Jacob Iloulian, Esq.REAL ESTATE MEDIATION · ENCINO, CA
  1. Real estate mediation
  2. Partnership & co-owner disputes

Real estate partnership and co-owner dispute mediation

When co-owners stop agreeing, the property usually suffers first: repairs get deferred, refinancing windows close, and units sit vacant. These disputes are also personal. They are often between relatives or long-time business partners, which makes a private, structured negotiation more useful than a public lawsuit.

I mediate disputes between investment partners, LLC members, tenants in common, and family members who inherited property together. My own work as a real estate investor and developer helps me understand capital accounts, refinancing, and what a fair buyout looks like in practice.

Partnership and co-owner disputes I mediate

Buyouts and exits

One partner wants out. The questions are price, timing, and how to remove them from the loan.

Capital calls

Disputes over who contributed what, unpaid contributions, and dilution.

Management deadlock

Partners who cannot agree on leasing, repairs, refinancing, or a sale.

Distributions and accounting

Claims about withheld distributions, expenses, and fees paid to a managing partner.

Inherited property

Siblings and relatives who co-own a family home or rental and disagree about selling.

Development decisions

Disagreements over entitlements, construction budgets, and when to sell or hold.

California rules that shape co-owner disputes

Partition
Any co-owner can file a partition action under Code of Civil Procedure § 872.010 and following, and a court can order the property sold. Court-ordered sales and referee costs usually reduce what everyone receives.
Inherited property
The Partition of Real Property Act (Code of Civil Procedure § 874.311 and following) can give co-owners of inherited property a right to buy out a co-owner who asks the court for partition.
Operating and partnership agreements
These agreements often set buy-sell, valuation, and dispute-resolution steps, including mediation, that apply before anyone sues.

What a partnership settlement can include

  • A buyout price and closing date
  • An agreed appraiser or valuation method
  • A refinance that releases a partner from the loan
  • An agreed listing price, broker, and sale timeline
  • A division of sale proceeds
  • New management roles or an amended operating agreement

Questions about partnership & co-owner mediation

Can mediation avoid a partition lawsuit?

Often, yes. Most partition cases end with the property sold or one owner buying the other out. Mediation reaches the same result on terms the owners choose, without court-appointed referees and their fees.

How is a buyout price set in mediation?

Parties often agree on one appraiser, use a recent appraisal, or negotiate within a range. The mediator helps each side test its numbers against the market.

We are family members. Is mediation a good fit?

Yes. Family property disputes usually involve history that a court cannot address. Mediation is confidential and gives everyone a chance to be heard.

Can an LLC dispute be mediated before anyone sues?

Yes, and many operating agreements require it. Mediating early protects the property while the members work out their differences.

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