California 2021-2022 Regular Session

California Assembly Bill AB2245 Compare Versions

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1-Assembly Bill No. 2245 CHAPTER 82 An act to amend Sections 872.020, 874.311, 874.312, 874.313, 874.314, 874.316, 874.319, 874.320, 874.321, and 374.321.5 of, to amend the heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of, and to repeal Section 874.322 of, the Code of Civil Procedure, relating to property. [ Approved by Governor July 01, 2022. Filed with Secretary of State July 01, 2022. ] LEGISLATIVE COUNSEL'S DIGESTAB 2245, Ramos. Partition of real property.Existing law authorizes an owner of an estate in real property to commence and maintain an action for partition of the property against all persons having or claiming interests in the estate as to which partition is sought. If the court finds that the plaintiff is entitled to partition, it is required to make an interlocutory judgment that determines the interests of all owners of the property and orders that the property be divided among those parties in accordance with their interests or sold with the proceeds divided among them, as specified.Under the Uniform Partition of Heirs Property Act, specified procedures apply in an action to partition real property that is heirs property, defined as property for which there is no agreement regarding partition in a record that binds the cotenants of the property, one or more of the cotenants acquired title from a relative, and meets one of specified thresholds regarding cotenants who are relatives or who acquired title from a relative.This bill would enact the Partition of Real Property Act, which would expand the scope of the Uniform Partition of Heirs Property Act to apply to any real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property. The bill would make other conforming changes.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 872.020 of the Code of Civil Procedure is amended to read:872.020. This title governs actions for partition of real property and, except to the extent not applicable, actions for partition of personal property.SEC. 2. The heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of the Code of Civil Procedure is amended to read: CHAPTER 10. Partition of Real Property ActSEC. 3. Section 874.311 of the Code of Civil Procedure is amended to read:874.311. (a) This act shall be known, and may be cited, as the Partition of Real Property Act.(b) This act applies to real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property.(c) This act applies to actions for partition of real property filed on or after January 1, 2023.SEC. 4. Section 874.312 of the Code of Civil Procedure is amended to read:874.312. For purposes of this chapter, the following definitions apply:(a) Determination of value means a court order determining the fair market value of the property under Section 874.316 or 874.320 or adopting the valuation of the property agreed to by all cotenants.(b) Partition by sale means a court-ordered sale of the entire property, whether by auction, sealed bids, or open-market sale conducted under Section 874.320.(c) Partition in kind means the division of property into physically distinct and separately titled parcels.(d) Record means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.SEC. 5. Section 874.313 of the Code of Civil Procedure is amended to read:874.313. (a) In an action to partition real property, the property shall be partitioned under this chapter unless all of the cotenants otherwise agree in a record.(b) This chapter supplements the other provisions of this title and, if an action is governed by this chapter, this chapter shall control over any provisions of this title that are inconsistent with this chapter.SEC. 6. Section 874.314 of the Code of Civil Procedure is amended to read:874.314. (a) This act does not limit or affect the method by which service of a complaint in a partition action may be made.(b) If the plaintiff in a partition action seeks an order of notice by publication, the plaintiff, not later than 10 days after the courts determination, shall post and maintain while the action is pending a conspicuous sign on the property that is the subject of the action. The sign shall state that the action has commenced and identify the name and address of the court and the common designation by which the property is known. The court may require the plaintiff to publish on the sign the name of the plaintiff and the known defendants.SEC. 7. Section 874.316 of the Code of Civil Procedure is amended to read:874.316. (a) Except as otherwise provided in subdivisions (b) and (c), the court shall determine the fair market value of the property by ordering an appraisal pursuant to subdivision (d).(b) If all cotenants have agreed to the value of the property or to another method of valuation, the court shall adopt that value or the value produced by the agreed method of valuation.(c) If the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court, after an evidentiary hearing, shall determine the fair market value of the property and send notice to the parties of the value.(d) If the court orders an appraisal, the court shall appoint a disinterested real estate appraiser licensed in the State of California to determine the fair market value of the property assuming sole ownership of the fee simple estate. On completion of the appraisal, the appraiser shall file a sworn or verified appraisal with the court.(e) If an appraisal is conducted pursuant to subdivision (d), not later than 10 days after the appraisal is filed, the court shall send notice to each party with a known address, stating all of the following:(1) The appraised fair market value of the property.(2) That the appraisal is available at the court clerks office.(3) That a party may file with the court an objection to the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection.(f) If an appraisal is filed with the court pursuant to subdivision (d), the court shall conduct a hearing to determine the fair market value of the property not sooner than 30 days after a copy of the notice of the appraisal is sent to each party under subdivision (e), whether or not an objection to the appraisal is filed under paragraph (3) of subdivision (e). In addition to the court-ordered appraisal, the court may consider any other evidence of value offered by a party.(g) After a hearing under subdivision (f), but before considering the merits of the partition action, the court shall determine the fair market value of the property and send notice to the parties of the value.SEC. 8. Section 874.319 of the Code of Civil Procedure is amended to read:874.319. (a) In determining whether partition in kind would result in great prejudice to the cotenants as a group, the court shall consider the following:(1) Whether the property practicably can be divided among the cotenants.(2) Whether partition in kind would apportion the property in such a way that the aggregate fair market value of the parcels resulting from the division would be materially less than the value of the property if it were sold as a whole, taking into account the condition under which a court-ordered sale likely would occur.(3) Evidence of the collective duration of ownership or possession of the property by a cotenant and one or more predecessors in title or predecessors in possession to the cotenant who are or were relatives of the cotenant or each other.(4) A cotenants sentimental attachment to the property, including any attachment arising because the property has ancestral or other unique or special value to the cotenant.(5) The lawful use being made of the property by a cotenant and the degree to which the cotenant would be harmed if the cotenant could not continue the same use of the property.(6) The degree to which the cotenants have contributed their pro rata share of the property taxes, insurance, and other expenses associated with maintaining ownership of the property or have contributed to the physical improvement, maintenance, or upkeep of the property.(7) Any other relevant factor.(b) The court shall not consider any one factor in subdivision (a) to be dispositive without weighing the totality of all relevant factors and circumstances.SEC. 9. Section 874.320 of the Code of Civil Procedure is amended to read:874.320. (a) If the court orders a sale of property, the sale shall be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group.(b) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in the State of California to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in the State of California to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court.(c) If the broker appointed under subdivision (b) obtains within a reasonable time an offer to purchase the property for at least the determination of value, the following requirements apply:(1) The broker shall comply with the reporting requirements in Section 874.321.(2) The sale shall be completed in accordance with state law.(d) If the broker appointed under subdivision (b) does not obtain an offer to purchase the property for at least the determination of value within a reasonable time, the court, after a hearing, may do any of the following:(1) Approve the highest outstanding offer, if any.(2) Redetermine the value of the property and order that the property continue to be offered for an additional time.(3) Order that the property be sold by sealed bids or at an auction.(e) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction shall be conducted under Chapter 6 (commencing with Section 873.510).(f) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchasers share of the proceeds.SEC. 10. Section 874.321 of the Code of Civil Procedure is amended to read:874.321. (a) A broker appointed to offer property for open-market sale shall file a report with the court not later than seven days after receiving an offer to purchase the property for at least the value determined under Section 874.316 or 874.320.(b) The report required by subdivision (a) shall contain the following information:(1) A description of the property to be sold to each buyer.(2) The name of each buyer.(3) The proposed purchase price.(4) The terms and conditions of the proposed sale, including the terms of any owner financing.(5) The amounts to be paid to lienholders.(6) A statement of contractual or other arrangements or conditions of the brokers commission.(7) Other material facts relevant to the sale.SEC. 11. Section 874.321.5 of the Code of Civil Procedure is amended to read:874.321.5. In an action for partition of property, the court may apportion the costs of partition, including an appraisal fee, pursuant to Section 874.040, except that the court shall not apportion the costs of partition to any party that opposes the partition unless doing so is equitable and consistent with the purposes of this chapter.SEC. 12. Section 874.322 of the Code of Civil Procedure is repealed.
