How long does a forced sale take to get through

John Bate. Related Articles. UK residents only. You are on the waitlist! Partition lawsuits forcing all owners in a property to sell that property are usually a last resort. Courts always prefer squabbling co-owners to cooperate in selling the property before considering forced partition. Tenancies in common and joint tenancies each come with advantages and disadvantages. Generally, owners in joint tenancies and tenancies in common can sell their interests in the properties they own with others.

However, an owner in a tenancy in common or a joint tenancy can't sell the ownership interests of the other owners holding title in the property. Also, you can't simply force the other owners in your property to sell it entirely without first filing a partition lawsuit. A business should use forced liquidation value when it is in financial trouble and has no choice but to sell its assets.

Even if a company plans to sell an item at auction , a business that is in good financial health can afford to spend time preparing it for sale instead of selling it as-is.

The business can also afford to wait for the right buyer to come along, at the right price. Another time that a business may need to use forced liquidation value is if it's in a hurry to sell items in order to make room for changes, upgrades, or new equipment. Businesses or individuals who need appraisals of forced liquidation value should find a professional appraiser who is familiar with the industry.

A professional appraiser uses many factors to calculate the value of a business's forced liquidation. First, they estimate the price of each asset if sold at auction after 60 to 90 days of advertising the sale. But there are also advantages to handling the partition yourself with appropriate legal forms, tools, and education. To learn more about legal tools that might replace an expensive lawyer, submit your question below.

Below are a few reasons you may NOT want to hire an attorney. And you may not realize that you are signing up this, because attorneys often charge on an hourly basis. Often, attorney fees can be paid from the proceeds when the property sells. However, this assumes that the property will indeed sell at some point.

If for any reason the sale does not occur, you may still be liable for the attorney fees incurred. By handling the partition action yourself, with appropriate guidance and legal tools, you can save significant attorney fees.

A forced sale or partition action can take months on average. In some states, the partition could technically be completed faster, but due to inevitable complications and roadblocks, you should not expect to be done any sooner than 6 months. When you hire an attorney, you give up control over the timeline of your partition. You cannot control how busy the attorney might be, or whether they have personal emergencies, which can extend the timeframe for completion.

Even after a partition lawsuit is filed, you should always be looking for a voluntary solution. When you handle the partition action yourself, you are very familiar with the details, rules, and financial factors at play. This allows you to negotiate with the other co-owners and make informed decisions about settlement. In other words, you cut out the middle man the attorney. This puts you closer to the action and allows you to communicate in real time with the court and the other co-owners about a voluntary sale, buyout, or other solution.

If you decide to handle the partition yourself, the main steps in a forced sale process are outlined for you below. In short, to force the sale of jointly owned property, you must first confirm title, then attempt a voluntary sale or buyout, file and serve a partition lawsuit, get an appraisal, sell the property, and finally divide the sale proceeds fairly.

The exact order and details of these steps may vary from state to state, or from judge to judge. However, the same general process will apply nearly universally. Make sure you understand current ownership. Clarify who owns what percentage of the property. If necessary, obtain a title report from a title company. If you end up filing a partition action, you will need copies of the deeds or instruments vesting title in the joint owners.

Basically, identify who paid money or suffered financial detriment for the property. Whoever bore the financial burdens of ownership might receive a greater share of proceeds from the sale. You want to know this in advance. Has one person been living at the property, leasing it, or enjoying it more than the other owners? This person might suffer a reduction in sale profits due to the disproportionate benefits received in the past.

In short, get a basic idea of the economic factors at play. If someone bore a disproportionate share of the property burdens , they typically receive a greater share of the profits.

If someone enjoyed a disproportionate share of the property benefits , they typically receive a lesser share of the profits. Even if you think litigation is inevitable, always try hard to accomplish a voluntary solution.

A voluntary sale on the open market brings more money than a forced sale at auction. A voluntary buyout also prevents the loss in value resulting from litigation. So, make every effort to resolve differences with the other co-owners. Regardless of whether you reach an agreement, you will look better in court if you can provide evidence that you tried hard to resolve the situation before filing a lawsuit.

If the other owners will not agree, you can put some pressure on them.