Code of Civil Procedure 873.820 CCP – Application of Proceeds (Partition Actions)

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California Code of Civil Procedure 873.820 is the California partition statute that directs the order in which the proceeds of a sale of a property shall be applied. The statute provides that:

The proceeds of sale for any property sold shall be applied in the following order:

(a) Payment of the expenses of sale.

(b) Payment of the other costs of partition in whole or in part or to secure any cost of partition later allowed.

(c) Payment of any liens on the property in their order of priority except liens which under the terms of sale are to remain on the property.

(d) Distribution of the residue among the parties in proportion to their shares as determined by the court.[1]California Code of Civil Procedure 873.820

This statute applies to both unencumbered and encumbered property. Because partition by a lienholder is no longer a manner of partition, this statute has been updated to remove the previous requirement that liens be paid prior to the lien upon which the owner’s title is based.

Disputes involving payments of liens may be brought to court pending resolution of the dispute.[2]California Code of Civil Procedure 873.810

Contact an Experienced Partition Attorney in California

If you want to end your co-ownership relationship, but your co-owner won’t agree, a partition action is your only option. Our experienced partition lawyers have years of experience ending co-ownership disputes and can help you unlock the equity in your property. For a free, 15 minute consultation with an experienced partition attorney at Talkov Law, call (844) 482-5568 or fill out a contact form online.

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References

References
1 California Code of Civil Procedure 873.820
2 California Code of Civil Procedure 873.810
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