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MULTIPLE OWNERS, ONE PIECE OF PROPERTY,
AND NOBODY IS GETTING ALONG. WHAT HAPPENS NOW?
It's a good idea at the time: You and your
siblings always got along, and your parents left the old homestead to
all of you. Or maybe it's that you and your friends or
neighbors thought buying that vacation home together seemed like a
good idea at the time. Or perhaps it was that available
investment property or piece of land, and you and your brother
thought you could make a profit. No matter what the situation,
sometimes these situations lead to big problems, often impacting
longstanding, close relationships.
Take the case of the Tarvezian brothers who
brought their concerns to the Middlesex Probate Court, where George Tarvezian sought a Petition to Partition to
divide property. The property, a residential building in
Watertown owned by both brothers, was not able to be divided between
the two of them, and therefore the property had to be sold.
Four times the Tarvezians prosecuted this
long-running dispute, until finally the court ordered the property to
be sold. The property was sold, but there were numerous issues
about the collected rents and the various monies spent by each party
for expenses, reimbursement of property taxes, attorney's fees, and
commissioner's fees. All of these issues had to be resolved as
part of the Petition to Partition. While the property was
eventually sold as it could not be divided among the owners,
according to the court judgment, it was not without significant sums
being incurred to do so. The commissioners, who are appointed
to sell the property if the parties cannot reach an agreement, are
entitled to their reasonable fees. In this case, the Tarvezians incurred approximately $50,000 in
commissioners' fees alone. They were faced with various
obstacles that were presented by both brothers throughout the
extended time that this case proceeded through the Probate
Court. Not all Petitions to Partition are as complex or
involved as the Tarvezians. However,
it is clear that multiple ownership of property should be
contemplated and undertaken with a great deal of caution and care,
for the present time, and for any future disputes. Anyone
contemplating the purchase of a property with other individuals or
entities, including good friends, relatives, or a business partner,
needs to insure that his/her/their rights are clearly identified in
case the relationship and the partnership does not work out. To
avoid future problems, consult an attorney prior to signing on the
dotted line.
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