How a co-owner can force a sale of real property in South Dakota
Short answer: Yes — when co-owners of real property disagree about selling, a co-owner can usually ask a South Dakota court to force a sale through a partition action. The court will try to divide the land physically if that is practical. If physical division is impractical or unfair, the court can order the property sold and the proceeds divided among the owners after paying liens and costs.
Detailed answer — what a partition action is and how it works in South Dakota
Hypothetical facts to illustrate: three adult siblings own a cabin as tenants in common. Two siblings want to sell and split proceeds. The third sibling refuses to sell. Under South Dakota law, any co-owner (owner of an undivided interest) can file a court action to partition the property. The court decides whether to physically divide the property (partition in kind) or to order a sale and divide the money (partition by sale).
Legal basis and where to look
Partition actions and rules are part of South Dakota civil law. You can review the South Dakota Codified Laws through the legislature’s website for the statutes that govern civil actions and property remedies: South Dakota Codified Laws. (A lawyer will point you to the specific sections and any controlling case law for your county.)
When the court will divide the land (partition in kind)
- The court prefers to divide land physically when it can be done without unfairness to any co-owner.
- Physical division works best when the property is acreage or can be split into separate lots without destroying overall value.
- If dividing the parcel would be impractical, materially reduce value, or be prejudicial to owners, the court will usually order a sale instead.
When the court will order a sale (partition by sale)
- If the property cannot be fairly divided, the court may appoint a commissioner or other officer to sell the property at public auction or private sale under court supervision.
- The sale proceeds are used to pay mortgages, liens, taxes, and the sale costs; the net proceeds are distributed to owners in proportion to their ownership shares.
- The court can also account for unequal contributions and award money adjustments between owners (sometimes called an owelty or money judgment) to achieve fairness where one owner has contributed more to improvements or paid more mortgages.
Typical steps in a South Dakota partition case
- File a complaint for partition in the circuit court of the county where the property lies.
- Serve all co-owners and any lienholders. The complaint should describe each owner’s claimed interest and ask the court to order partition or sale.
- The court holds a hearing. If the court orders partition in kind, it will direct how to divide the property. If partition in kind is impracticable, the court orders a sale and appoints a person to handle it.
- The appointed officer (commissioner or referee) appraises and sells the property under court rules. After sale, the officer files a report and the court distributes proceeds per the court’s order.
Practical consequences and costs
- Partition suits can take months to resolve and generate attorney fees, court costs, appraisal fees, and sale commissions. These costs usually come out of sale proceeds.
- Co-owners who want to avoid a public sale can offer to buy out the dissenting owner’s share at a fair market price.
- Liens (mortgages, judgments, tax liens) are satisfied from sale proceeds before co-owners receive distribution.
Common defenses and complications
- Ownership agreements: A written agreement (co-ownership agreement, deed restrictions, or a will/trust) may limit a co-owner’s right to partition. The court enforces valid agreements.
- Heirs’ or “family” property issues: When property was inherited or title is unclear, additional title work and possibly quiet-title actions may be needed before partition proceeds smoothly.
- Creditors and mortgages: Lenders may have rights that affect sale procedure and net distribution.
Alternatives to court-ordered sale
- Negotiate a buyout: One or more co-owners buy the interest of the dissenting owner for cash or structured payments.
- Agree to co-ownership terms: Rental, management, and expense-sharing agreements can postpone or avoid sale.
- Mediation: A neutral mediator can help the parties reach a settlement without litigation.
When to consult a South Dakota attorney
Talk to a South Dakota real property attorney if you are considering a partition action or if a co-owner threatens one. An attorney will:
- Review title, deeds, liens, and any written agreements.
- Explain your likely share, costs, and timeline for a partition suit in your county.
- File the complaint and represent you at hearings or negotiate buyouts or settlement terms.
Even if you plan to negotiate, an attorney can prepare an offer or respond to a petition on your behalf and protect your financial interest.
Helpful hints
- Confirm your ownership type. Many co-ownerships default to tenancy in common; understand your percent share.
- Gather documents: deed, mortgage statements, tax bills, improvements records, and any written agreements about the property.
- Get an independent appraisal early. A credible appraisal helps with buyout offers and court valuations.
- Discuss a buyout first. A negotiated buyout often saves time, money, and family relationships compared with a court sale.
- Remember liens come first. Mortgages and secured creditors are paid from sale proceeds before owners share the remainder.
- Consider mediation. Courts often encourage parties to try alternative dispute resolution before extended litigation.
- Ask about timelines and costs. Partition suits can be expensive; confirm fee estimates and how costs will be handled.
Disclaimer: This article explains general principles of South Dakota property law and common practices for partition actions. It is educational only and is not legal advice. For advice about your specific situation, consult a licensed South Dakota attorney.