Dividing or Forcing the Sale of Co-Owned Farmland in Arkansas: FAQ and Step-by-Step Guide | Arkansas Partition Actions | FastCounsel
AR Arkansas

Dividing or Forcing the Sale of Co-Owned Farmland in Arkansas: FAQ and Step-by-Step Guide

Detailed Answer: How to divide or force the sale of co-owned farmland in Arkansas

Short answer: In Arkansas, co-owners who cannot agree on use or disposition of farmland can ask the circuit court for a partition action. The court will try to divide the land physically (partition in kind) when practical. If a fair physical division is impossible or would substantially reduce value, the court will order a sale and divide the proceeds according to each owner’s legal interest. Partition actions are filed in the county where the property is located; parties must name all co-owners and provide proof of ownership.

How partition works — step by step

  1. Identify ownership type and interests.

    Determine how title is held: tenants in common (each owner has a share that can be different and transferrable), joint tenants (rights of survivorship), or tenancy by the entirety (rare for farmland and limited to spouses). In Arkansas, tenants in common are the most common form leading to partition actions.

  2. Try to resolve the dispute outside court.

    Courts favor settlement. Options include negotiation, buyout (one owner purchases another’s share), mediation, or division by written agreement allocating fields, pastures, or improvements. Negotiated solutions save time and costs.

  3. Prepare and file a partition complaint in circuit court.

    If informal resolution fails, file a complaint for partition in the circuit court in the county where the farmland is located. The complaint should describe the land, list all co-owners and their last-known addresses, explain the ownership interests, and ask the court for partition in kind or, if that is impractical, for a sale.

    Service of process and procedural requirements follow Arkansas court rules and local rules. The clerk can provide filing requirements but an Arkansas attorney can prepare the pleadings and represent you.

  4. Court appointment of commissioners or referees; valuation and surveying.

    The court often appoints commissioners or a commissioner to inspect and report. The court may order a professional land survey and appraisal to determine acreage, boundaries, and fair market value. The report helps the court determine whether partition in kind is practicable without undue prejudice to any owner.

  5. Partition in kind or sale.

    — Partition in kind: If the land can be divided equitably according to owners’ interests without undue injury to its value (for example, fairly dividing separate fields or tracts), the court may physically divide the property and issue deeds to each owner for their part.

    — Partition by sale: If physical division is impractical (improvements cross boundaries, small parcels with intermingled improvements, or division would sharply reduce agricultural productivity), the court will order the property sold. Sales may be by public auction (often a sheriff sale) or supervised private sale under court order, with proceeds distributed after costs, liens, and taxes are paid.

  6. Distribution of proceeds and accounting.

    Proceeds from a sale are distributed to owners in proportion to their legal shares, subject to deductions for mortgage liens, taxes, court costs, and costs of partition (survey, appraisal, commissioners’ fees). If one co-owner advanced costs or paid off liens, the court’s accounting will reflect equitable adjustments.

  7. Post-judgment matters.

    After the court issues orders and deeds, update the county land records. If a co-owner refuses to vacate or cooperate, enforcement remedies may be necessary. Orders concerning minors, incompetents, or deceased co-owners may require guardianship or probate involvement before partition can be completed.

Key legal points under Arkansas law

  • Partition actions are civil actions filed in the circuit court for the county where the property is located.
  • Court procedure follows Arkansas civil rules and local circuit court rules. For forms and local practices, contact the county circuit clerk or consult a local attorney.
  • The court balances fairness and practicality: partition in kind is preferred if feasible; sale is ordered when division would be impractical or inequitable.
  • If mortgages or liens exist, they must be satisfied from sale proceeds or otherwise addressed before distributing net proceeds to owners.

Hypothetical example

Three siblings own 160 acres as tenants in common. Two siblings live far away and want to sell; one sibling runs the farm and wants to keep part of it. They try negotiating but fail. A complaint for partition is filed in the circuit court where the land sits. The court orders surveys and appraisals and appoints a commissioner. The survey shows the best division would split the farm into unequal, but fair, parcels tied to productivity. The court orders a partition in kind, grants deeds reflecting each owner’s percentage share, and requires one sibling to pay the others a cash equalization payment to account for differences in value. If division had been impossible without destroying the farm’s value, the court would have ordered sale and distributed proceeds proportionally after paying liens and costs.

Where to find Arkansas statutes and rules

Arkansas statutes and legislative resources are available from the Arkansas General Assembly website: https://www.arkleg.state.ar.us/. For court rules and local circuit court information, see the Arkansas Judiciary site: https://www.arcourts.gov/ and the Rules section at https://www.arcourts.gov/rules. Search those sites for “partition” or “partition of real property” to locate the controlling statutory provisions and procedures.

When a lawyer is helpful

  • If co-owners disagree on division or sale, hire a lawyer experienced in Arkansas real property and partition actions.
  • Get legal help when title is unclear, there are liens, or parties include minors, incapacitated people, or deceased owners whose estates affect title.
  • If bankruptcy filings, USDA loans, conservation easements, or environmental issues affect the farmland, an attorney can protect your rights and navigate overlapping procedures.

Disclaimer

This article is for general information only and is not legal advice. It does not create an attorney-client relationship. Laws change and facts matter. For advice about your specific situation, consult a licensed Arkansas attorney who handles property and partition matters.

Helpful Hints

  • Gather key documents before you start: deed(s), title insurance, mortgage statements, leases, tax bills, surveys, and a history of who paid taxes or improvements.
  • Check for recorded easements, liens, conservation or farm program encumbrances that affect use or sale.
  • Get an independent appraisal early to set realistic expectations about value and likelihood of partition in kind.
  • Consider mediation or a buyout offer before filing suit — courts prefer parties settle when possible.
  • If you want to keep farming, propose a buyout formula based on appraisal and current income rather than physical division that could hurt productivity.
  • Be aware court actions take time and cost money; filing a partition action can trigger legal fees and sale costs that reduce net proceeds.
  • Contact the county circuit clerk for local filing fees and procedure specifics before filing.
  • If a co-owner is in bankruptcy, federal bankruptcy rules and automatic stays may delay partition; consult an 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.