Q: We are two sisters who inherited the family farm. Both of our
families farm other nearby land. We have tried various arrangements in
farming the inherited land, but nothing seems to work well. We have
tried having one family farm part of the original farm, and the other
family the other part. Because of different yields due to varying
fields and weather, one family ended up doing better than the other.
This inequality has caused tension. We then tried having one family
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farm the land, with the other getting a share of the crop. Again this
didn’t work out as well as we hoped. The family not farming the land
thought it could do a better job.
Is there any easy solution to our problems? Above all else we want to
maintain family harmony.
A: Your problem is obviously more than a legal problem. The legal
solution would be to seek partition. In a partition action, a co-owner
can ask a court to divide the interests between the parties.
In a partition case, if you can’t agree, the court will probably order
a valuation of the property. A number of other court orders might
follow. In the first instance, a court might make an order allowing one
or both co-owners to buy the other out within a certain period of time.
Failing that, a court could order that the land be sold by auction and
the proceeds divided among the two sisters after court costs and the
costs of the sale were paid. A reserve bid could be set. Finally, a
court could divide the farm into two parcels giving each of you a half
share. From my review of cases, this latter remedy is rarely used.
Going to court should obviously be a last resort. There will be court
costs and lawyers’ fees and any court solution may take at least a year
or more to resolve. And a court-imposed solution is likely to do little
for family relations. I have yet to meet or hear of two people who have
gone to court and ended up having a better relationship
afterward.
There are other solutions you might consider. Perhaps the land could
be leased to a third party, with the two sisters sharing the rent.
Alternatively, one sister could buy out the other.
Before embarking on these solutions, it may help to have a family
meeting to discuss what the concerns are. Perhaps you might want to
engage a third party mediator to meet with the parties and find an
amicable solution.
Don Purich is a former practising lawyer who is now involved in
publishing, teaching and writing about legal issues. His columns are
intended as general advice only. Individuals are encouraged to seek
other opinions and/or personal counsel when dealing with legal matters.
