News

Termination of Co-Ownership of an Inherited Property by Sale at Public Auction

The Civil Court ruled to terminate the state of co-ownership of a property owned by a number of heirs, by selling it at public auction and distributing the proceeds of the sale among them according to the legal shares prescribed for each.

The dispute had arisen after it became impossible to reach an amicable agreement among the heirs regarding the division of the property or its sale, while some of them continued to make use of it and the remaining co-owners were unable to obtain any practical return for their undivided shares. In light of this impasse, Al-Bidda Law Firm brought the action on behalf of one of the heirs, seeking the termination of the co-ownership through judicial proceedings.

The legal approach consisted in demonstrating that the continuation of undivided ownership should not become a permanent state of affairs forcing a co-owner to remain in a financial and property relationship he does not wish to maintain. Where division in kind is not possible, or the heirs cannot agree upon it, sale at auction becomes the means of converting the property into monetary proceeds that can be distributed in an orderly manner according to the respective shares.

The court concluded by ordering the sale of the property at public auction and the distribution of the price among the heirs. The judgment brings to an end the practical dispute created by the conflicting interests of the co-owners, prevents some of them from continuing to enjoy exclusive use of the property at the expense of the others, and preserves each heir’s right to his share of the final sale value.