Sale of a joint tenancy in Spain
Sale of joint tenancy without giving notice to the other co-owner
Dear clients and readers,
We are dealing with a few cases where our clients share a percentage of ownership with the other joint tenant, and the relationship between them is not good.
In these kinds of situations, the best option is obviously to try to reach an amicable agreement between the joint owners.
This agreement can consist of either selling the property to a third party or buying from each other their respective ownership share.
However, what happens if an out-of-court settlement cannot be reached, due to the stubborn refusal of one of the owners?
This scenario is not uncommon, especially regarding conflicting inheritance where the decision of one of the heirs is motivated by hate. (This is a real case we are dealing with at the moment.)
Therefore, if the rest of the owners (or some of them) completely refuse to sell their part of the property or ask for an exorbitant price in exchange for selling the property, then the time has come to take action.
In a situation like this, you may be wondering: If I decide to sell my own ownership percentage to another person, can it be legally done? And in the affirmative case, should I notify the other party of the sale of the joint tenancy?
The answer is clear and categorical: yes, you should notify your intention to sell your part of the joint tenancy, but that does not mean that you need their authorisation to be able to proceed with the sale.
And it is important to clarify that it is not the same to inform or notify the other party of your decision to sell your own part of the property, as it is to request their authorisation to do so. In no case you will need their approval to be able to sell your undivided share.
WHAT THE SPANISH CIVIL CODE SAYS
In other words, you have the full right to do whatever you wish with your joint ownership, as it is clearly stated in Article 399 and subsequent articles of the Spanish Civil Code:
“Article 399: Each co-owner shall have full ownership of his part and of the fruits and benefits corresponding to him, and may, as a result thereof, dispose of it, assign it or mortgage it and even delegate its use to another, save if they should be personal rights.
However, the effect of the disposal or the mortgage in relation with the co-owners shall be limited to the portion awarded thereto in the division upon termination of the joint ownership”.
Article 400: No co-owner shall be obliged to remain in the joint ownership. Each of them may request at any time the division of the thing owned in common. (…)”
Remember that before selling your property to a third party, it will be essential, in order to comply with current legislation, to offer your undivided half or share to the other owners. The co-owners of the property have the right of first refusal to any third party who may be interested.
Therefore, if any of the owners wishes to buy your part, it should be the first alternative to choose. But after their refusal to buy your part or sell the property, you can always try to sell your part to a third person or company without having to give explanations to the rest of the owners.
The previous notification to the other owners, on the other hand, provides complete peace of mind to the potential buyer, who will not buy if he might be involved in a potential lawsuit with the rest of the owners.
CONCLUSION
In conclusion, while it is true that you cannot force them to sell, or buy your own part of the property in question, on the other hand, they cannot prevent you from taking action to defend your interests.
There are several ways that are worth knowing in order to dissolve the joint-ownership, channels through which you can inform or notify your intention to sell your part of the joint-ownership.
Consequently, should you be affected by a similar problem, please do not hesitate to contact us privately, and we will explain in more detail this particular issue, as well as the steps to follow in your particular case.
HOW TO CONTACT US FOR FURTHER SPECIFIC ADVICE?
We hope you find this information useful. Remember that this is not intended to be specific legal advice, just a general overview. As independent lawyers, we can help you both by assisting you with all property conveyancing issues, as well as carrying out a comprehensive background legal analysis on your consultation or problem, if required.
Should you be interested in receiving more specific information or simply get an independent 2nd opinion (either about this particular subject or any other), you can contact our firm in several ways:
1. Call us or send us a WhatsApp now to (0034) 687 88 88 73.
2. You can also use our e-mail form at the top of the sidebar of your screen, or alternatively, you can send us an email to info@bestsolicitorsinspain.com
Our commitment. We’ll respond to your e-mail inquiry in less than 24 hours.
We are on social media. Follow us on:
a).- Facebook: BZN Lex International Lawyers@oscarricormorales7
b).- twitter: https://twitter.com/BznLex
c).- and linkedin.com/in/ricorabogados
Finally, thank you very much for your attention, and in case you might have any questions or doubts at all, again please do not hesitate to contact us. We would like to stress the point that you will be in good hands, and you can be reassured that we will look after your interests in the most committed and professional way.
We look forward to helping you and the benefit of our “know-how”.
Kindest regards
Mr Oscar Ricor
“NON-PRACTISING ENGLISH SOLICITOR IN ENGLAND AND WALES”, under the “Solicitors Regulation Authority” (SRA) SRA number 519196 and practising Spanish Solicitor. BZN LEX INTERNATIONAL LAWYER
