): Alabama protects spouses holding property as tenants by the entirety; a third party co-owner cannot force a sale of property held solely by an intact married couple in that form. If the dispute is between spouses, partition usually arises only after divorce or by agreement.
Practical consequences and costs
A partition action can resolve a deadlock, but it has costs. Court fees, appraisals, advertisements, commissioner and attorney fees, and the risk that a forced sale yields a lower market price may reduce proceeds. The court may also adjust distributions to account for contributions (mortgage payments, taxes, improvements) one co-owner made for the property.
Alternatives to court
Before or during litigation, parties often consider less adversarial options:
- One owner buys out the others based on an agreed or appraised value.
- Sell the property by agreement and split the proceeds.
- Mediation to reach a mutually acceptable plan (timing, price, or buyout terms).
- Refinancing to remove an owner from the mortgage after a buyout.
Liens, mortgages, and occupants
Existing mortgages and liens travel with the land. A partition sale usually pays those debts from sale proceeds. If a co-owner occupies the property and refuses to leave, the successful partition plaintiff may still need to follow eviction procedures if a physical division is impractical and a sale does not immediately remove occupancy issues.
Summary
In Alabama, a co-owner who wants out can normally force a sale by filing a partition action. The court chooses the remedy—division or sale—based on what preserves fairness and value. Because partition cases involve procedural rules, liens, valuation issues, and sometimes family tensions, getting legal help early usually improves outcomes.
Helpful Hints
- Gather title documents (deed), mortgage statements, tax bills, and any written agreements about ownership shares.
- Get at least one independent appraisal to understand fair market value before suing.
- Consider mediation or arbitration to avoid the expense and unpredictability of a court-ordered sale.
- If you want to keep the property, calculate a realistic buyout offer and be ready to document your ability to refinance or pay cash.
- Talk with an Alabama real estate attorney about how liens, mortgages, and potential attorney’s fees will affect your share.
- Check whether title shows tenancy by entirety (spouses) or joint tenancy; those forms of title can change your options.
- Expect the court to require notice to all owners and lienholders—if you miss someone, the case can be delayed or reopened.
- Remember tax consequences: sale proceeds and debt payoffs may have income tax or capital gains implications—consult a tax professional.