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  #1 (permalink)  
Old 11-24-2005, 12:44 PM
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Join Date: Nov 2005
Posts: 1
Default How can I end my partnership 50% TIC?????

I added a owner on to my property with the understanding that we would improve the property, we hold title 50/50 Tenants in Common, I have an agreeement stating I would retain my etablished equity before him comming on title and other agreement stating some of the repairs needed to increase the value of the property, but there is no time frame. All other greements have been verbal with the exception of the proposals(there were 4) which he never agreed to and that is why they kept changing.

When it came time to buyout me out/transfer/sell the property to a third party the other owner has made it extremely difficult and therefor we could not come to an agreement. I temporarily moved out because there was no kitchen and so that the work on the house could get done easier. But I am being advised to move back in at least to maintain physical possession. He does not reside there. After 3 different offers/options for him to be able to keep the residence, I finally stated that I would rather us end this and I would do the buy you out. I would be willing to do 50/50 at this point, but he is not cooperating even to that and is not stating what he wants. I have gotten no response in 5 days, furthermore all work has ceased at the house because of him stopping work on the floor he promised to do.

Do I continue doing reparis that are in process and do I continue doing ones that were about to start? Do I move back in? I have contacted an attorney but will not have an appt for 7 more days, meanwhile I want to make sure i cover my bases. Any advice?

Last edited by rmontemayor : 11-24-2005 at 03:18 PM. Reason: Title was incorrect
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  #2 (permalink)  
Old 11-25-2005, 06:46 PM
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Join Date: Jul 2005
Posts: 146
Cool

Quote:
Originally Posted by rmontemayor
I added a owner on to my property with the understanding that we would improve the property, we hold title 50/50 Tenants in Common, I have an agreeement stating I would retain my etablished equity before him comming on title and other agreement stating some of the repairs needed to increase the value of the property, but there is no time frame. All other greements have been verbal with the exception of the proposals(there were 4) which he never agreed to and that is why they kept changing.

When it came time to buyout me out/transfer/sell the property to a third party the other owner has made it extremely difficult and therefor we could not come to an agreement. I temporarily moved out because there was no kitchen and so that the work on the house could get done easier. But I am being advised to move back in at least to maintain physical possession. He does not reside there. After 3 different offers/options for him to be able to keep the residence, I finally stated that I would rather us end this and I would do the buy you out. I would be willing to do 50/50 at this point, but he is not cooperating even to that and is not stating what he wants. I have gotten no response in 5 days, furthermore all work has ceased at the house because of him stopping work on the floor he promised to do.

Do I continue doing reparis that are in process and do I continue doing ones that were about to start? Do I move back in? I have contacted an attorney but will not have an appt for 7 more days, meanwhile I want to make sure i cover my bases. Any advice?
Well there, it seems you are in a difficult business dilemma. You have a "partner" in the property that you don't get along with and you are looking for your options.

First, let me say that I think you are acting in exactly the right way. You are consulting a lawyer, and you are looking to extricate yourself from a no-win situation, even if it means taking a loss.

Second, TICs are tricky things and laws around them are not very defined because they are rarely used outside of San Francisco, and other places that restrict people from converting buildings to condos. In general, you both "own" the property, same as two partners "own" a partnership. Both of you remain responsible and have property rights on each and every part of the property. Then you have a contract between you defining percentage ownership, who owns what and who has what obligations. However, that contract only binds the two of you. To any third party interested in buying the property, or who has a claim against the property, they just look at the property as owned jointly and severely by both of you.

You can sue your TIC partner for not fulfilling his side of the contract. This applies to written as well as verbal agreements (although proving verbal agreements is almost impossible). That's your recourse against him. As for the property, it will probably be useless until you resolve things with your partner. (Which is why it's often best just to "get things over with" with them, even if it means taking a loss.)

As for what to do specifically regarding occupying the property or doing work on it before you see your lawyer next week... That, I'm afraid, I have little to suggest without a lot more details... and those details are what your lawyer is for.
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Old 12-13-2005, 03:22 PM
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Join Date: Dec 2005
Posts: 3
Default

You're on the right track, now. More than likely you will have to file a partition suit of some sort to get the property divided. Outside of that, there really isn't a lot to that can be done if the other person is on the deed.
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