§ 16–2935. Cotenant buyout.

(a) If any cotenant requested partition by sale, after the determination of value pursuant to § 16-2934, the court shall send notice to the parties that any cotenant, except a cotenant that requested partition by sale, may buy all the interests of the cotenants that requested partition by sale.

(b) Not later than 45 days after the notice is sent pursuant to subsection (a) of this section, any cotenant, except a cotenant that requested partition by sale, may give notice to the court that it elects to buy all the interests of any of the cotenants that requested partition by sale.

(c) The purchase price for each of the interests of a cotenant that requested partition by sale shall be the value of the entire parcel determined pursuant to § 16-2934, multiplied by the cotenant's fractional ownership of the entire parcel.

(d) After expiration of the time period described in subsection (b) of this section, the following shall apply:

(1) If only one cotenant elects to buy all the interests of the cotenants that requested partition by sale, the court shall notify all the parties of that fact;

(2) If more than one cotenant elects to buy all the interests of the cotenants that requested partition by sale, the court shall:

(A) Allocate the right to buy those interests among the electing cotenants based on each electing cotenant's existing fractional ownership of the entire parcel, divided by the total existing fractional ownership of all cotenants electing to buy;

(B) Notify all the parties that more than one cotenant elected to buy all the interests of the cotenants that requested partition by sale; and

(3) If no cotenant elects to buy all the interests of the cotenants that requested partition by sale, the court shall send notice to all the parties of that fact and resolve the partition action pursuant to § 16-2936(a) and (b).

(e)(1) If the court sends notice to the parties pursuant to subsection (d)(1) or (2) of this section, the court shall set a date, not sooner than 60 days after the date the notice was sent, by which electing cotenants shall pay their apportioned price into the court.

(2) After the date set by the court under paragraph (1) of this subsection, the following shall apply:

(A) If all electing cotenants timely pay their apportioned price into court, the court shall issue an order reallocating all the interests of the cotenants and disburse the amounts held by the court to the persons entitled to the funds;

(B) If no electing cotenant timely pays its apportioned price, the court shall resolve the partition pursuant to § 16-2936(a) and (b); or

(C) If one or more, but not all, of the electing cotenants fail to pay their apportioned price on time, the court, on motion, shall give notice to the electing cotenants that paid their apportioned price of the interest remaining and the price for that interest.

(f)(1) Not later than 20 days after the court gives notice pursuant to subsection (e)(2)(C) of this section, any cotenant that paid the cotenant's apportioned price may elect to purchase all the remaining interest by paying the entire price of the remaining interest into the court.

(2) After the 20-day period described in paragraph (1) of this subsection, the following shall apply:

(A) If only one cotenant pays the entire price for the remaining interest, the court shall:

(i) Issue an order reallocating the remaining interest to that cotenant; and

(ii) Promptly issue an order reallocating the interests of all of the cotenants and disburse the amounts held by it to the persons entitled to them;

(B) If no cotenant pays the entire price for the remaining interest, the court shall resolve the partition action pursuant to § 16-2936(a) and (b); or

(i) Reapportion the remaining interest among those paying cotenants, based on each paying cotenant's original fractional ownership of the entire parcel, divided by the total original fractional ownership of all cotenants that paid the entire price for the remaining interest; and

(ii) Promptly issue an order reallocating all of the cotenants' interests, disburse the amounts held by it to the persons entitled to them, and promptly refund any excess payment held by the court.

(g) Not later than 45 days after the court sends notice to the parties pursuant to subsection (a) of this section, any cotenant entitled to buy an interest under this section may request the court to authorize, as part of the pending action, the sale of the interests of a cotenant named as a defendant and served with the complaint but that did not appear in the action.

(h) If the court receives a timely request pursuant to subsection (g) of this section, the court, after a hearing, may deny the request or authorize the requested additional sale on such terms as the court determines are fair and reasonable, subject to the following limitations:

(1) A sale authorized pursuant to this subsection may occur only after the purchase prices for all interests subject to sale pursuant to subsections (a) through (f) of this section have been paid into court and those interests have been reallocated among the cotenants as provided in those subsections; and

(2) The purchase price for the interest of a nonappearing cotenant shall be based on the court's determination of value pursuant to § 16-2934.