Detailed Answer

Short answer: In Colorado, parties can often ask the court to enter a consent order (also called a stipulated order or agreed order) that implements their agreement to distribute sale proceeds without a contested hearing. However, the court has the ultimate authority to approve or reject that request, and certain situations require a hearing, statutory notice, or court supervision before money can be distributed. You cannot unilaterally “skip” required judicial steps that protect third parties or statutory rights simply by agreement.

What a consent order is and how it works

A consent order is a written document that records an agreement between the parties and asks the judge to enter that agreement as a court order. When a judge signs a consent order, the agreement becomes enforceable like any other court order. In many civil cases — for example, contract disputes, partition actions, or property claims between litigants — parties use consent orders to resolve issues and direct the clerk to distribute funds held by the court or an escrow agent.

When the court is likely to accept a consent order to distribute sale proceeds

Both sides (and their attorneys, if represented) have signed the proposed consent order or stipulated judgment.
The proposed distribution is consistent with an underlying judgment, settlement agreement, or lien priorities that are not disputed by other entitled parties.
No statutory process or mandatory hearing is required by law for the particular asset or sale (for example, the parties are not dealing with minor-child funds, ward/guardianship assets, or certain probate or bankruptcy proceedings that demand additional court oversight).
All people or entities with a legal interest in the sale proceeds have been identified and either joined the stipulation or have had adequate notice and opportunity to object.

When a hearing or additional steps are required

The court will not sign a consent order in certain circumstances, including:

There are unpaid creditors or lienholders who have not been served or who object to the distribution.
Statute or court rule requires a hearing or confirmation (examples include many probate and minor-settlement matters, certain foreclosure confirmations, and guardianship/conservatorship distributions).
The settlement affects non-parties (such as class members) who must receive notice or court approval.
The judge suspects fraud, duress, coercion, or that the settlement is unconscionable.

Practical steps to use a consent order to distribute sale proceeds in Colorado

Confirm the right legal procedure. Identify whether the sale proceeds are governed by civil case rules, probate rules, foreclosure statutes, bankruptcy, or another specific statutory scheme.
Draft a clear proposed consent order. Attach the settlement agreement, proposed distribution schedule, and any lien releases or payoff statements showing how funds will be applied.
Check notice requirements. If third parties, creditors, or lienholders may have claims, provide the required statutory or court-ordered notices before asking the court to sign the order.
File the proposed consent order with the court and request entry without a hearing (many courts allow this by submission). Explain in a short cover letter why no hearing is necessary and confirm that all parties consent.
Be prepared for the court to ask for a short hearing or supplemental documentation. The judge may require verification that the accountings, payoffs, and notices are accurate.
After entry, follow any conditions in the order (for example, waiting periods or escrow agent instructions) before distributing funds.

Common Colorado contexts and special rules

Different contexts have different formal requirements. Examples include:

Probate and guardianship/conservatorship: Courts routinely require accountings and often hold hearings or require notice before approving distributions of estate or ward assets. Expect stricter oversight.
Foreclosure and sheriff’s sales: Statutory redemption periods and lien-priority issues can affect distribution timing and may require court confirmation or clerk procedures before funds are cleared.
Minor or incompetent-person settlements: Settlements that benefit minors or incapacitated persons usually require a court hearing and explicit approval to ensure the arrangement is in the minor’s best interests.
Cases involving third-party claims: If creditors or other claimants exist, courts will require notice and may hold a hearing to resolve competing claims before approving distribution.

Where to check Colorado rules and procedures

Colorado courts operate under their local civil procedure rules and statewide court rules. For general court rules and guidance, start here:

Colorado Judicial Branch – Rules and forms: https://www.courts.state.co.us/Courts/Supreme_Court/Rules/
Colorado Courts – Self-help resources and local court forms: https://www.courts.state.co.us/Self_Help/Index.cfm
Colorado General Assembly – statutes search (for specific statutory requirements in foreclosure, probate, etc.): https://leg.colorado.gov/statutes

Helpful Hints

Do not assume a consent order will be signed without court review—judges must protect statutory rights and third parties.
Identify all lienholders and creditors early and obtain payoff letters so the court can see who must be paid from sale proceeds.
For probate, guardianship, or minor settlements, plan for a likely hearing and bring accountings and receipts to court.
Use clear language in the proposed consent order: who receives money, exact amounts, timing, and who will prepare any releases or satisfactions of liens.
If you need speed, talk with the judge’s clerk or calendar manager about procedures for submitting stipulated orders without a hearing; some districts allow short ex parte submissions when all parties consent.
If a third party objects or a statute mandates a hearing, be prepared to present evidence and justify the proposed distribution.
Keep records and proof of service/notice in case someone later claims they were not informed of the proposed distribution.
When in doubt, consult a Colorado attorney who can review the facts, draft the consent order, handle notices, and communicate with the court on your behalf.

Disclaimer

This article explains general Colorado practice but is not legal advice. It does not create an attorney–client relationship. For guidance specific to your situation, consult a licensed Colorado attorney.