TITLE 70. PROPERTY

CHAPTER 29. PARTITION OF REAL PROPERTY

Part 4. Uniform Partition of Heirs Property Act

Open Market Sale -- Sealed Bids -- Auction

70-29-414. Open market sale -- sealed bids -- auction. (1) If the court orders a sale of heirs property, the sale must be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group.

(2) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in this state to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in this state to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court.

(3) If the broker appointed under subsection (2) obtains within a reasonable time an offer to purchase the property for at least the determination of value:

(a) the broker shall comply with the reporting requirements in 70-29-415; and

(b) the sale may be completed in accordance with state law other than this part.

(4) If the broker appointed under subsection (2) does not obtain within a reasonable time an offer to purchase the property for at least the determination of value, the court, after hearing, may:

(a) approve the highest outstanding offer, if any;

(b) redetermine the value of the property and order that the property continue to be offered for an additional time; or

(c) order that the property be sold by sealed bids or at an auction.

(5) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction must be conducted under 70-29-301.

(6) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchaser's share of the proceeds.

History: En. Sec. 10, Ch. 263, L. 2013.