1+Enrolled June 17, 2022 Passed IN Senate June 16, 2022 Passed IN Assembly May 09, 2022 Amended IN Assembly March 24, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 2245Introduced by Assembly Member RamosFebruary 16, 2022 An act to amend Sections 872.020, 874.311, 874.312, 874.313, 874.314, 874.316, 874.319, 874.320, 874.321, and 374.321.5 of, to amend the heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of, and to repeal Section 874.322 of, the Code of Civil Procedure, relating to property. LEGISLATIVE COUNSEL'S DIGESTAB 2245, Ramos. Partition of real property.Existing law authorizes an owner of an estate in real property to commence and maintain an action for partition of the property against all persons having or claiming interests in the estate as to which partition is sought. If the court finds that the plaintiff is entitled to partition, it is required to make an interlocutory judgment that determines the interests of all owners of the property and orders that the property be divided among those parties in accordance with their interests or sold with the proceeds divided among them, as specified.Under the Uniform Partition of Heirs Property Act, specified procedures apply in an action to partition real property that is heirs property, defined as property for which there is no agreement regarding partition in a record that binds the cotenants of the property, one or more of the cotenants acquired title from a relative, and meets one of specified thresholds regarding cotenants who are relatives or who acquired title from a relative.This bill would enact the Partition of Real Property Act, which would expand the scope of the Uniform Partition of Heirs Property Act to apply to any real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property. The bill would make other conforming changes.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 872.020 of the Code of Civil Procedure is amended to read:872.020. This title governs actions for partition of real property and, except to the extent not applicable, actions for partition of personal property.SEC. 2. The heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of the Code of Civil Procedure is amended to read: CHAPTER 10. Partition of Real Property ActSEC. 3. Section 874.311 of the Code of Civil Procedure is amended to read:874.311. (a) This act shall be known, and may be cited, as the Partition of Real Property Act.(b) This act applies to real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property.(c) This act applies to actions for partition of real property filed on or after January 1, 2023.SEC. 4. Section 874.312 of the Code of Civil Procedure is amended to read:874.312. For purposes of this chapter, the following definitions apply:(a) Determination of value means a court order determining the fair market value of the property under Section 874.316 or 874.320 or adopting the valuation of the property agreed to by all cotenants.(b) Partition by sale means a court-ordered sale of the entire property, whether by auction, sealed bids, or open-market sale conducted under Section 874.320.(c) Partition in kind means the division of property into physically distinct and separately titled parcels.(d) Record means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.SEC. 5. Section 874.313 of the Code of Civil Procedure is amended to read:874.313. (a) In an action to partition real property, the property shall be partitioned under this chapter unless all of the cotenants otherwise agree in a record.(b) This chapter supplements the other provisions of this title and, if an action is governed by this chapter, this chapter shall control over any provisions of this title that are inconsistent with this chapter.SEC. 6. Section 874.314 of the Code of Civil Procedure is amended to read:874.314. (a) This act does not limit or affect the method by which service of a complaint in a partition action may be made.(b) If the plaintiff in a partition action seeks an order of notice by publication, the plaintiff, not later than 10 days after the courts determination, shall post and maintain while the action is pending a conspicuous sign on the property that is the subject of the action. The sign shall state that the action has commenced and identify the name and address of the court and the common designation by which the property is known. The court may require the plaintiff to publish on the sign the name of the plaintiff and the known defendants.SEC. 7. Section 874.316 of the Code of Civil Procedure is amended to read:874.316. (a) Except as otherwise provided in subdivisions (b) and (c), the court shall determine the fair market value of the property by ordering an appraisal pursuant to subdivision (d).(b) If all cotenants have agreed to the value of the property or to another method of valuation, the court shall adopt that value or the value produced by the agreed method of valuation.(c) If the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court, after an evidentiary hearing, shall determine the fair market value of the property and send notice to the parties of the value.(d) If the court orders an appraisal, the court shall appoint a disinterested real estate appraiser licensed in the State of California to determine the fair market value of the property assuming sole ownership of the fee simple estate. On completion of the appraisal, the appraiser shall file a sworn or verified appraisal with the court.(e) If an appraisal is conducted pursuant to subdivision (d), not later than 10 days after the appraisal is filed, the court shall send notice to each party with a known address, stating all of the following:(1) The appraised fair market value of the property.(2) That the appraisal is available at the court clerks office.(3) That a party may file with the court an objection to the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection.(f) If an appraisal is filed with the court pursuant to subdivision (d), the court shall conduct a hearing to determine the fair market value of the property not sooner than 30 days after a copy of the notice of the appraisal is sent to each party under subdivision (e), whether or not an objection to the appraisal is filed under paragraph (3) of subdivision (e). In addition to the court-ordered appraisal, the court may consider any other evidence of value offered by a party.(g) After a hearing under subdivision (f), but before considering the merits of the partition action, the court shall determine the fair market value of the property and send notice to the parties of the value.SEC. 8. Section 874.319 of the Code of Civil Procedure is amended to read:874.319. (a) In determining whether partition in kind would result in great prejudice to the cotenants as a group, the court shall consider the following:(1) Whether the property practicably can be divided among the cotenants.(2) Whether partition in kind would apportion the property in such a way that the aggregate fair market value of the parcels resulting from the division would be materially less than the value of the property if it were sold as a whole, taking into account the condition under which a court-ordered sale likely would occur.(3) Evidence of the collective duration of ownership or possession of the property by a cotenant and one or more predecessors in title or predecessors in possession to the cotenant who are or were relatives of the cotenant or each other.(4) A cotenants sentimental attachment to the property, including any attachment arising because the property has ancestral or other unique or special value to the cotenant.(5) The lawful use being made of the property by a cotenant and the degree to which the cotenant would be harmed if the cotenant could not continue the same use of the property.(6) The degree to which the cotenants have contributed their pro rata share of the property taxes, insurance, and other expenses associated with maintaining ownership of the property or have contributed to the physical improvement, maintenance, or upkeep of the property.(7) Any other relevant factor.(b) The court shall not consider any one factor in subdivision (a) to be dispositive without weighing the totality of all relevant factors and circumstances.SEC. 9. Section 874.320 of the Code of Civil Procedure is amended to read:874.320. (a) If the court orders a sale of property, the sale shall be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group.(b) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in the State of California to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in the State of California to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court.(c) If the broker appointed under subdivision (b) obtains within a reasonable time an offer to purchase the property for at least the determination of value, the following requirements apply:(1) The broker shall comply with the reporting requirements in Section 874.321.(2) The sale shall be completed in accordance with state law.(d) If the broker appointed under subdivision (b) does not obtain an offer to purchase the property for at least the determination of value within a reasonable time, the court, after a hearing, may do any of the following:(1) Approve the highest outstanding offer, if any.(2) Redetermine the value of the property and order that the property continue to be offered for an additional time.(3) Order that the property be sold by sealed bids or at an auction.(e) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction shall be conducted under Chapter 6 (commencing with Section 873.510).(f) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchasers share of the proceeds.SEC. 10. Section 874.321 of the Code of Civil Procedure is amended to read:874.321. (a) A broker appointed to offer property for open-market sale shall file a report with the court not later than seven days after receiving an offer to purchase the property for at least the value determined under Section 874.316 or 874.320.(b) The report required by subdivision (a) shall contain the following information:(1) A description of the property to be sold to each buyer.(2) The name of each buyer.(3) The proposed purchase price.(4) The terms and conditions of the proposed sale, including the terms of any owner financing.(5) The amounts to be paid to lienholders.(6) A statement of contractual or other arrangements or conditions of the brokers commission.(7) Other material facts relevant to the sale.SEC. 11. Section 874.321.5 of the Code of Civil Procedure is amended to read:874.321.5. In an action for partition of property, the court may apportion the costs of partition, including an appraisal fee, pursuant to Section 874.040, except that the court shall not apportion the costs of partition to any party that opposes the partition unless doing so is equitable and consistent with the purposes of this chapter.SEC. 12. Section 874.322 of the Code of Civil Procedure is repealed.
