Alaska: If Co-Owners Disagree and a Court-Appointed Commissioner Handles a Private Sale of Your Share | Alaska Partition Actions | FastCounsel
AK Alaska

Alaska: If Co-Owners Disagree and a Court-Appointed Commissioner Handles a Private Sale of Your Share

When Co-Owners Disagree and a Court-Appointed Commissioner Handles a Private Sale of Your Share in Alaska

Detailed Answer

This answer explains the common court process in Alaska when co-owners cannot agree and a court-appointed commissioner is authorized to sell a co-owner’s interest privately. This is a general guide based on typical partition procedures and Alaska court practice. It is not legal advice.

How the process usually starts

When co-owners (joint tenants or tenants in common) cannot agree about keeping or selling real property, one co-owner may file a partition action in superior court asking the court to divide or sell the property. If the court decides physical division is impractical or inequitable, the court may order a sale and appoint a commissioner (sometimes called a referee or master) to manage that sale.

Appointment of a commissioner

The court picks a neutral commissioner to handle the sale. The order appointing the commissioner sets the commissioner’s powers and duties, including whether the commissioner may sell by private contract (private sale) rather than a public auction. The order often requires the commissioner to report sale offers and file a final report with the court for approval.

Private sale steps and required notices

  • Marketing and offers: The commissioner will market the property and solicit offers. They must act reasonably and in good faith to obtain fair value.
  • Notice to parties: Co-owners and other interested parties should receive notice of the proposed sale and copies of any contract or material sale terms. The court order will specify the required notice period and method.
  • Appraisal or valuation: The commissioner or the court may require an appraisal or multiple appraisals to document fair market value before accepting a private offer.
  • Report to the court: After reaching a proposed sale, the commissioner files a written report explaining the marketing efforts, offers received, the proposed sale price, and any recommended distribution of proceeds.

Court approval and confirmation

The court must review and approve the commissioner’s report and the sale terms. The court will typically confirm a private sale only if it finds the sale fair, the process adequate, and the price reasonably close to market value. The court may hold a hearing where co-owners can object.

What you can object to and remedies

If you disagree with the private sale you can:

  • Object in court to the commissioner’s report and the proposed sale on grounds such as inadequate notice, conflict of interest, insufficient marketing, or an unreasonably low price.
  • Ask the court to require a public auction instead of a private sale if the private sale appears unfair.
  • Ask for an independent appraisal or additional time for marketing.
  • File a motion to set aside or reject the sale if the court confirms it and you believe the process violated the court’s order or was fraudulent.

Closing and distribution of proceeds

Once the court approves the sale, the commissioner will complete closing steps. The sale proceeds are typically distributed according to each co-owner’s ownership share after paying costs: commissions, taxes, liens, unpaid mortgages, and the commissioner’s fees. The court issues an order directing payment and the transfer of title or deed to the buyer.

Typical timeline

Timing varies by case complexity and court calendar. Expect several weeks to months: time to market the property, receive offers, file the commissioner’s report, schedule a hearing, and obtain court approval. Delays occur if parties object, request appraisals, or seek discovery.

Practical outcomes

  • If the court approves the private sale, the buyer receives title and you receive your share of the net sale proceeds.
  • If the court rejects the private sale, the commissioner may be directed to pursue a different buyer or a public sale (auction).
  • Courts will not normally approve a private sale that benefits one party at the expense of others without a strong justification.

Alaska resources

Alaska courts and the Alaska Legislature publish rules and statutes that govern civil actions and court procedures. For general statutory materials and to search the Alaska statutes, see the Alaska Legislature statutes page: https://www.akleg.gov/basis/statutes.asp. For court forms and information about civil cases, see the Alaska Court System: https://public.courts.alaska.gov/.

Helpful Hints

  • Hire a lawyer experienced in property partition or real estate litigation in Alaska. A lawyer can file proper objections, request appraisals, and advocate at hearings.
  • Request an independent appraisal early so you know the property’s market value before a sale is proposed.
  • Document any communications and offers. Keep copies of notices, advertisements, listing agreements, and the commissioner’s reports.
  • Consider making a competing cash offer or arranging financing to buy out the other co-owners if you want to keep the property.
  • Attend the court hearing where the commissioner’s report is considered. Failing to appear can reduce your ability to protect your rights.
  • Ask the court to set clear marketing requirements for the commissioner (listed price, advertising length, minimum acceptable bids, open-house schedule).
  • If you suspect fraud, conflict of interest, or self-dealing by the commissioner, raise that to the court immediately and ask for an evidentiary hearing.
  • Expect costs: commissioner fees, court costs, attorney fees, and sale-related expenses reduce the net proceeds you receive.

Final notes and disclaimer

This article explains common steps and protections when a commissioner handles a private sale in a partition action in Alaska. This is educational information only and not legal advice. Laws and procedures can vary by county and by court. For advice about your specific situation and to protect your rights, consult a licensed Alaska attorney promptly.

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.