Co-Owner Buy-Outs Using the Uniform Partition at Heirs Act 

A co-owner of jointly owned property has the right to buyout out another co-owner’s interest in the property if the property qualifies as “heirs” property and other certain conditions are met.

The Uniform Partition of Heirs Property Act applies to partition actions filed on or after July 1, 2020.  Under the Act, the court must first determine whether the property is heirs’ property.

Effective July 1, 2020, Florida enacted the “Uniform Partition of Heirs Property Act” under Part II of Chapter 64, Fla. Stat.  The statute defines the term “heirs property” to mean real property held in tenancy in common which meets all of the following requirements as of the filing of a partition action: (a) there is no agreement in a record binding all the cotenants which governs the partition of the property; (b) one or more of the cotenants acquired title from a relative, whether living or deceased; and (c) any of the following applies: (1). twenty percent or more of the interests are held by cotenants who are relatives; (2). twenty percent or more of the interests are held by an individual who acquired title from a relative, whether living or deceased; or (3). twenty percent or more of the cotenants are relatives. (§ 64.202(6), Fla. Stat.). 

Once the court determines that the property is heirs property, the property will be partitioned according to the Act unless all of the cotenants otherwise agree in a record.  Mechanically, the court will first determine the fair market value of the property by ordering an appraisal.  No later than 10 days after the appraisal is filed, the court will send notice to each party with the appraised value of the property and allow a party to file an objection if they disagree with the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection.  Next  the court will conduct a hearing on the objection (if filed) and to determine the fair market value of the property.  If any cotenant requested partition by sale, after the determination of value, the court shall send notice to the parties that any cotenant except a cotenant that requested partition by sale may buy all the interests of the cotenants that requested partition by sale.  Then, not later than 45 days after the notice is sent under, any cotenant, except a cotenant that requested partition by sale, may give notice to the court that it elects to buy all the interests of the cotenants that requested partition by sale.  Finally, cotenant wishing to buyout the other must pay his apportioned price into the court. 

So, in applying and construing the Uniform Partition of Heirs Property Act, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it. 

Because although it is straightforward in its application, the Uniform Partition of Heirs Property Act is relatively new and court’s may not be intimately familiar with its requirements.  It is therefore important to hire experienced counsel.  If carried correctly, the Act can provide a valuable solution for those looking to acquire and own 100% of  jointly titled property.

Contact a Florida Trial Attorney Andrew Pascale to discuss your case today. This blog does not constitute legal advice and is for illustrative purposes only.