22
3- Assembly Bill No. 2245 CHAPTER 82 An act to amend Sections 872.020, 874.311, 874.312, 874.313, 874.314, 874.316, 874.319, 874.320, 874.321, and 374.321.5 of, to amend the heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of, and to repeal Section 874.322 of, the Code of Civil Procedure, relating to property. [ Approved by Governor July 01, 2022. Filed with Secretary of State July 01, 2022. ] LEGISLATIVE COUNSEL'S DIGESTAB 2245, Ramos. Partition of real property.Existing law authorizes an owner of an estate in real property to commence and maintain an action for partition of the property against all persons having or claiming interests in the estate as to which partition is sought. If the court finds that the plaintiff is entitled to partition, it is required to make an interlocutory judgment that determines the interests of all owners of the property and orders that the property be divided among those parties in accordance with their interests or sold with the proceeds divided among them, as specified.Under the Uniform Partition of Heirs Property Act, specified procedures apply in an action to partition real property that is heirs property, defined as property for which there is no agreement regarding partition in a record that binds the cotenants of the property, one or more of the cotenants acquired title from a relative, and meets one of specified thresholds regarding cotenants who are relatives or who acquired title from a relative.This bill would enact the Partition of Real Property Act, which would expand the scope of the Uniform Partition of Heirs Property Act to apply to any real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property. The bill would make other conforming changes.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
3+ Enrolled June 17, 2022 Passed IN Senate June 16, 2022 Passed IN Assembly May 09, 2022 Amended IN Assembly March 24, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 2245Introduced by Assembly Member RamosFebruary 16, 2022 An act to amend Sections 872.020, 874.311, 874.312, 874.313, 874.314, 874.316, 874.319, 874.320, 874.321, and 374.321.5 of, to amend the heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of, and to repeal Section 874.322 of, the Code of Civil Procedure, relating to property. LEGISLATIVE COUNSEL'S DIGESTAB 2245, Ramos. Partition of real property.Existing law authorizes an owner of an estate in real property to commence and maintain an action for partition of the property against all persons having or claiming interests in the estate as to which partition is sought. If the court finds that the plaintiff is entitled to partition, it is required to make an interlocutory judgment that determines the interests of all owners of the property and orders that the property be divided among those parties in accordance with their interests or sold with the proceeds divided among them, as specified.Under the Uniform Partition of Heirs Property Act, specified procedures apply in an action to partition real property that is heirs property, defined as property for which there is no agreement regarding partition in a record that binds the cotenants of the property, one or more of the cotenants acquired title from a relative, and meets one of specified thresholds regarding cotenants who are relatives or who acquired title from a relative.This bill would enact the Partition of Real Property Act, which would expand the scope of the Uniform Partition of Heirs Property Act to apply to any real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property. The bill would make other conforming changes.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
44
5- Assembly Bill No. 2245 CHAPTER 82
5+ Enrolled June 17, 2022 Passed IN Senate June 16, 2022 Passed IN Assembly May 09, 2022 Amended IN Assembly March 24, 2022
66
7- Assembly Bill No. 2245
7+Enrolled June 17, 2022
8+Passed IN Senate June 16, 2022
9+Passed IN Assembly May 09, 2022
10+Amended IN Assembly March 24, 2022
811
9- CHAPTER 82
12+ CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION
13+
14+ Assembly Bill
15+
16+No. 2245
17+
18+Introduced by Assembly Member RamosFebruary 16, 2022
19+
20+Introduced by Assembly Member Ramos
21+February 16, 2022
1022
1123 An act to amend Sections 872.020, 874.311, 874.312, 874.313, 874.314, 874.316, 874.319, 874.320, 874.321, and 374.321.5 of, to amend the heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of, and to repeal Section 874.322 of, the Code of Civil Procedure, relating to property.
12-
13- [ Approved by Governor July 01, 2022. Filed with Secretary of State July 01, 2022. ]
1424
1525 LEGISLATIVE COUNSEL'S DIGEST
1626
1727 ## LEGISLATIVE COUNSEL'S DIGEST
1828
1929 AB 2245, Ramos. Partition of real property.
2030
2131 Existing law authorizes an owner of an estate in real property to commence and maintain an action for partition of the property against all persons having or claiming interests in the estate as to which partition is sought. If the court finds that the plaintiff is entitled to partition, it is required to make an interlocutory judgment that determines the interests of all owners of the property and orders that the property be divided among those parties in accordance with their interests or sold with the proceeds divided among them, as specified.Under the Uniform Partition of Heirs Property Act, specified procedures apply in an action to partition real property that is heirs property, defined as property for which there is no agreement regarding partition in a record that binds the cotenants of the property, one or more of the cotenants acquired title from a relative, and meets one of specified thresholds regarding cotenants who are relatives or who acquired title from a relative.This bill would enact the Partition of Real Property Act, which would expand the scope of the Uniform Partition of Heirs Property Act to apply to any real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property. The bill would make other conforming changes.
2232
2333 Existing law authorizes an owner of an estate in real property to commence and maintain an action for partition of the property against all persons having or claiming interests in the estate as to which partition is sought. If the court finds that the plaintiff is entitled to partition, it is required to make an interlocutory judgment that determines the interests of all owners of the property and orders that the property be divided among those parties in accordance with their interests or sold with the proceeds divided among them, as specified.
2434
2535 Under the Uniform Partition of Heirs Property Act, specified procedures apply in an action to partition real property that is heirs property, defined as property for which there is no agreement regarding partition in a record that binds the cotenants of the property, one or more of the cotenants acquired title from a relative, and meets one of specified thresholds regarding cotenants who are relatives or who acquired title from a relative.
2636
2737 This bill would enact the Partition of Real Property Act, which would expand the scope of the Uniform Partition of Heirs Property Act to apply to any real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property. The bill would make other conforming changes.
