A Queensland co-owner who wants to end co-ownership can apply to the court for a sale or division of the property. Under the Property Law Act 2023 (Qld), sale and division of the proceeds is the preferred outcome once the court decides to make an order, unless physical division or another combination would be more just and fair. The September 2026 decision in Hart v Ng [2026] QSC 209 provides a recent example of the new statutory regime in operation.
What happened in Hart v Ng?
Hart v Ng [2026] QSC 209 was decided by the Supreme Court of Queensland on 11 September 2026 and is classified as a real-property partition matter.
The dispute concerned co-owned Queensland land. Public case summaries record that one co-owner held a 75% interest and the other held 25%. The majority owner sought orders under the Property Law Act 2023 (Qld) for statutory trustees to sell the property, while the other co-owner opposed the sale and raised issues including claimed rights connected with part of the property, contributions and alternative ways of dealing with the land.
The case is useful because it applies Queensland’s newer co-ownership provisions, which replaced the former statutory-trust regime in the Property Law Act 1974 (Qld).
Can one owner force a sale?
A co-owner cannot simply sign a contract to sell the whole property without authority from the other registered owners. However, section 33 of the Property Law Act 2023 (Qld) allows a co-owner to apply to the court for orders concerning the sale or physical division of co-owned property.
The application may seek:
- sale of the property and division of the proceeds;
- physical division of the property; or
- a combination of sale and physical division.
If a security interest such as a mortgage affects the property, the applicant must also comply with the statutory notice requirements.
Sale is generally preferred over physical division
Section 35 establishes an important starting point. If the court decides to make an order for sale or division, it must generally order a sale and division of the proceeds unless physical division, or a combination of sale and division, would be more just and fair.
In deciding whether physical division would be more just and fair, the court may consider matters including:
- how the property is being used, including residential or business use;
- whether the property can practically be divided; and
- any special link or attachment a co-owner has to the property.
The legislation does not limit the court to those factors.
What can the court order?
The court has broad powers to make orders required for a just and fair sale or division. These can include:
- appointing a trustee to conduct the sale;
- directing whether the sale occurs privately or by auction;
- requiring an independent valuation;
- setting terms, conditions or timing for the sale;
- allowing a co-owner to purchase the property;
- dealing with the costs and remuneration of the trustee; and
- directing how the proceeds are to be distributed.
The purpose is not simply to give one co-owner control over another. The court supervises the process and can structure the orders to produce a just and fair outcome.
What happens to mortgages and sale proceeds?
A mortgage does not disappear because co-owners are in dispute. The Act contains specific rules for security interests and for property vested in a court-appointed trustee.
Where a sale proceeds, the sale costs, secured liabilities and other amounts ordered by the court may need to be dealt with before the remaining proceeds are distributed between the co-owners.
The registered ownership percentages are therefore important, but they may not be the only issue affecting the final amount each party receives.
Contributions and accounting between co-owners
Co-ownership disputes frequently involve claims about mortgage payments, rates, insurance, repairs, improvements, rental income, occupation of the property or expenditure by one owner for the benefit of the property.
The Property Law Act 2023 contains accounting and compensation provisions, and the court may deal with these issues as part of the broader sale or division process.
Hart v Ng is a useful reminder that arguments about contributions or accounting can affect the distribution of sale proceeds. They do not necessarily mean that co-ownership must continue indefinitely.
What co-owners should do before proceedings
Before commencing or responding to a court application, a co-owner should usually assemble:
- a current title search;
- the loan and mortgage position;
- any co-ownership, trust, partnership or family agreements;
- evidence of contributions to the purchase price and ongoing property expenses;
- records of rent or other income received from the property;
- evidence of improvements or significant expenditure;
- current valuation evidence; and
- any proposal for buy-out, subdivision or voluntary sale.
A negotiated sale or buy-out can sometimes avoid the cost and delay of court proceedings. Where agreement cannot be reached, the statutory sale-and-division regime may become relevant.
How this fits with conveyancing and property transfers
A court order is only one part of the process. Once a sale, buy-out or transfer outcome is agreed or ordered, the parties may still need to deal with transfer documents, lender requirements, discharge of mortgage, duty, settlement and registration.
See our Queensland conveyancing services
If the dispute arises from separation or a family-law property settlement, separate family-law advice may also be required. Ensure Legal’s family law property-transfer service focuses on implementing the property transfer after an outcome has been reached.
Discuss the property and transfer position with Ensure Legal
Property Law Act 2023 (Qld), Part 5
Queensland Judgments — Supreme Court judgments
This article provides general information only and is not legal advice. Court applications concerning co-owned property can involve property law, equity, family law, trusts, mortgages and procedural issues. Advice should be obtained on the particular ownership and dispute before action is taken. Information reviewed 28 September 2026.
