Related Issues Archives

Can One Co-Owner Take Out a Loan on a Jointly Owned Property?

Co-ownership disagreements can easily boil over when multiple parties own real property, especially when one party has taken out loans without the consent of their co-owner(s). The remaining co-owners want to be sure that their equity in the property is still available to them even if their co-owner has encumbrances on the property, including mortgages, … Read More

Mortgage Assumptions in Partition Actions

An assumable mortgage is one where the buyer assumes the existing mortgage of the seller. When the mortgage is assumed, the seller is often no longer responsible for the debt. As it relates to co-ownership, the buying co-owner would thus assume the full liability for the mortgage, thereby relieving the selling co-owner. One reason buyers … Read More

Probate Code 9823 – Partition Actions (Personal Representatives)

California Probate Code § 9823 is the California partition statute that addresses the relation between partition actions and probate matters. The statute provides that: (a) If the decedent leaves an undivided interest in any property, an action for partition of the property may be brought against the personal representative. (b) The personal representative may bring … Read More

Co-Owners' Right to Encumber Property in a Partition Action

Co-Owners’ Right to Encumber Property in California

Right to Encumber a Jointly Owned Property in California In a partition action, co-owners have already demonstrated that they disagree on what to do with a property. Tensions may rise when one co-owner voluntarily places an encumbrance on the property, such as a mortgage, or an involuntary encumbrance, such as a child support lien or … Read More

Bankruptcy Co-Ownership Offset Disputes - Applying Partition Laws in a Section 363(h) Sale of Co-Owned Property - In re Flynn (B.A.P. 9th Cir. 2003)

Bankruptcy Co-Ownership Offset Disputes – Applying Partition Laws in a Section 363(h) Sale of Co-Owned Property – In re Flynn, 297 B.R. 599 (B.A.P. 9th Cir. 2003)

When a co-owner files for bankruptcy in a partition, the bankruptcy trustee or debtor-in-possession may seek to sell the co-owned property under Section 363(h) of the Bankruptcy Code (11 U.S.C. Section 363(h)). However, the Bankruptcy Court is empowered to apply California law on co-ownership offsets to ensure that the proceeds are equitably divided. These bankruptcies … Read More

Anti-Heart Balm Statute in California Partition Actions

What is the anti-heart balm statute in California? California’s anti-heart balm statute is a state law that prevents someone from suing their former romantic partner over a broken promise (or promises) that was to be met on the condition of marriage or during the course of the marriage. These statutes arose due to the common … Read More

Code of Civil Procedure 872.530 CCP – Personal Representatives; Joinder; Affidavits (Partition Actions)

California Code of Civil Procedure 872.530 is the California partition statute that outlines how to file a partition action against a co-owner who is deceased or believed to be deceased. The statute further describes what should be done if a deceased party’s personal representative is known or unknown as follows: (a) If a person described in Section … Read More

Forcing the Sale of Inherited House in California

Forcing the Sale of an Inherited House in California

Can I Force the Sale of Inherited Property? Understanding exactly what to do after a close family member passes away is one of the most difficult things someone can go through. Before asking whether both owners have to sign to sell a house, a whirlwind of confusion and sadness makes decision making near impossible, especially … Read More

Terminating Sanctions for Document Fabrication in Federal Court

Federal courts have repeatedly found that terminating sanctions are appropriate when a party commits the cardinal sin of litigation since “fabricating evidence has been referred to as the most egregious misconduct which justifies a finding of fraud upon the Court.” Kenno v. Colorado’s Governor’s Off. of Info. Tech., 2021 WL 2682619, at *19 (D. Colo. June … Read More

11 USC 522(o) – Homestead Exemption Limitations in Bankruptcy

In bankruptcy, creditors can allege that debtors should lose the part of their homestead exemption that is allegedly “attributable to” an “intent to hinder, delay, or defraud a creditor” under 11 U.S.C. § 522(o). This is particularly important given the recent increase in California’s homestead exemption effective January 1, 2021, which is now as high … Read More