Partition Action Q&A Series

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How can we get an insurance repair check released when the lender or servicer says the loan is in a monitored or pre-foreclosure status? NC

How can we get an insurance repair check released when the lender or servicer says the loan is in a monitored or pre-foreclosure status? – North Carolina Short Answer In North Carolina, a lender or mortgage servicer often holds insurance repair proceeds (sometimes called a “loss draft”) and releases the money in stages, especially when…

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Can we negotiate a settlement where we choose the realtor and control the sale process instead of having a court-appointed person run the sale? NC

Can we negotiate a settlement where we choose the realtor and control the sale process instead of having a court-appointed person run the sale? – North Carolina Short Answer Yes—many North Carolina partition cases settle with a written agreement that sets the sale terms, including selecting a realtor, setting a listing price strategy, and allocating…

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How do we find out the mortgage payoff amount and the reinstatement amount, and can the loan be reinstated after missed payments? NC

How do we find out the mortgage payoff amount and the reinstatement amount, and can the loan be reinstated after missed payments? – North Carolina Short Answer In North Carolina, the most reliable way to get a mortgage payoff amount or reinstatement amount is to request a written statement from the loan servicer (the company…

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Can we request more time in the foreclosure process to complete a private sale, and what should we show to prove we’re actively trying to sell? NC

Can we request more time in the foreclosure process to complete a private sale, and what should we show to prove we’re actively trying to sell? – North Carolina Short Answer Sometimes, yes—but it depends on where the foreclosure is in the North Carolina process and who has authority to delay it. Before the auction,…

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What happens if one co-owner has been paying the mortgage, taxes, or repairs during a partition case? NC

Recent Legal Update Updated: March 2026 Statute updated: N.C. Gen. Stat. § 41-86 was amended by Session Law 2024-47 (effective 2024) and now more specifically addresses when a cotenant is (and is not) entitled to contribution/reimbursement for necessary repairs, improvements, and interest on an existing encumbrance during periods of exclusive possession. What changed: The updated…

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If a relative was divorced from the person in the ownership line, do they still need to be included in the partition lawsuit? NC

If a relative was divorced from the person in the ownership line, do they still need to be included in the partition lawsuit? – North Carolina Short Answer Usually, no. In a North Carolina partition case, the required parties are the current co-owners (tenants in common or joint tenants), not someone who is only an…

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Attorney Jared Pierce
Attorney Jared Pierce
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