Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult an attorney for advice tailored to your situation.
Detailed Answer
When co-owners cannot agree on sale logistics or cost sharing for jointly owned real estate or other property in North Dakota, you have several options under North Dakota law.
1. Negotiation and Mediation
First, attempt to negotiate or mediate the dispute. You can hire a neutral mediator to help reach an agreement on sale timing, division of proceeds, and allocation of expenses.
2. Buyout Agreement
One co-owner may offer to buy out the other’s interest. Agree on an appraisal method to determine fair market value and payment terms. Put the agreement in writing to avoid future disputes.
3. Partition Action in Court
If negotiations fail, either co-owner can file a partition action under North Dakota Century Code Chapter 32-27. A court can:
- Order partition in kind, dividing the property physically if feasible;
- Order partition by sale if a physical division is impractical (NDCC § 32-27-01);
- Handle sale logistics and distribution of proceeds according to ownership share.
4. Allocation of Costs
Under NDCC § 32-27-06 (Allocation of Costs), the court may award compensation for improvements or require payment for necessary expenses incurred by any party.
Helpful Hints
- Document all communications and offers in writing.
- Obtain a professional property appraisal to establish fair value.
- Discuss escrow or trust arrangements to manage sale proceeds during litigation.
- Consider the tax implications of sale or buyout.
- Keep detailed records of expenses related to maintenance and improvements.