Disclaimer: This article is for informational purposes only and does not constitute legal advice.
Detailed Answer
Filing a Partition Action
Under Oregon law, co-owners of real property can force its sale by filing a partition action in the circuit court. To start, any co-owner (plaintiff) files a complaint under ORS Chapter 105. The complaint must name all co-owners and describe the property with enough detail to allow a clerk to record the action in the county land records.
Division in Kind vs. Court-Ordered Sale
The court first evaluates whether it can divide the property “in kind,” meaning each owner receives a separate physical portion. If division in kind proves impractical, inequitable, or would materially reduce the value of parcels, the judge must order a sale under ORS 105.165.
Sale Procedure
After the court orders a sale, it appoints a referee or commissioner to oversee the process. The referee secures a professional appraisal, publishes a notice of sale in a newspaper of general circulation in the county, and conducts a public auction—often held at the courthouse. Buyers must meet any statutory minimum bids and pay according to court rules.
Distribution of Proceeds
Once the referee collects the sale proceeds, they pay off valid liens, mortgages, property taxes, and court costs. The remaining balance distributes among co-owners in proportion to their ownership shares. The referee files a final report with the court, and upon court approval, the clerk disburses funds to each party.
Helpful Hints
- Identify and list every co-owner before filing. Omitting an owner can delay or invalidate the action.
- Gather deeds, mortgage statements, tax records, and liens to ensure clear title and accurate distribution.
- Consider mediation to explore voluntary partition or buyout solutions before court. Mediation can save time and costs.
- Track notice publication deadlines carefully to avoid challenges to the sale.
- Consult a local attorney early to confirm filing requirements and procedural timelines under Oregon law.