How a Texas court handles appointment of a commissioner and private sales in partition cases
Detailed answer
Short answer: Yes — Texas courts can appoint a commissioner to manage a partition sale and can approve a private sale under limited circumstances, but the court will closely supervise the process to protect the interests of all co-owners. The court will review the proposed sale procedure, the commissioner’s qualifications and any relationships between the buyer and parties. A private sale that benefits one co-owner or a buyer connected to a party will draw extra scrutiny and must be shown to be fair, reasonable and likely to produce more value than a public sale.
Statutory framework
Partition actions in Texas are governed by the Texas Property Code and by the court’s equitable powers. Chapter 23 of the Texas Property Code provides the statutory structure for partition and sale procedures. For general civil procedure guidance, courts also rely on the Texas Rules of Civil Procedure and case law interpreting those statutes. See Texas Property Code, Ch. 23: https://statutes.capitol.texas.gov/Docs/PR/htm/PR.23.htm and the Texas Rules of Civil Procedure: https://www.txcourts.gov/rules-forms/rules-standards/texas-rules-of-civil-procedure/.
What a commissioner may do
A commissioner appointed by the court commonly performs the following duties in a partition-by-sale:
- Market or advertise the property (if a public sale).
- Accept and hold offers or bids.
- Conduct the sale (public auction or private sale if court allows).
- Prepare and file an accounting and deed to the purchaser, subject to court approval.
Private sale vs. public sale — what courts expect
Courts prefer public sales because they maximize transparency and competitive bidding. A court will consider a private sale only if the parties provide a compelling reason why a private sale is likely to produce a better result. Typical factors the court will weigh include:
- Evidence that the private sale price is fair — e.g., independent appraisals or multiple written offers.
- Whether all owners consent to the private sale or whether the sale is opposed by co-owners.
- Any relationship between the buyer and a party or the commissioner (potential conflict of interest or self-dealing).
- Procedural safeguards to protect non-selling co-owners (disclosure, court hearings, bond, independent appraisal, escrow).
When a party or the commissioner is connected to the buyer
If the buyer is a co-owner, a related party, or if the commissioner has a connection to the buyer, the court will usually demand strong proof that the sale is fair and not the product of collusion. The court may require:
- Independent appraisals supporting the sale price.
- Full disclosure of relationships and communications between parties, the commissioner, and the buyer.
- An accounting and an opportunity for the objecting co-owners to be heard before the sale is approved.
- Conditions such as an escrowed deposit, performance guaranty, or a bond to protect the estate.
Consequences of inadequate procedure
A sale that lacks notice, is the product of collusion, or is grossly inadequate in price may be set aside by the court. If non-selling co-owners can prove fraud, lack of notice, or an unfair procedure, they may obtain rescission or an order requiring a new sale.
How to ask the court to appoint a commissioner for a private sale
- File a motion or petition for partition by sale, and request appointment of a commissioner.
- Attach the proposed purchase contract or letter of intent and any appraisals or market evidence supporting the private sale price.
- Disclose any relationships between the buyer, the parties, or the proposed commissioner.
- Propose specific safeguards: independent appraisal, public notice to co-owners, escrow instructions, deposit amounts, and a timeline.
- Request a hearing so the court can evaluate fairness and hear objections from other owners.
- If the court appoints a commissioner, request an order that defines the commissioner’s duties and requires a post-sale accounting and court approval of the deed.
Practical considerations
Because courts judge private sales under a microscope, parties usually do best by:
- Securing at least one independent appraisal.
- Documenting market outreach or competing offers.
- Providing transparent disclosures to the court and co-owners.
- Using neutral professionals (an independent commissioner or a title company escrow agent) to hold funds and transmit the deed only after court approval.
Helpful hints
- Hire a Texas attorney early. Partition cases involve procedural traps and equitable issues that affect property rights and sale validity.
- Obtain at least one independent appraisal and provide it to the court with your sale motion.
- Disclose all relevant relationships. Concealing a connection between buyer and seller invites a court to set aside the sale.
- Ask the court to require a bond or escrow to secure purchaser performance if the buyer is related to a party.
- Consider a short public marketing period before finalizing a private sale to show that the private offer is better than market alternatives.
- Request a written order limiting the commissioner’s authority and requiring an accounting and court approval before transfer.
- Keep full records: correspondence, marketing, offers, appraisals, escrow instructions and receipts.
- If you are a non-selling co-owner, object promptly and ask the court for an evidentiary hearing if you suspect unfairness.
Where to look in the law
Begin with Texas Property Code, Chapter 23 (Partition). Read relevant civil procedure rules and local court practices for how your county handles commissioner appointments and sale approvals. See: Texas Property Code, Chapter 23 and the Texas Rules of Civil Procedure: https://www.txcourts.gov/rules-forms/rules-standards/texas-rules-of-civil-procedure/.