We apologise up-front for the irreverent sense of humour but rest assured we can always be counted on for sage advice on s66G and co-ownership disputes.

In the tangled world of shared property ownership, there exists a little-known legal superhero wearing cape number 66G. Not all heroes wear capes, but this one does wear a capital letter and a number.

Section 66G: The relationship counsellor for property co-ownership disputes

Imagine you and your brother inherit your grandmother’s charming Victorian terrace (or commercial, industrial or rural property). You want to sell and travel the world with your share. He’s determined to keep it as a shrine to childhood memories, complete with the plastic-covered furniture and the lingering smell of mothballs. Neither of you will budge. Family dinners become battlegrounds. You start “accidentally” forgetting to invite him to Christmas.

Enter Section 66G of the Conveyancing Act 1919 (NSW), that is, the stern but fair parent who steps in when property co-owners can’t play nicely together.

How it works

When co-owners reach an impasse that makes Brexit negotiations look harmonious, s 66G allows the Supreme Court to appoint trustees to sell the property, dividing proceeds according to ownership shares. It’s like having professional adults take over when the children can’t agree on who gets the bigger slice of cake.

The beauty of Section 66G is its simplicity: it cuts through emotion with the cold, refreshing blade of legal pragmatism.

The dance of the Trustees

Once appointed, trustees become temporary owners of the property. They’re the new sheriffs in town, with powers to:

• Kick out the stubborn brother-in-law who’s been “just staying temporarily” for eight years;
• Find real estate agents;
• Sell the property at the optimal price; and
• Distribute proceeds according to ownership shares.

Our real-life tales

• The Family Feud: Three siblings inherited their parents’ beach house. Two wanted to sell. One refused, having built an emotional attachment to the property (and a literal attachment in the form of an unauthorised granny flat). After two years of Christmas cards with increasingly passive-aggressive notes, we were appointed as trustees. The property sold for above market value, and the siblings now meet for holidays.
• The Investment Gone Wrong: Two friends bought a rental property together during the property boom. When the friendship soured faster than milk in summer, one refused to sell out of spite. We were appointed as trustees, sold the property, and both parties walked away with enough money to buy properties on opposite sides of town.

When to consider the nuclear option

Section 66G isn’t for minor disagreements about what colour to paint the bathroom. It’s for those intractable situations when:

• Your co-owner has developed a mysterious hearing problem whenever you mention “selling”;
• Mediation results in more therapy bills than solutions;
• One party is deliberately sabotaging sale attempts; and
• You’ve calculated that the legal fees for fighting will exceed the value of the actual property (surprisingly common).

The bottom line

Section 66G might seem drastic, but in the messy world of shared ownership, sometimes you need a clear path through the emotional minefield. It’s not about winning or losing, it’s about finding resolution when resolution seems impossible.

How we can help

We have extensive experience acting as Trustees in s 66G matters. If you are a lawyer or an affected party seeking advice on whether your situation is suitable for a s66G application, we invite you to contact us. You can reach out via LinkedIn or directly contact David Levi at 0418 602 466. We are here to help you understand your options and guide you through the process.

We have a booklet which is not so funny, but informative, for people in dispute and their lawyers. Make the request via our Contact Us page at https://www.leviconsulting.com.au/contact-us/ or ask us.