Jv: being forced to sell

Discussion in 'Legal Issues' started by Truly Exotic, 5th Nov, 2016.

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  1. Truly Exotic

    Truly Exotic Well-Known Member

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    Hi folks.
    Just got a simple question.
    Done a jv about a year ago for a huge reno.
    We went in 30/70
    Im the 30% due to lack of funds at the time.
    Circumstances have changed and other partner is now presuring to sell.
    I cant afford to buy out

    We're still very amicable
    I dont want to sell.
    Do i have to sell?
    If selling . have to pay selling costs . and if i wanted to buy back in. its expensive
     
  2. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    This is something you should have figured out before you went into the JV agreement.

    Are you in a position to buy out the partner?
     
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  3. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    What do you mean by JV?

    If you are joint legal owners then you can't sell without both signatures. If you both cannot agree one of you can apply to the courts to have the property sold - under s66w conveyancing act if NSW. I have written a legal tip of this.
     
  4. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    Ahhh partnerships. There is a book on why not to do that.
    100% liable for 30% interest or is it having 70% interest for 100% liability. Sometimes its 0% interest for 100% liability. And no ability to tie-break a deadlock decision.

    You cant afford to buy the 70% and they want out. In the old days that meant you need to sell, since you cant afford to buy them out.
     
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  5. Blacky

    Blacky Well-Known Member

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    I just found out I am pregnant but I would like to ask you about contraception.
     
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  6. jrc

    jrc Well-Known Member

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    Did you have a written agreement and if so what does it say about terminating the joint venture
     
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  7. Colin Rice

    Colin Rice Mortgage Broker Business Member

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    Didn't think that was possible. Boy or girl?