Allocation of a share of property in kind: essence of the procedure
The service of allocating a share of property in kind allows a co-owner to obtain the part of the property that corresponds to their share in the right of ownership in the form of a separate object. Such allocation separates part of the property as an independent object, terminating the right of joint partial ownership in relation to this owner. If physical division is not technically possible, the right to monetary compensation for the share received is provided.
The allocation of a share in kind allows the co-owner to receive their share of the property as a separate object with ownership rights.
If physical division is impossible, the owner is entitled to monetary compensation for their share.
How to allocate a share in kind: step-by-step guide
- Conducting an appraisal of the property by an independent expert to determine the value and technical feasibility of the allocation.
- Agreeing on a list of objects to be allocated and signing the relevant agreement on the allocation of a share in kind.
- Notarisation of the agreement is a mandatory condition for the legality of the transaction.
- State registration of ownership of the allocated share after notarisation of the agreement.
Technical feasibility and expertise for allocation of a share in kind
An important condition is the technical feasibility of allocating a share in kind: the object must be divisible without loss of functionality, have a separate entrance or be used independently. For this purpose, a forensic technical examination is ordered, the conclusion of which indicates the presence or absence of the possibility of division in kind.
Judicial or pre-trial allocation of a share in kind
If the co-owners have agreed, pre-trial registration of the allocation is possible by means of a notarial agreement and mutual consent of all parties.
If there is no agreement, a lawsuit must be filed with evidence of technical feasibility and a request for allocation of a share in kind in accordance with the Civil Code.
The court may order the division or, if the property belongs to only two owners, the decision is equivalent to the division of property.
Monetary compensation if it is impossible to allocate a share in kind
When it is impossible to allocate a share in kind or the law prohibits physical division (e.g., an indivisible object), the law provides for the right of a co-owner to demand material or monetary compensation from other co-owners. In this case, the co-owner who received compensation loses the right to a share in joint ownership.
What does the Consultant marketplace offer?
On the Consultant platform, you can:
- request legal advice on the possibility and cost of allocating a share of property in kind;
- select verified specialists who will accompany the entire process — from property valuation to notarisation of the agreement;
- prepare a complete set of documents for judicial or pre-judicial allocation of a share of property in kind;
- provide comprehensive legal support, search for a technical expert and representation in court.
ConclusionAllocation of a share in kind is an effective way to exercise ownership rights to joint property, and in cases where division is technically impossible, the law guarantees monetary compensation that protects the interests of co-owners.
