California Code of Civil Procedure 873.850 is the California partition statute that allows the court to allocate the proceeds of sale through an accounting of offsets, inclusions, and other claims between the parties. The statute provides that:
The court shall order the proceeds of sale and any security therefor to be paid, transferred, deposited in court, placed in trust, or invested in State of California or United States government obligations or interest-bearing accounts in an institution whose accounts are insured by an agency of the federal government, to or for the benefit of the persons in interest entitled thereto, as may be appropriate or as specifically provided in this article.
California Code of Civil Procedure 873.810
As a practical matter, this likely means that the proceeds of sale are deposited either with the partition referee, the court, or an attorney trust account. In turn, the funds are disbursed only after an accounting since: “The proceeds of sale for any property sold shall” result in a “Distribution of the residue among the parties in proportion to their shares as determined by the court.”[1]California Code of Civil Procedure 873.820(d) Further, the court will allocate the proceeds of sale through an accounting of offsets, inclusions, and other claims between the parties.[2]California Code of Civil Procedure 873.850
Contact an Experienced Partition Attorney in California
If you want to end your co-ownership relationship, but your co-owner won’t agree, a partition action is your only option. Our knowledgeable partition lawyers have years of experience ending co-ownership disputes and can help you unlock the equity in your property. For a free, 15-minute consultation with an experienced partition attorney at Talkov Law, call (844) 4-TALKOV (825568), email us at info(at)talkovlaw.com, or fill out a contact form online. Contact Talkov Law today to find out how you can pay nothing today and have your legal fees paid from the proceeds of sale of your property!
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