Consummation of Sale for Partition of Property

Part 2, Title 10.5, Chapter 6, Article 3 deals with the consummation of sale of the property in the partition of real and personal property in this state.

Section 873.710 requires the referee, upon making a sale of property, to report the sale to the court. The referee’s report must contain at least eight specified items of information.

Section 873.720 allows a purchaser, the referee, or any party to move the court to confirm or set aside the sale. The moving party must give at least 10 days’ notice of motion to the purchaser and all other parties appearing.

Section 873.730 requires the court, at the hearing, to examine the report and witnesses in relation to the report. The court may confirm the sale notwithstanding a variance from the prescribed terms of sale if to do so will be beneficial to the parties and will not result in substantial prejudice to persons interested in the sale. The court may vacate the sale and direct that a new sale be made if it determines any of three specified circumstances.

Section 873.740 states that a responsible bidder who makes a written increased offer that exceeds the sale price by at least 10% on the first $10,000 and 5% on the amount in excess thereof, the court in its discretion may do either of two specified actions. The amount by which an increased offer exceeds the sale price is determined on the basis of the gross amount of the increased offer including any commission on the increased offer to which an agent may be entitled.

Section 873.745 requires the amount of agents’ commissions on the sale, if any, to be fixed by the court and divided or limited in the manner provided for private sales of real property in decedents’ estates.

Section 873.750 requires the court, upon confirmation of a sale, to order the referee to execute a conveyance or other instrument of transfer, to collect the proceeds, take security, and perform other acts required to consummate the sale. The order may direct the referee concerning the distribution, deposit, or securing of sale deposits and sale proceeds.

Section 873.760 specifies that, if the purchaser fails to pay the sale price, the purchaser is subject to the court’s jurisdiction and to further proceedings in the action. Upon failure, a party, or the referee, may upon notice move the court to order either of the two specified forms of relief.

Section 873.770 states that, where the purchaser is a party or lienholder entitled to a share of the proceeds of sale, the referee may take two specified actions.

Section 873.780 allows the court to make orders relating to the closing of a sale after confirmation, including escrow and closing provisions and, if the referee and purchaser so agree and the court upon noticed motion determines it will not result in substantial prejudice to the parties, may make adjustments varying the terms of sale based on after-discovered defects.

Section 873.790 requires the referee, upon fulfillment of the terms of sale, to execute a conveyance or other instrument of transfer to the purchaser. The conveyance or transfer of real property and the order authorizing conveyance or transfer must be recorded in each county in which the property is located.