2838
2939 ## Digest Key
3040
3141 ## Bill Text
3242
3343 The people of the State of California do enact as follows:SECTION 1. Section 872.020 of the Code of Civil Procedure is amended to read:872.020. This title governs actions for partition of real property and, except to the extent not applicable, actions for partition of personal property.SEC. 2. The heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of the Code of Civil Procedure is amended to read: CHAPTER 10. Partition of Real Property ActSEC. 3. Section 874.311 of the Code of Civil Procedure is amended to read:874.311. (a) This act shall be known, and may be cited, as the Partition of Real Property Act.(b) This act applies to real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property.(c) This act applies to actions for partition of real property filed on or after January 1, 2023.SEC. 4. Section 874.312 of the Code of Civil Procedure is amended to read:874.312. For purposes of this chapter, the following definitions apply:(a) Determination of value means a court order determining the fair market value of the property under Section 874.316 or 874.320 or adopting the valuation of the property agreed to by all cotenants.(b) Partition by sale means a court-ordered sale of the entire property, whether by auction, sealed bids, or open-market sale conducted under Section 874.320.(c) Partition in kind means the division of property into physically distinct and separately titled parcels.(d) Record means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.SEC. 5. Section 874.313 of the Code of Civil Procedure is amended to read:874.313. (a) In an action to partition real property, the property shall be partitioned under this chapter unless all of the cotenants otherwise agree in a record.(b) This chapter supplements the other provisions of this title and, if an action is governed by this chapter, this chapter shall control over any provisions of this title that are inconsistent with this chapter.SEC. 6. Section 874.314 of the Code of Civil Procedure is amended to read:874.314. (a) This act does not limit or affect the method by which service of a complaint in a partition action may be made.(b) If the plaintiff in a partition action seeks an order of notice by publication, the plaintiff, not later than 10 days after the courts determination, shall post and maintain while the action is pending a conspicuous sign on the property that is the subject of the action. The sign shall state that the action has commenced and identify the name and address of the court and the common designation by which the property is known. The court may require the plaintiff to publish on the sign the name of the plaintiff and the known defendants.SEC. 7. Section 874.316 of the Code of Civil Procedure is amended to read:874.316. (a) Except as otherwise provided in subdivisions (b) and (c), the court shall determine the fair market value of the property by ordering an appraisal pursuant to subdivision (d).(b) If all cotenants have agreed to the value of the property or to another method of valuation, the court shall adopt that value or the value produced by the agreed method of valuation.(c) If the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court, after an evidentiary hearing, shall determine the fair market value of the property and send notice to the parties of the value.(d) If the court orders an appraisal, the court shall appoint a disinterested real estate appraiser licensed in the State of California to determine the fair market value of the property assuming sole ownership of the fee simple estate. On completion of the appraisal, the appraiser shall file a sworn or verified appraisal with the court.(e) If an appraisal is conducted pursuant to subdivision (d), not later than 10 days after the appraisal is filed, the court shall send notice to each party with a known address, stating all of the following:(1) The appraised fair market value of the property.(2) That the appraisal is available at the court clerks office.(3) That a party may file with the court an objection to the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection.(f) If an appraisal is filed with the court pursuant to subdivision (d), the court shall conduct a hearing to determine the fair market value of the property not sooner than 30 days after a copy of the notice of the appraisal is sent to each party under subdivision (e), whether or not an objection to the appraisal is filed under paragraph (3) of subdivision (e). In addition to the court-ordered appraisal, the court may consider any other evidence of value offered by a party.(g) After a hearing under subdivision (f), but before considering the merits of the partition action, the court shall determine the fair market value of the property and send notice to the parties of the value.SEC. 8. Section 874.319 of the Code of Civil Procedure is amended to read:874.319. (a) In determining whether partition in kind would result in great prejudice to the cotenants as a group, the court shall consider the following:(1) Whether the property practicably can be divided among the cotenants.(2) Whether partition in kind would apportion the property in such a way that the aggregate fair market value of the parcels resulting from the division would be materially less than the value of the property if it were sold as a whole, taking into account the condition under which a court-ordered sale likely would occur.(3) Evidence of the collective duration of ownership or possession of the property by a cotenant and one or more predecessors in title or predecessors in possession to the cotenant who are or were relatives of the cotenant or each other.(4) A cotenants sentimental attachment to the property, including any attachment arising because the property has ancestral or other unique or special value to the cotenant.(5) The lawful use being made of the property by a cotenant and the degree to which the cotenant would be harmed if the cotenant could not continue the same use of the property.(6) The degree to which the cotenants have contributed their pro rata share of the property taxes, insurance, and other expenses associated with maintaining ownership of the property or have contributed to the physical improvement, maintenance, or upkeep of the property.(7) Any other relevant factor.(b) The court shall not consider any one factor in subdivision (a) to be dispositive without weighing the totality of all relevant factors and circumstances.SEC. 9. Section 874.320 of the Code of Civil Procedure is amended to read:874.320. (a) If the court orders a sale of property, the sale shall be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group.(b) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in the State of California to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in the State of California to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court.(c) If the broker appointed under subdivision (b) obtains within a reasonable time an offer to purchase the property for at least the determination of value, the following requirements apply:(1) The broker shall comply with the reporting requirements in Section 874.321.(2) The sale shall be completed in accordance with state law.(d) If the broker appointed under subdivision (b) does not obtain an offer to purchase the property for at least the determination of value within a reasonable time, the court, after a hearing, may do any of the following:(1) Approve the highest outstanding offer, if any.(2) Redetermine the value of the property and order that the property continue to be offered for an additional time.(3) Order that the property be sold by sealed bids or at an auction.(e) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction shall be conducted under Chapter 6 (commencing with Section 873.510).(f) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchasers share of the proceeds.SEC. 10. Section 874.321 of the Code of Civil Procedure is amended to read:874.321. (a) A broker appointed to offer property for open-market sale shall file a report with the court not later than seven days after receiving an offer to purchase the property for at least the value determined under Section 874.316 or 874.320.(b) The report required by subdivision (a) shall contain the following information:(1) A description of the property to be sold to each buyer.(2) The name of each buyer.(3) The proposed purchase price.(4) The terms and conditions of the proposed sale, including the terms of any owner financing.(5) The amounts to be paid to lienholders.(6) A statement of contractual or other arrangements or conditions of the brokers commission.(7) Other material facts relevant to the sale.SEC. 11. Section 874.321.5 of the Code of Civil Procedure is amended to read:874.321.5. In an action for partition of property, the court may apportion the costs of partition, including an appraisal fee, pursuant to Section 874.040, except that the court shall not apportion the costs of partition to any party that opposes the partition unless doing so is equitable and consistent with the purposes of this chapter.SEC. 12. Section 874.322 of the Code of Civil Procedure is repealed.
3444
3545 The people of the State of California do enact as follows:
3646
3747 ## The people of the State of California do enact as follows:
3848
3949 SECTION 1. Section 872.020 of the Code of Civil Procedure is amended to read:872.020. This title governs actions for partition of real property and, except to the extent not applicable, actions for partition of personal property.
4050
4151 SECTION 1. Section 872.020 of the Code of Civil Procedure is amended to read:
4252
4353 ### SECTION 1.
4454
4555 872.020. This title governs actions for partition of real property and, except to the extent not applicable, actions for partition of personal property.
4656
4757 872.020. This title governs actions for partition of real property and, except to the extent not applicable, actions for partition of personal property.
4858
4959 872.020. This title governs actions for partition of real property and, except to the extent not applicable, actions for partition of personal property.
5060
5161
5262
5363 872.020. This title governs actions for partition of real property and, except to the extent not applicable, actions for partition of personal property.
5464
5565 SEC. 2. The heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of the Code of Civil Procedure is amended to read: CHAPTER 10. Partition of Real Property Act
5666
5767 SEC. 2. The heading of Chapter 10 (commencing with Section 874.311) of Title 10.5 of Part 2 of the Code of Civil Procedure is amended to read:
5868
5969 ### SEC. 2.
6070
6171 CHAPTER 10. Partition of Real Property Act
6272
6373 CHAPTER 10. Partition of Real Property Act
6474
6575 CHAPTER 10. Partition of Real Property Act
6676
6777 CHAPTER 10. Partition of Real Property Act
6878
6979 SEC. 3. Section 874.311 of the Code of Civil Procedure is amended to read:874.311. (a) This act shall be known, and may be cited, as the Partition of Real Property Act.(b) This act applies to real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property.(c) This act applies to actions for partition of real property filed on or after January 1, 2023.
7080
7181 SEC. 3. Section 874.311 of the Code of Civil Procedure is amended to read:
7282
7383 ### SEC. 3.
7484
7585 874.311. (a) This act shall be known, and may be cited, as the Partition of Real Property Act.(b) This act applies to real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property.(c) This act applies to actions for partition of real property filed on or after January 1, 2023.
7686
7787 874.311. (a) This act shall be known, and may be cited, as the Partition of Real Property Act.(b) This act applies to real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property.(c) This act applies to actions for partition of real property filed on or after January 1, 2023.
