Hi,
Long time since I have posted here, but I see many familiar names!
I am hoping for some advice on the following. I have got into a situation with a former partner where they want to sell an IP, but I don’t!
We are negotiating this but I am wondering what is the legal position with partnerships when there is a disagreement such as this.
thanks,
Ben C.Had a friend in the same position. He ended up caving in and selling. I’d suggest you have a chat to a lawyer.
Otherwise, if you want to keep it, can you not finance him out – or find another partner to take that share?
Regards
Megan
Megan,
Thanks but my question was very specifically enquiring as to the legal ability of one party to force a sale. If I wanted to pay for a lawyer before asking for some general information here I wouldn’t be a very good investor!
BenI guess both parties would have to sign a contract of sale to sell.
Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hi banderos
first this is a forum for general information and all my post are for general information only.
as for not being a good investor I’m not sure as I don’t know your details.but all that aside.
To get free legal advice and that is what you are asking can only be given by a lawyer or solicitor so look where free ones are.
Go to the local court ask to see the chamber magistrate( they aren’t going to like lots of people going this route)and get his advice.The lessen here is very simple as with everything you get what you pay for.
Every situation is different but gafama way seems the cheapest.
As for selling its my understanding yes the other party as it joint owned or lendee for this property could sell.
The price of getting a paid lawyer as opposed to getting it wrong you have the numbers.here to help
Ben,
I am going through this at the moment but we are now both in agreement to sell. I asked my solictor the same questions. Basically, you can’t engage a real estate agent to start marketing the property without all parties signatures on the sales agreement.
I have requested a sales contract be drawn up by my solictor, however the property can’t be sold until all parties sign the contract. If it is forced & one party refuses to sign the contract for sale it goes to court. My solicitor advised that the court will probably declare that if you can’t buy the other party out then the property goes to auction & too bad, whatever price you get you get.
The cost of going to court & the auction fees will obviously put you in a worse position so I was relying on my solictor to basically kick the other party in the pants & make them wake up to themselves regarding the offer that is on the table.
Good luck & I hope it all pans out for you. These types of situations can be stressful. I have learnt one thing though, & that is I will not go into partnership to purchase a property again.
Kim
Courage is not acting without fear but acting despite your fear.
IP’s come and go, but friends are the the most valuable asset.
I know your after legal advise, but that’s not always the best advise. Toss the IP keep the friend.
AXJ
Thanks JKM that was a very helpful post, exactly the kind of information I was looking for.
Since buying this property I have learnt a lot about structuring and would also not use a partnership structure again.
To the people who insisted on suggesting I seek legal counsel, my view is this is technically correct yet practically useless advice.
First of all it’s stating the obvious.
Secondly my point about being a good investor is that you don’t give away all your power and responsibility to a third party merely because they are a supposed expert. You should be aware of the broad issues else you in no position to judge how effectively they are carrying out their role. I certainly don’t do this with my accountant for example and I wouldn’t do it with a solicitor either. My post was about taking responsibility for an issue rather than offhanding it.
Originally posted by JKM:Ben,
I am going through this at the moment but we are now both in agreement to sell. I asked my solictor the same questions. Basically, you can’t engage a real estate agent to start marketing the property without all parties signatures on the sales agreement.
I have requested a sales contract be drawn up by my solictor, however the property can’t be sold until all parties sign the contract. If it is forced & one party refuses to sign the contract for sale it goes to court. My solicitor advised that the court will probably declare that if you can’t buy the other party out then the property goes to auction & too bad, whatever price you get you get.
The cost of going to court & the auction fees will obviously put you in a worse position so I was relying on my solictor to basically kick the other party in the pants & make them wake up to themselves regarding the offer that is on the table.
Good luck & I hope it all pans out for you. These types of situations can be stressful. I have learnt one thing though, & that is I will not go into partnership to purchase a property again.
Kim
Courage is not acting without fear but acting despite your fear.
You must be logged in to reply to this topic. If you don't have an account, you can register here.
