Colorado: Forcing a Co-Owned Property Sale When a Co-Owner Refuses Mediation

Short answer: In Colorado you can ask a court to partition the property and order a sale if a co-owner refuses to cooperate. The court will decide whether to divide the property physically or sell it and split the proceeds, and it can appoint commissioners, handle liens, and order eviction if needed. This article explains the typical steps, legal basis, likely outcomes, and practical tips.

What law governs forced sales in Colorado?

Colorado authorizes partition actions in the state statutes. See Colo. Rev. Stat. § 13-40-101 et seq. These provisions let a co-owner bring a civil action to partition real property owned by two or more persons and describe when the court will divide the land in kind or order a sale.

How the process usually works

1. Attempt informal resolution first. Courts expect parties to try negotiation or mediation, but a co-owner’s refusal to mediate does not prevent you from filing.
2. File a partition action in district court. You (the plaintiff) file a complaint asking the court to partition the property. The complaint identifies the property, each owner’s interest, mortgages and liens, and the relief sought (partition in kind or sale).
3. Service and response. The court serves the co-owner(s). The co-owner may respond, contest ownership percentages, or raise defenses (e.g., a written agreement limiting partition).
4. Court determines the proper remedy. The court evaluates whether the property can be fairly divided (partition in kind). If division would be impractical or inequitable—typical for a single family home—the court usually orders a sale and divides net proceeds according to ownership interests and lien priorities.
5. Appointment of commissioners or sale procedure. The court often appoints commissioners to value and either divide or sell the property. If the court orders sale, it sets terms and supervises the sale process (public auction or private sale by order of the court).
6. Distribution of proceeds. Net sale proceeds pay valid liens (mortgages, tax liens), costs of sale, and the court’s costs. Remaining funds divide among owners by their ownership shares unless the court orders otherwise.

Key factors the court will consider

• Whether the property can be physically divided without materially impairing its value.
• Each co-owner’s legal interest or share in the property.
• Existing liens, mortgages, or encumbrances that affect distribution.
• Any written agreement (e.g., a co-ownership or buy-sell agreement) that limits partition rights.
• Equitable factors: contributions to purchase or improvements, waste, or misconduct by an occupying co-owner.

Common practical outcomes

For a single-family home, courts commonly order sale instead of physical division because dividing a house is usually impractical. The court-supervised sale may take place via auction or court-approved private sale. After paying liens and costs, the court distributes net proceeds based on ownership shares.

What to expect on timing and cost

Expect several months to over a year, depending on complexity, contested issues, and court backlog. Costs include filing fees, attorney fees, appraisal and commissioner fees, sale costs, and possible eviction costs. Courts may award costs or attorney fees in limited circumstances, but each side usually bears its own attorney fees unless a statute or contract provides otherwise.

Practical steps to prepare

• Gather title documents and deeds showing ownership shares.
• Collect mortgage statements, tax bills, HOA documents, and lien records.
• Document any written co-ownership agreements, payments for improvements, or receipts of rent/expenses.
• Keep records of attempts to resolve the dispute (emails, mediation requests, demand letters).
• Get a current appraisal or market analysis to estimate value and likely sale proceeds.

Alternatives to court-ordered sale

• Offer to buy out the co-owner’s interest or ask them to buy yours.
• Sell the property cooperatively on the open market and split the proceeds.
• Negotiate a charging order or a formal lease arrangement if one co-owner will continue occupying the property.
• Propose limited scope mediation (e.g., only pricing/buyout terms) even if the co-owner previously refused mediation.

When a sale can involve eviction

If a co-owner refuses to vacate after the court orders a sale or after a buyer takes possession, the successful purchaser or a co-owner who receives possession may seek eviction through the court. The partition action can include requests that facilitate transfer of possession, but eviction still follows separate statutory procedures.

Relevant Colorado statute

See the Colorado partition statute at Colo. Rev. Stat. § 13-40-101 et seq. for the statutory framework and further sections on procedure and relief.

Helpful Hints

• Try a written buyout offer: a clear, time-limited cash offer can motivate a co-owner to accept rather than litigate.
• Preserve evidence of contributions and payments; those records can affect how proceeds divide or whether the court grants an offset.
• Be realistic about timing and cost: forced-sale litigation is often longer and costlier than an agreed sale.
• Ask the court for a sale free and clear of claims to simplify transfer to a third-party buyer.
• If the property has mortgages or tax liens, address them early—buyers and courts expect liens to be resolved from sale proceeds.
• Consider limited-purpose mediation: even if broad mediation failed, mediating just price or possession can avoid litigation costs.
• Talk to an attorney experienced in Colorado partition actions to understand the chances, costs, and local practices in your judicial district.