7888
7989 874.311. (a) This act shall be known, and may be cited, as the Partition of Real Property Act.(b) This act applies to real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property.(c) This act applies to actions for partition of real property filed on or after January 1, 2023.
8090
8191
8292
8393 874.311. (a) This act shall be known, and may be cited, as the Partition of Real Property Act.
8494
8595 (b) This act applies to real property held in tenancy in common where there is no agreement in a record binding all the cotenants which governs the partition of the property.
8696
8797 (c) This act applies to actions for partition of real property filed on or after January 1, 2023.
8898
8999 SEC. 4. Section 874.312 of the Code of Civil Procedure is amended to read:874.312. For purposes of this chapter, the following definitions apply:(a) Determination of value means a court order determining the fair market value of the property under Section 874.316 or 874.320 or adopting the valuation of the property agreed to by all cotenants.(b) Partition by sale means a court-ordered sale of the entire property, whether by auction, sealed bids, or open-market sale conducted under Section 874.320.(c) Partition in kind means the division of property into physically distinct and separately titled parcels.(d) Record means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.
90100
91101 SEC. 4. Section 874.312 of the Code of Civil Procedure is amended to read:
92102
93103 ### SEC. 4.
94104
95105 874.312. For purposes of this chapter, the following definitions apply:(a) Determination of value means a court order determining the fair market value of the property under Section 874.316 or 874.320 or adopting the valuation of the property agreed to by all cotenants.(b) Partition by sale means a court-ordered sale of the entire property, whether by auction, sealed bids, or open-market sale conducted under Section 874.320.(c) Partition in kind means the division of property into physically distinct and separately titled parcels.(d) Record means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.
96106
97107 874.312. For purposes of this chapter, the following definitions apply:(a) Determination of value means a court order determining the fair market value of the property under Section 874.316 or 874.320 or adopting the valuation of the property agreed to by all cotenants.(b) Partition by sale means a court-ordered sale of the entire property, whether by auction, sealed bids, or open-market sale conducted under Section 874.320.(c) Partition in kind means the division of property into physically distinct and separately titled parcels.(d) Record means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.
98108
99109 874.312. For purposes of this chapter, the following definitions apply:(a) Determination of value means a court order determining the fair market value of the property under Section 874.316 or 874.320 or adopting the valuation of the property agreed to by all cotenants.(b) Partition by sale means a court-ordered sale of the entire property, whether by auction, sealed bids, or open-market sale conducted under Section 874.320.(c) Partition in kind means the division of property into physically distinct and separately titled parcels.(d) Record means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.
100110
101111
102112
103113 874.312. For purposes of this chapter, the following definitions apply:
104114
105115 (a) Determination of value means a court order determining the fair market value of the property under Section 874.316 or 874.320 or adopting the valuation of the property agreed to by all cotenants.
106116
107117 (b) Partition by sale means a court-ordered sale of the entire property, whether by auction, sealed bids, or open-market sale conducted under Section 874.320.
108118
109119 (c) Partition in kind means the division of property into physically distinct and separately titled parcels.
110120
111121 (d) Record means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.
112122
113123 SEC. 5. Section 874.313 of the Code of Civil Procedure is amended to read:874.313. (a) In an action to partition real property, the property shall be partitioned under this chapter unless all of the cotenants otherwise agree in a record.(b) This chapter supplements the other provisions of this title and, if an action is governed by this chapter, this chapter shall control over any provisions of this title that are inconsistent with this chapter.
114124
115125 SEC. 5. Section 874.313 of the Code of Civil Procedure is amended to read:
116126
117127 ### SEC. 5.
118128
119129 874.313. (a) In an action to partition real property, the property shall be partitioned under this chapter unless all of the cotenants otherwise agree in a record.(b) This chapter supplements the other provisions of this title and, if an action is governed by this chapter, this chapter shall control over any provisions of this title that are inconsistent with this chapter.
120130
121131 874.313. (a) In an action to partition real property, the property shall be partitioned under this chapter unless all of the cotenants otherwise agree in a record.(b) This chapter supplements the other provisions of this title and, if an action is governed by this chapter, this chapter shall control over any provisions of this title that are inconsistent with this chapter.
122132
123133 874.313. (a) In an action to partition real property, the property shall be partitioned under this chapter unless all of the cotenants otherwise agree in a record.(b) This chapter supplements the other provisions of this title and, if an action is governed by this chapter, this chapter shall control over any provisions of this title that are inconsistent with this chapter.
124134
125135
126136
127137 874.313. (a) In an action to partition real property, the property shall be partitioned under this chapter unless all of the cotenants otherwise agree in a record.
128138
129139 (b) This chapter supplements the other provisions of this title and, if an action is governed by this chapter, this chapter shall control over any provisions of this title that are inconsistent with this chapter.
130140
131141 SEC. 6. Section 874.314 of the Code of Civil Procedure is amended to read:874.314. (a) This act does not limit or affect the method by which service of a complaint in a partition action may be made.(b) If the plaintiff in a partition action seeks an order of notice by publication, the plaintiff, not later than 10 days after the courts determination, shall post and maintain while the action is pending a conspicuous sign on the property that is the subject of the action. The sign shall state that the action has commenced and identify the name and address of the court and the common designation by which the property is known. The court may require the plaintiff to publish on the sign the name of the plaintiff and the known defendants.
132142
133143 SEC. 6. Section 874.314 of the Code of Civil Procedure is amended to read:
134144
135145 ### SEC. 6.
136146
137147 874.314. (a) This act does not limit or affect the method by which service of a complaint in a partition action may be made.(b) If the plaintiff in a partition action seeks an order of notice by publication, the plaintiff, not later than 10 days after the courts determination, shall post and maintain while the action is pending a conspicuous sign on the property that is the subject of the action. The sign shall state that the action has commenced and identify the name and address of the court and the common designation by which the property is known. The court may require the plaintiff to publish on the sign the name of the plaintiff and the known defendants.
138148
139149 874.314. (a) This act does not limit or affect the method by which service of a complaint in a partition action may be made.(b) If the plaintiff in a partition action seeks an order of notice by publication, the plaintiff, not later than 10 days after the courts determination, shall post and maintain while the action is pending a conspicuous sign on the property that is the subject of the action. The sign shall state that the action has commenced and identify the name and address of the court and the common designation by which the property is known. The court may require the plaintiff to publish on the sign the name of the plaintiff and the known defendants.
140150
141151 874.314. (a) This act does not limit or affect the method by which service of a complaint in a partition action may be made.(b) If the plaintiff in a partition action seeks an order of notice by publication, the plaintiff, not later than 10 days after the courts determination, shall post and maintain while the action is pending a conspicuous sign on the property that is the subject of the action. The sign shall state that the action has commenced and identify the name and address of the court and the common designation by which the property is known. The court may require the plaintiff to publish on the sign the name of the plaintiff and the known defendants.
142152
143153
144154
145155 874.314. (a) This act does not limit or affect the method by which service of a complaint in a partition action may be made.
146156
147157 (b) If the plaintiff in a partition action seeks an order of notice by publication, the plaintiff, not later than 10 days after the courts determination, shall post and maintain while the action is pending a conspicuous sign on the property that is the subject of the action. The sign shall state that the action has commenced and identify the name and address of the court and the common designation by which the property is known. The court may require the plaintiff to publish on the sign the name of the plaintiff and the known defendants.
148158
149159 SEC. 7. Section 874.316 of the Code of Civil Procedure is amended to read:874.316. (a) Except as otherwise provided in subdivisions (b) and (c), the court shall determine the fair market value of the property by ordering an appraisal pursuant to subdivision (d).(b) If all cotenants have agreed to the value of the property or to another method of valuation, the court shall adopt that value or the value produced by the agreed method of valuation.(c) If the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court, after an evidentiary hearing, shall determine the fair market value of the property and send notice to the parties of the value.(d) If the court orders an appraisal, the court shall appoint a disinterested real estate appraiser licensed in the State of California to determine the fair market value of the property assuming sole ownership of the fee simple estate. On completion of the appraisal, the appraiser shall file a sworn or verified appraisal with the court.(e) If an appraisal is conducted pursuant to subdivision (d), not later than 10 days after the appraisal is filed, the court shall send notice to each party with a known address, stating all of the following:(1) The appraised fair market value of the property.(2) That the appraisal is available at the court clerks office.(3) That a party may file with the court an objection to the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection.(f) If an appraisal is filed with the court pursuant to subdivision (d), the court shall conduct a hearing to determine the fair market value of the property not sooner than 30 days after a copy of the notice of the appraisal is sent to each party under subdivision (e), whether or not an objection to the appraisal is filed under paragraph (3) of subdivision (e). In addition to the court-ordered appraisal, the court may consider any other evidence of value offered by a party.(g) After a hearing under subdivision (f), but before considering the merits of the partition action, the court shall determine the fair market value of the property and send notice to the parties of the value.
150160
151161 SEC. 7. Section 874.316 of the Code of Civil Procedure is amended to read:
152162
153163 ### SEC. 7.
154164
155165 874.316. (a) Except as otherwise provided in subdivisions (b) and (c), the court shall determine the fair market value of the property by ordering an appraisal pursuant to subdivision (d).(b) If all cotenants have agreed to the value of the property or to another method of valuation, the court shall adopt that value or the value produced by the agreed method of valuation.(c) If the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court, after an evidentiary hearing, shall determine the fair market value of the property and send notice to the parties of the value.(d) If the court orders an appraisal, the court shall appoint a disinterested real estate appraiser licensed in the State of California to determine the fair market value of the property assuming sole ownership of the fee simple estate. On completion of the appraisal, the appraiser shall file a sworn or verified appraisal with the court.(e) If an appraisal is conducted pursuant to subdivision (d), not later than 10 days after the appraisal is filed, the court shall send notice to each party with a known address, stating all of the following:(1) The appraised fair market value of the property.(2) That the appraisal is available at the court clerks office.(3) That a party may file with the court an objection to the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection.(f) If an appraisal is filed with the court pursuant to subdivision (d), the court shall conduct a hearing to determine the fair market value of the property not sooner than 30 days after a copy of the notice of the appraisal is sent to each party under subdivision (e), whether or not an objection to the appraisal is filed under paragraph (3) of subdivision (e). In addition to the court-ordered appraisal, the court may consider any other evidence of value offered by a party.(g) After a hearing under subdivision (f), but before considering the merits of the partition action, the court shall determine the fair market value of the property and send notice to the parties of the value.
156166
157167 874.316. (a) Except as otherwise provided in subdivisions (b) and (c), the court shall determine the fair market value of the property by ordering an appraisal pursuant to subdivision (d).(b) If all cotenants have agreed to the value of the property or to another method of valuation, the court shall adopt that value or the value produced by the agreed method of valuation.(c) If the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court, after an evidentiary hearing, shall determine the fair market value of the property and send notice to the parties of the value.(d) If the court orders an appraisal, the court shall appoint a disinterested real estate appraiser licensed in the State of California to determine the fair market value of the property assuming sole ownership of the fee simple estate. On completion of the appraisal, the appraiser shall file a sworn or verified appraisal with the court.(e) If an appraisal is conducted pursuant to subdivision (d), not later than 10 days after the appraisal is filed, the court shall send notice to each party with a known address, stating all of the following:(1) The appraised fair market value of the property.(2) That the appraisal is available at the court clerks office.(3) That a party may file with the court an objection to the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection.(f) If an appraisal is filed with the court pursuant to subdivision (d), the court shall conduct a hearing to determine the fair market value of the property not sooner than 30 days after a copy of the notice of the appraisal is sent to each party under subdivision (e), whether or not an objection to the appraisal is filed under paragraph (3) of subdivision (e). In addition to the court-ordered appraisal, the court may consider any other evidence of value offered by a party.(g) After a hearing under subdivision (f), but before considering the merits of the partition action, the court shall determine the fair market value of the property and send notice to the parties of the value.
158168
159169 874.316. (a) Except as otherwise provided in subdivisions (b) and (c), the court shall determine the fair market value of the property by ordering an appraisal pursuant to subdivision (d).(b) If all cotenants have agreed to the value of the property or to another method of valuation, the court shall adopt that value or the value produced by the agreed method of valuation.(c) If the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court, after an evidentiary hearing, shall determine the fair market value of the property and send notice to the parties of the value.(d) If the court orders an appraisal, the court shall appoint a disinterested real estate appraiser licensed in the State of California to determine the fair market value of the property assuming sole ownership of the fee simple estate. On completion of the appraisal, the appraiser shall file a sworn or verified appraisal with the court.(e) If an appraisal is conducted pursuant to subdivision (d), not later than 10 days after the appraisal is filed, the court shall send notice to each party with a known address, stating all of the following:(1) The appraised fair market value of the property.(2) That the appraisal is available at the court clerks office.(3) That a party may file with the court an objection to the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection.(f) If an appraisal is filed with the court pursuant to subdivision (d), the court shall conduct a hearing to determine the fair market value of the property not sooner than 30 days after a copy of the notice of the appraisal is sent to each party under subdivision (e), whether or not an objection to the appraisal is filed under paragraph (3) of subdivision (e). In addition to the court-ordered appraisal, the court may consider any other evidence of value offered by a party.(g) After a hearing under subdivision (f), but before considering the merits of the partition action, the court shall determine the fair market value of the property and send notice to the parties of the value.
160170
161171
162172
163173 874.316. (a) Except as otherwise provided in subdivisions (b) and (c), the court shall determine the fair market value of the property by ordering an appraisal pursuant to subdivision (d).
164174
165175 (b) If all cotenants have agreed to the value of the property or to another method of valuation, the court shall adopt that value or the value produced by the agreed method of valuation.
166176
167177 (c) If the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court, after an evidentiary hearing, shall determine the fair market value of the property and send notice to the parties of the value.
168178
169179 (d) If the court orders an appraisal, the court shall appoint a disinterested real estate appraiser licensed in the State of California to determine the fair market value of the property assuming sole ownership of the fee simple estate. On completion of the appraisal, the appraiser shall file a sworn or verified appraisal with the court.
170180
171181 (e) If an appraisal is conducted pursuant to subdivision (d), not later than 10 days after the appraisal is filed, the court shall send notice to each party with a known address, stating all of the following:
172182
173183 (1) The appraised fair market value of the property.
174184
175185 (2) That the appraisal is available at the court clerks office.
176186
177187 (3) That a party may file with the court an objection to the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection.
178188
179189 (f) If an appraisal is filed with the court pursuant to subdivision (d), the court shall conduct a hearing to determine the fair market value of the property not sooner than 30 days after a copy of the notice of the appraisal is sent to each party under subdivision (e), whether or not an objection to the appraisal is filed under paragraph (3) of subdivision (e). In addition to the court-ordered appraisal, the court may consider any other evidence of value offered by a party.
180190
181191 (g) After a hearing under subdivision (f), but before considering the merits of the partition action, the court shall determine the fair market value of the property and send notice to the parties of the value.
182192
183193 SEC. 8. Section 874.319 of the Code of Civil Procedure is amended to read:874.319. (a) In determining whether partition in kind would result in great prejudice to the cotenants as a group, the court shall consider the following:(1) Whether the property practicably can be divided among the cotenants.(2) Whether partition in kind would apportion the property in such a way that the aggregate fair market value of the parcels resulting from the division would be materially less than the value of the property if it were sold as a whole, taking into account the condition under which a court-ordered sale likely would occur.(3) Evidence of the collective duration of ownership or possession of the property by a cotenant and one or more predecessors in title or predecessors in possession to the cotenant who are or were relatives of the cotenant or each other.(4) A cotenants sentimental attachment to the property, including any attachment arising because the property has ancestral or other unique or special value to the cotenant.(5) The lawful use being made of the property by a cotenant and the degree to which the cotenant would be harmed if the cotenant could not continue the same use of the property.(6) The degree to which the cotenants have contributed their pro rata share of the property taxes, insurance, and other expenses associated with maintaining ownership of the property or have contributed to the physical improvement, maintenance, or upkeep of the property.(7) Any other relevant factor.(b) The court shall not consider any one factor in subdivision (a) to be dispositive without weighing the totality of all relevant factors and circumstances.
184194
185195 SEC. 8. Section 874.319 of the Code of Civil Procedure is amended to read:
186196
187197 ### SEC. 8.
188198
189199 874.319. (a) In determining whether partition in kind would result in great prejudice to the cotenants as a group, the court shall consider the following:(1) Whether the property practicably can be divided among the cotenants.(2) Whether partition in kind would apportion the property in such a way that the aggregate fair market value of the parcels resulting from the division would be materially less than the value of the property if it were sold as a whole, taking into account the condition under which a court-ordered sale likely would occur.(3) Evidence of the collective duration of ownership or possession of the property by a cotenant and one or more predecessors in title or predecessors in possession to the cotenant who are or were relatives of the cotenant or each other.(4) A cotenants sentimental attachment to the property, including any attachment arising because the property has ancestral or other unique or special value to the cotenant.(5) The lawful use being made of the property by a cotenant and the degree to which the cotenant would be harmed if the cotenant could not continue the same use of the property.(6) The degree to which the cotenants have contributed their pro rata share of the property taxes, insurance, and other expenses associated with maintaining ownership of the property or have contributed to the physical improvement, maintenance, or upkeep of the property.(7) Any other relevant factor.(b) The court shall not consider any one factor in subdivision (a) to be dispositive without weighing the totality of all relevant factors and circumstances.
190200
191201 874.319. (a) In determining whether partition in kind would result in great prejudice to the cotenants as a group, the court shall consider the following:(1) Whether the property practicably can be divided among the cotenants.(2) Whether partition in kind would apportion the property in such a way that the aggregate fair market value of the parcels resulting from the division would be materially less than the value of the property if it were sold as a whole, taking into account the condition under which a court-ordered sale likely would occur.(3) Evidence of the collective duration of ownership or possession of the property by a cotenant and one or more predecessors in title or predecessors in possession to the cotenant who are or were relatives of the cotenant or each other.(4) A cotenants sentimental attachment to the property, including any attachment arising because the property has ancestral or other unique or special value to the cotenant.(5) The lawful use being made of the property by a cotenant and the degree to which the cotenant would be harmed if the cotenant could not continue the same use of the property.(6) The degree to which the cotenants have contributed their pro rata share of the property taxes, insurance, and other expenses associated with maintaining ownership of the property or have contributed to the physical improvement, maintenance, or upkeep of the property.(7) Any other relevant factor.(b) The court shall not consider any one factor in subdivision (a) to be dispositive without weighing the totality of all relevant factors and circumstances.
192202
193203 874.319. (a) In determining whether partition in kind would result in great prejudice to the cotenants as a group, the court shall consider the following:(1) Whether the property practicably can be divided among the cotenants.(2) Whether partition in kind would apportion the property in such a way that the aggregate fair market value of the parcels resulting from the division would be materially less than the value of the property if it were sold as a whole, taking into account the condition under which a court-ordered sale likely would occur.(3) Evidence of the collective duration of ownership or possession of the property by a cotenant and one or more predecessors in title or predecessors in possession to the cotenant who are or were relatives of the cotenant or each other.(4) A cotenants sentimental attachment to the property, including any attachment arising because the property has ancestral or other unique or special value to the cotenant.(5) The lawful use being made of the property by a cotenant and the degree to which the cotenant would be harmed if the cotenant could not continue the same use of the property.(6) The degree to which the cotenants have contributed their pro rata share of the property taxes, insurance, and other expenses associated with maintaining ownership of the property or have contributed to the physical improvement, maintenance, or upkeep of the property.(7) Any other relevant factor.(b) The court shall not consider any one factor in subdivision (a) to be dispositive without weighing the totality of all relevant factors and circumstances.
194204
195205
196206
197207 874.319. (a) In determining whether partition in kind would result in great prejudice to the cotenants as a group, the court shall consider the following:
198208
199209 (1) Whether the property practicably can be divided among the cotenants.
200210
201211 (2) Whether partition in kind would apportion the property in such a way that the aggregate fair market value of the parcels resulting from the division would be materially less than the value of the property if it were sold as a whole, taking into account the condition under which a court-ordered sale likely would occur.
202212
203213 (3) Evidence of the collective duration of ownership or possession of the property by a cotenant and one or more predecessors in title or predecessors in possession to the cotenant who are or were relatives of the cotenant or each other.
204214
205215 (4) A cotenants sentimental attachment to the property, including any attachment arising because the property has ancestral or other unique or special value to the cotenant.
206216
207217 (5) The lawful use being made of the property by a cotenant and the degree to which the cotenant would be harmed if the cotenant could not continue the same use of the property.
208218
209219 (6) The degree to which the cotenants have contributed their pro rata share of the property taxes, insurance, and other expenses associated with maintaining ownership of the property or have contributed to the physical improvement, maintenance, or upkeep of the property.
210220
211221 (7) Any other relevant factor.
212222
213223 (b) The court shall not consider any one factor in subdivision (a) to be dispositive without weighing the totality of all relevant factors and circumstances.
214224
215225 SEC. 9. Section 874.320 of the Code of Civil Procedure is amended to read:874.320. (a) If the court orders a sale of property, the sale shall be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group.(b) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in the State of California to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in the State of California to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court.(c) If the broker appointed under subdivision (b) obtains within a reasonable time an offer to purchase the property for at least the determination of value, the following requirements apply:(1) The broker shall comply with the reporting requirements in Section 874.321.(2) The sale shall be completed in accordance with state law.(d) If the broker appointed under subdivision (b) does not obtain an offer to purchase the property for at least the determination of value within a reasonable time, the court, after a hearing, may do any of the following:(1) Approve the highest outstanding offer, if any.(2) Redetermine the value of the property and order that the property continue to be offered for an additional time.(3) Order that the property be sold by sealed bids or at an auction.(e) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction shall be conducted under Chapter 6 (commencing with Section 873.510).(f) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchasers share of the proceeds.
216226
217227 SEC. 9. Section 874.320 of the Code of Civil Procedure is amended to read:
218228
219229 ### SEC. 9.
220230
221231 874.320. (a) If the court orders a sale of property, the sale shall be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group.(b) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in the State of California to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in the State of California to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court.(c) If the broker appointed under subdivision (b) obtains within a reasonable time an offer to purchase the property for at least the determination of value, the following requirements apply:(1) The broker shall comply with the reporting requirements in Section 874.321.(2) The sale shall be completed in accordance with state law.(d) If the broker appointed under subdivision (b) does not obtain an offer to purchase the property for at least the determination of value within a reasonable time, the court, after a hearing, may do any of the following:(1) Approve the highest outstanding offer, if any.(2) Redetermine the value of the property and order that the property continue to be offered for an additional time.(3) Order that the property be sold by sealed bids or at an auction.(e) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction shall be conducted under Chapter 6 (commencing with Section 873.510).(f) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchasers share of the proceeds.
222232
223233 874.320. (a) If the court orders a sale of property, the sale shall be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group.(b) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in the State of California to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in the State of California to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court.(c) If the broker appointed under subdivision (b) obtains within a reasonable time an offer to purchase the property for at least the determination of value, the following requirements apply:(1) The broker shall comply with the reporting requirements in Section 874.321.(2) The sale shall be completed in accordance with state law.(d) If the broker appointed under subdivision (b) does not obtain an offer to purchase the property for at least the determination of value within a reasonable time, the court, after a hearing, may do any of the following:(1) Approve the highest outstanding offer, if any.(2) Redetermine the value of the property and order that the property continue to be offered for an additional time.(3) Order that the property be sold by sealed bids or at an auction.(e) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction shall be conducted under Chapter 6 (commencing with Section 873.510).(f) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchasers share of the proceeds.
224234
225235 874.320. (a) If the court orders a sale of property, the sale shall be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group.(b) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in the State of California to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in the State of California to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court.(c) If the broker appointed under subdivision (b) obtains within a reasonable time an offer to purchase the property for at least the determination of value, the following requirements apply:(1) The broker shall comply with the reporting requirements in Section 874.321.(2) The sale shall be completed in accordance with state law.(d) If the broker appointed under subdivision (b) does not obtain an offer to purchase the property for at least the determination of value within a reasonable time, the court, after a hearing, may do any of the following:(1) Approve the highest outstanding offer, if any.(2) Redetermine the value of the property and order that the property continue to be offered for an additional time.(3) Order that the property be sold by sealed bids or at an auction.(e) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction shall be conducted under Chapter 6 (commencing with Section 873.510).(f) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchasers share of the proceeds.
226236
227237
228238
229239 874.320. (a) If the court orders a sale of property, the sale shall be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group.
230240
231241 (b) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in the State of California to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in the State of California to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court.
232242
233243 (c) If the broker appointed under subdivision (b) obtains within a reasonable time an offer to purchase the property for at least the determination of value, the following requirements apply:
234244
235245 (1) The broker shall comply with the reporting requirements in Section 874.321.
236246
237247 (2) The sale shall be completed in accordance with state law.
238248
239249 (d) If the broker appointed under subdivision (b) does not obtain an offer to purchase the property for at least the determination of value within a reasonable time, the court, after a hearing, may do any of the following:
240250
241251 (1) Approve the highest outstanding offer, if any.
242252
243253 (2) Redetermine the value of the property and order that the property continue to be offered for an additional time.
244254
245255 (3) Order that the property be sold by sealed bids or at an auction.
246256
247257 (e) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction shall be conducted under Chapter 6 (commencing with Section 873.510).
248258
249259 (f) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchasers share of the proceeds.
250260
251261 SEC. 10. Section 874.321 of the Code of Civil Procedure is amended to read:874.321. (a) A broker appointed to offer property for open-market sale shall file a report with the court not later than seven days after receiving an offer to purchase the property for at least the value determined under Section 874.316 or 874.320.(b) The report required by subdivision (a) shall contain the following information:(1) A description of the property to be sold to each buyer.(2) The name of each buyer.(3) The proposed purchase price.(4) The terms and conditions of the proposed sale, including the terms of any owner financing.(5) The amounts to be paid to lienholders.(6) A statement of contractual or other arrangements or conditions of the brokers commission.(7) Other material facts relevant to the sale.
252262
253263 SEC. 10. Section 874.321 of the Code of Civil Procedure is amended to read:
254264
255265 ### SEC. 10.
256266
257267 874.321. (a) A broker appointed to offer property for open-market sale shall file a report with the court not later than seven days after receiving an offer to purchase the property for at least the value determined under Section 874.316 or 874.320.(b) The report required by subdivision (a) shall contain the following information:(1) A description of the property to be sold to each buyer.(2) The name of each buyer.(3) The proposed purchase price.(4) The terms and conditions of the proposed sale, including the terms of any owner financing.(5) The amounts to be paid to lienholders.(6) A statement of contractual or other arrangements or conditions of the brokers commission.(7) Other material facts relevant to the sale.
258268
259269 874.321. (a) A broker appointed to offer property for open-market sale shall file a report with the court not later than seven days after receiving an offer to purchase the property for at least the value determined under Section 874.316 or 874.320.(b) The report required by subdivision (a) shall contain the following information:(1) A description of the property to be sold to each buyer.(2) The name of each buyer.(3) The proposed purchase price.(4) The terms and conditions of the proposed sale, including the terms of any owner financing.(5) The amounts to be paid to lienholders.(6) A statement of contractual or other arrangements or conditions of the brokers commission.(7) Other material facts relevant to the sale.
260270
261271 874.321. (a) A broker appointed to offer property for open-market sale shall file a report with the court not later than seven days after receiving an offer to purchase the property for at least the value determined under Section 874.316 or 874.320.(b) The report required by subdivision (a) shall contain the following information:(1) A description of the property to be sold to each buyer.(2) The name of each buyer.(3) The proposed purchase price.(4) The terms and conditions of the proposed sale, including the terms of any owner financing.(5) The amounts to be paid to lienholders.(6) A statement of contractual or other arrangements or conditions of the brokers commission.(7) Other material facts relevant to the sale.
262272
263273
264274
265275 874.321. (a) A broker appointed to offer property for open-market sale shall file a report with the court not later than seven days after receiving an offer to purchase the property for at least the value determined under Section 874.316 or 874.320.
266276
267277 (b) The report required by subdivision (a) shall contain the following information:
268278
269279 (1) A description of the property to be sold to each buyer.
270280
271281 (2) The name of each buyer.
272282
273283 (3) The proposed purchase price.
274284
275285 (4) The terms and conditions of the proposed sale, including the terms of any owner financing.
276286
277287 (5) The amounts to be paid to lienholders.
278288
279289 (6) A statement of contractual or other arrangements or conditions of the brokers commission.
280290
281291 (7) Other material facts relevant to the sale.
282292
283293 SEC. 11. Section 874.321.5 of the Code of Civil Procedure is amended to read:874.321.5. In an action for partition of property, the court may apportion the costs of partition, including an appraisal fee, pursuant to Section 874.040, except that the court shall not apportion the costs of partition to any party that opposes the partition unless doing so is equitable and consistent with the purposes of this chapter.
284294
285295 SEC. 11. Section 874.321.5 of the Code of Civil Procedure is amended to read:
286296
287297 ### SEC. 11.
288298
289299 874.321.5. In an action for partition of property, the court may apportion the costs of partition, including an appraisal fee, pursuant to Section 874.040, except that the court shall not apportion the costs of partition to any party that opposes the partition unless doing so is equitable and consistent with the purposes of this chapter.
290300
291301 874.321.5. In an action for partition of property, the court may apportion the costs of partition, including an appraisal fee, pursuant to Section 874.040, except that the court shall not apportion the costs of partition to any party that opposes the partition unless doing so is equitable and consistent with the purposes of this chapter.
292302
293303 874.321.5. In an action for partition of property, the court may apportion the costs of partition, including an appraisal fee, pursuant to Section 874.040, except that the court shall not apportion the costs of partition to any party that opposes the partition unless doing so is equitable and consistent with the purposes of this chapter.
294304
295305
296306
297307 874.321.5. In an action for partition of property, the court may apportion the costs of partition, including an appraisal fee, pursuant to Section 874.040, except that the court shall not apportion the costs of partition to any party that opposes the partition unless doing so is equitable and consistent with the purposes of this chapter.
298308
299309 SEC. 12. Section 874.322 of the Code of Civil Procedure is repealed.
300310
301311 SEC. 12. Section 874.322 of the Code of Civil Procedure is repealed.
302312
303313 ### SEC. 12.